September 2025's Top Undervalued Small Caps With Insider Buying

Simply Wall St

As the U.S. stock market reaches record highs, driven by expectations of interest rate cuts following a steady inflation report, small-cap stocks in the S&P 600 are drawing increased attention from investors looking to capitalize on potential growth opportunities. In this context, identifying small-cap companies with strong fundamentals and insider buying can be a promising strategy for those seeking value in an environment where broader market sentiment is optimistic.

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

NamePEPSDiscount to Fair ValueValue Rating
PCB Bancorp10.1x3.0x31.62%★★★★★☆
Peoples Bancorp10.4x1.9x42.16%★★★★★☆
Tandem Diabetes CareNA0.9x48.92%★★★★★☆
Limbach Holdings34.0x2.2x42.27%★★★★☆☆
First Northern Community Bancorp9.4x2.7x49.82%★★★★☆☆
Thryv HoldingsNA0.8x27.97%★★★★☆☆
Tilray BrandsNA1.4x11.64%★★★★☆☆
Industrial Logistics Properties TrustNA0.9x15.90%★★★★☆☆
Shore Bancshares10.7x2.8x-93.39%★★★☆☆☆
Farmland Partners7.2x8.7x-47.29%★★★☆☆☆

Click here to see the full list of 80 stocks from our Undervalued US Small Caps With Insider Buying screener.

We'll examine a selection from our screener results.

Lionsgate Studios (LION)

Simply Wall St Value Rating: ★★★☆☆☆

Overview: Lionsgate Studios is a diversified entertainment company involved in motion picture production and television production, with a market cap of approximately $1.50 billion.

Operations: The company generates revenue primarily from its Motion Picture and Television Production segments, with the latter contributing $1.65 billion. The gross profit margin has shown fluctuations, reaching 46.31% in recent periods, indicating variability in cost management and pricing strategies over time. Operating expenses are a significant component of costs, with sales and marketing being a notable expenditure area.

PE: -6.1x

Lionsgate Studios, a smaller player in the entertainment industry, has shown potential despite challenges. The company reported Q1 2025 sales of US$525.9 million, up from US$486.9 million the previous year, though it faced a net loss of US$108.9 million. Insider confidence is evident with share repurchases totaling 16.6 million shares for US$287.5 million since June 2007's buyback announcement. Recent takeover rumors by Legendary Entertainment sparked an 8.6% jump in shares, reflecting market interest and potential growth opportunities despite reliance on external borrowing for funding and ongoing losses.

LION Ownership Breakdown as at Sep 2025

Minerals Technologies (MTX)

Simply Wall St Value Rating: ★★★★★☆

Overview: Minerals Technologies operates in the engineered solutions and consumer & specialties sectors, with a market capitalization of approximately $2.25 billion.

Operations: Minerals Technologies generates revenue primarily from its Engineered Solutions and Consumer & Specialties segments, with the latter contributing $1.105 billion. The company has experienced fluctuations in its net income margin, which was 0.07888% as of December 2024 but saw a decline to -0.01137% by March 2025. The gross profit margin showed some variability, reaching 25.85% in December 2024 before slightly decreasing to 25.41% by September 11, 2025.

PE: 971.2x

Minerals Technologies, a smaller U.S. company, shows potential as an undervalued investment despite some risks. Recently, they reported Q2 2025 sales of US$528.9 million and net income of US$45.4 million, up from US$19.7 million the previous year, indicating improved profitability despite lower sales compared to last year. The company repurchased 336,376 shares for US$18.97 million between March and June 2025, reflecting strategic financial management amid external borrowing reliance for funding. Their guidance suggests stable future performance with expected Q3 sales between US$525-535 million and operating income around US$75 million.

MTX Share price vs Value as at Sep 2025

Oxford Industries (OXM)

Simply Wall St Value Rating: ★★★☆☆☆

Overview: Oxford Industries is an apparel company that designs, sources, markets, and distributes lifestyle products through its owned brands and retail stores, with a market cap of approximately $1.92 billion.

Operations: Oxford Industries generates revenue primarily through its sales, with a significant portion allocated to cost of goods sold (COGS) and operating expenses. The company's gross profit margin has shown an upward trend, reaching 63.35% in early 2024 before slightly decreasing to 62.76% by mid-2025. Operating expenses, including general and administrative costs as well as sales and marketing efforts, have consistently been a major component of the company's financial structure.

PE: 9.5x

Oxford Industries, known for its dynamic presence in the apparel industry, recently provided guidance indicating a challenging fiscal 2025 with expected net sales between $1.475 billion and $1.515 billion, slightly down from $1.52 billion last year. The company reported second-quarter sales of US$403 million and net income of US$16.69 million, reflecting a decline from the previous year’s figures. Despite being dropped from several growth benchmarks in June 2025, insider confidence is evidenced by share repurchases totaling 947,575 shares for US$55 million under an ongoing buyback program announced in December 2024.

OXM Ownership Breakdown as at Sep 2025

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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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