Exploring 3 Undervalued Small Caps With Insider Action Across Various Regions

Simply Wall St

Over the last 7 days, the United States market has experienced a rise of 2.1%, contributing to an overall increase of 8.1% over the past year, with earnings forecasted to grow by 14% annually. In this context, identifying small-cap stocks with insider activity can offer investors potential opportunities for growth in a dynamic market environment.

Top 10 Undervalued Small Caps With Insider Buying In The United States

NamePEPSDiscount to Fair ValueValue Rating
Shore Bancshares10.6x2.4x6.52%★★★★★☆
First United9.8x2.6x47.17%★★★★★☆
MVB Financial11.5x1.6x27.02%★★★★☆☆
S&T Bancorp11.1x3.8x41.12%★★★★☆☆
German American Bancorp17.3x5.8x48.50%★★★☆☆☆
Citizens & Northern12.5x3.0x42.92%★★★☆☆☆
West Bancorporation14.4x4.4x41.83%★★★☆☆☆
Columbus McKinnon56.4x0.5x40.99%★★★☆☆☆
Union Bankshares15.4x2.9x30.26%★★★☆☆☆
Franklin Financial Services14.5x2.3x32.23%★★★☆☆☆

Click here to see the full list of 72 stocks from our Undervalued US Small Caps With Insider Buying screener.

We'll examine a selection from our screener results.

Concrete Pumping Holdings (NasdaqCM:BBCP)

Simply Wall St Value Rating: ★★★☆☆☆

Overview: Concrete Pumping Holdings is a company that provides concrete pumping and waste management services in the U.S. and U.K., with a market cap of $0.39 billion.

Operations: Concrete Pumping Holdings generates revenue primarily from its U.S. Concrete Pumping and U.S. Concrete Waste Management Services segments, with additional contributions from U.K. Operations. The company's gross profit margin has experienced fluctuations, most recently at 39.50% as of January 31, 2025, indicating changes in cost management and pricing strategies over time.

PE: 20.0x

Concrete Pumping Holdings, a smaller company in the U.S., is showing signs of being undervalued. Despite a net loss of US$2.64 million in Q1 2025, improved from US$3.83 million last year, the company projects annual revenue between US$400 million and US$420 million for 2025. They recently completed a share buyback totaling 5.54% or US$20.01 million since June 2022 and declared a special dividend of $1 per share, reflecting insider confidence in their future prospects despite external borrowing risks.

NasdaqCM:BBCP Ownership Breakdown as at Mar 2025

Donnelley Financial Solutions (NYSE:DFIN)

Simply Wall St Value Rating: ★★★★★☆

Overview: Donnelley Financial Solutions provides software solutions and compliance and communications management services for capital markets and investment companies, with a market capitalization of $1.55 billion.

Operations: The company generates revenue primarily from Capital Markets and Investment Companies through Software Solutions and Compliance and Communications Management, with notable gross profit margins reaching 61.90% by the end of 2024. Operating expenses, including significant General & Administrative costs, impact overall profitability but are offset by a diverse revenue model across its segments.

PE: 14.0x

Donnelley Financial Solutions, a smaller U.S.-based company, recently amended its credit agreement to secure a US$115 million term loan and a US$300 million revolving facility, enhancing financial flexibility. The firm repurchased 281,753 shares for US$17.38 million in the last quarter of 2024, indicating confidence from within. Despite a slight revenue dip to US$156.3 million in Q4 2024 compared to the previous year, new product launches like the EDGAR Next Portal aim to streamline client operations and potentially boost future growth prospects.

NYSE:DFIN Share price vs Value as at Mar 2025

DiamondRock Hospitality (NYSE:DRH)

Simply Wall St Value Rating: ★★★★★☆

Overview: DiamondRock Hospitality is a real estate investment trust that primarily owns and operates a portfolio of hotels, with operations generating $1.13 billion in revenue.

Operations: The company generates its revenue primarily from hotel ownership, with a recent revenue figure of $1.13 billion. The cost of goods sold (COGS) is significant at $818.25 million, impacting the gross profit margin, which stands at 27.58%. Operating expenses are consistently around $146 million, and non-operating expenses have been notably high at $127.27 million in the latest period analyzed.

PE: 43.7x

DiamondRock Hospitality, a smaller player in the hospitality sector, has seen its earnings forecast to grow by 39.24% annually despite recent financial challenges. The company reported a net loss of US$11.24 million for Q4 2024, contrasting with a profit from the previous year. However, insider confidence is evident through share purchases over recent months. Though interest payments are not well covered by earnings and funding is primarily through higher-risk external borrowing, strategic board appointments like Stephanie Lepori may bolster future growth prospects.

NYSE:DRH Share price vs Value as at Mar 2025

Where To Now?

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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