Breaking News
Get 40% Off 0
👀 Reveal Warren Buffett's stock picks that are beating the S&P 500 by +174.3% Get 40% Off

4 Small-Cap Powerhouses That Skyrocketed in June

By Investing.com (Ismael De La Cruz)Stock MarketsJun 29, 2023 18:01
ph.investing.com/analysis/4-smallcap-powerhouses-that-skyrocketed-in-june-175932
4 Small-Cap Powerhouses That Skyrocketed in June
By Investing.com (Ismael De La Cruz)   |  Jun 29, 2023 18:01
Saved. See Saved Items.
This article has already been saved in your Saved Items
 
 
NX
-0.09%
Add to/Remove from a Portfolio
Add to Watchlist
Add Position

Position added successfully to:

Please name your holdings portfolio
 
CIR
+0.00%
Add to/Remove from a Portfolio
Add to Watchlist
Add Position

Position added successfully to:

Please name your holdings portfolio
 
CAL
+3.32%
Add to/Remove from a Portfolio
Add to Watchlist
Add Position

Position added successfully to:

Please name your holdings portfolio
 
DBI
+4.29%
Add to/Remove from a Portfolio
Add to Watchlist
Add Position

Position added successfully to:

Please name your holdings portfolio
 
IBEXS
-0.24%
Add to/Remove from a Portfolio
Add to Watchlist
Add Position

Position added successfully to:

Please name your holdings portfolio
 
ZPRX
-0.16%
Add to/Remove from a Portfolio
Add to Watchlist
Add Position

Position added successfully to:

Please name your holdings portfolio
 
  • Small caps have had a very strong June, outperforming the S&P 500
  • One way to invest in small caps is through dedicated ETFs
  • Another way is to buy high-flying small caps that we will discuss in this article
  • InvestingPro Summer Sale is on: Check out our massive discounts on subscription plans!

While the technology-focused Nasdaq and the Japanese Nikkei 225 have had all the attention due to their impressive rallies this year, it's important to redirect our focus towards another category of stocks that have been performing exceptionally well, particularly in recent times.

Enter the realm of small-cap companies. These companies, with market capitalizations typically ranging between $300 million and $2 billion in the United States, have demonstrated strong performance relative to the broader market.

In Europe, the threshold for defining a company as a small cap would be €3 billion. Beyond these levels, we find mid-cap and large-cap companies.

In the United States, small companies constitute over 60% of the market, while in Europe, their representation is slightly above 50%. This highlights the significance of the small-cap sector, making it an area worth monitoring.

Various small-cap indexes exist to track the performance of these companies. In Europe, small caps can be tracked by the EURO STOXX Small Cap, while in the United States by the S&P 600 Small Cap and the US Small Cap 2000.

Investing in small caps can be accomplished through specialized investment vehicles such as mutual funds and ETFs. Here are a few examples:

  1. Invesco S&P SmallCap 600 Pure Value ETF (NYSE:RZV)

  2. SPDR S&P Emerging Markets Small Cap ETF (NYSE:EWX)

  3. First Trust Developed Markets ex-US Small Cap AlphaDEX Fund (NASDAQ:FDTS)
  4. L&G Russell 2000 US Small Cap UCITS ETF USD Accumulate (LON:RTWO)
  5. SPDR® MSCI Europe Small Cap Value Weighted UCITS ETF EUR Acc (ETR:ZPRX)

A compelling illustration of the strength of small caps lies in the S&P 600 Small Cap ETF (NYSE:SLY) which significantly outperformed the S&P 500 in June. In fact, the majority of small-cap stocks have experienced notable growth this month.

Interestingly, the IFA U.S. Small Company index has delivered an impressive annual return of +11.1% since 1928, outperforming the +9.9% annualized gain of the S&P 500 over the same period.

Now, let's examine a selection of highly promising small-cap stocks that are experiencing robust growth this June. To conduct our analysis, we will leverage InvestingPro, which provides us with comprehensive data and valuable insights.

1. Caleres

Caleres (NYSE:CAL) is a prominent American footwear company headquartered in Clayton, Missouri. With a rich history dating back to its establishment in 1878 as Bryan, Brown & Company in St. Louis, the company has undergone several name changes throughout its existence. Caleres currently owns and operates numerous footwear brands, positioning itself as a key player in the industry.

Caleres Dividend Data
Caleres Dividend Data

Source: InvestingPro

It pays an annual dividend of $0.28 per share ($0.07 each quarter). The yield is +1.16%.

Caleres Earnings
Caleres Earnings

Source: InvestingPro


Caleres is scheduled to present its financial results on September 5. Notably, the company's previous earnings, released on June 1, EPS surpassed expectations.

Caleres  Investing Models
Caleres Investing Models

Source: InvestingPro

InvestingPro models give it a potential of $33.45.

Caleres  Price History
Caleres Price History

Source: InvestingPro

The stock is up +34.77% in June.

Caleres Daily Chart
Caleres Daily Chart

2. Quanex Building Products Corporation

Quanex Building Products (NYSE:NX) is a global manufacturing company serving manufacturers in the cabinetry, solar, refrigeration, and outdoor products markets.

Quanex Building Products Corporation Dividends
Quanex Building Products Corporation Dividends

Source: InvestingPro

Quanex Building Products is another company that pays a dividend of $0.32 per year, with a quarterly distribution of $0.08. This results in a dividend yield of approximately +1.24% based on the current stock price.

The next dividend from Quanex Building Products is scheduled to be distributed on June 30.

Quanex Building Products Corporation Earnings
Quanex Building Products Corporation Earnings

Source: InvestingPro

Quanex Building Products is set to announce its financial results on September 7. In the previous release on June 1, the company reported positive results that exceeded market expectations.

Quanex Building Products Corporation EPS Forecasts
Quanex Building Products Corporation EPS Forecasts

Source: InvestingPro

The stock is up +21.41% in June.

Quanex Building Products Corporation Price History
Quanex Building Products Corporation Price History

Source: InvestingPro

Quanex Building Products Investing Models
Quanex Building Products Investing Models

Source: InvestingPro

InvestingPro models give it a potential of $32.58.

Quanex Building Products Corporation Daily Chart
Quanex Building Products Corporation Daily Chart

3. CIRCOR International

CIRCOR International, Inc. (NYSE:CIR) is a renowned global supplier of products and services catering to industrial, aerospace, and defense markets. It boasts a diverse portfolio of products from top brands, which it distributes through various partners to over 14,000 customers across 100 countries. With a global presence, its headquarters are located in Burlington, Massachusetts.

The company is expected to release its financial results on August 10. The market has raised revenue expectations for the quarter, indicating anticipated strong performance. Furthermore, the company forecasts a more than +13% increase in earnings for the year, projecting earnings per share of $2.07. Over the next five fiscal years, net income growth is predicted to average around +37%.

Circor International EPS Forecasts
Circor International EPS Forecasts

Source: InvestingPro

The previous earnings report was on May 11, and they far exceeded market forecasts.

Circor International Earnings
Circor International Earnings

Source: InvestingPro

BlackRock is the top equity holder, and Vanguard is the third.

Circor International Price History
Circor International Price History

Source: InvestingPro

CIRCOR International's stock has demonstrated remarkable growth in recent times. In the month of June alone, its shares have surged by +77%, and over the past 12 months, they have soared by an impressive +239.87%.

Circor International Weekly Chart
Circor International Weekly Chart

4. Designer Brands

Designer Brands (NYSE:DBI) is a company that specializes in designing, producing, and retailing footwear and accessories brands. With over 1,000 distribution points, it offers a wide range of branded and designer footwear and accessories for both dress and casual sports occasions. The company's first store opened in 1991 in Dublin, Ohio, and it has since expanded to operate more than 500 stores across 44 states.

Designer Brands Dividend
Designer Brands Dividend


Source: InvestingPro

Designer Brands Dividend History
Designer Brands Dividend History

Source: InvestingPro

Distributes an annual dividend of $0.20 per share ($0.05 each quarter) with a yield of +2.02%.

Designer Brands Buyback Yield
Designer Brands Buyback Yield

Source: InvestingPro

Designer Brands has pursued an aggressive share repurchase strategy, resulting in repurchase yields of +19.6% over the past 12 months.

It reports results on August 29.

Designer Brands Price History
Designer Brands Price History

Source: InvestingPro

Its shares are up +52.64% in June.

Designer Brands Daily Chart
Designer Brands Daily Chart

Are you considering new stock additions to your portfolio or divesting from underperforming stocks? If you seek access to the finest market insights to optimize your investments, we recommend trying the InvestingPro professional tool for free for seven days.

Access first-hand market data, factors affecting stocks, and comprehensive analysis. Take advantage of this opportunity by visiting the link and unlocking the potential of InvestingPro to enhance your investment decisions.

And now, you can purchase the subscription at a fraction of the regular price. So, get ready to boost your investment strategy with our exclusive summer discounts!

As of 06/20/2023, InvestingPro is on sale!

Enjoy incredible discounts on our subscription plans:

  • Monthly: Save 20% and get the flexibility of a month-to-month subscription.
  • Annual: Save an amazing 50% and secure your financial future with a full year of InvestingPro at an unbeatable price.
  • Bi-Annual (Web Special): Save an amazing 52% and maximize your profits with our exclusive web offer.

Don't miss this limited-time opportunity to access cutting-edge tools, real-time market analysis, and expert opinions.

Join InvestingPro today and unleash your investment potential. Hurry, the Summer Sale won't last forever!

Summer Sale Is Live!
Summer Sale Is Live!

Disclaimer: This article was written for informational purposes only; it does not constitute a solicitation, offer, advice, counsel, or recommendation to invest, nor is it intended to encourage the purchase of assets in any way.

4 Small-Cap Powerhouses That Skyrocketed in June
 

Related Articles

4 Small-Cap Powerhouses That Skyrocketed in June

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind: 

  • Enrich the conversation
  • Stay focused and on track. Only post material that’s relevant to the topic being discussed.
  • Be respectful. Even negative opinions can be framed positively and diplomatically.
  •  Use standard writing style. Include punctuation and upper and lower cases.
  • NOTE: Spam and/or promotional messages and links within a comment will be removed
  • Avoid profanity, slander or personal attacks directed at an author or another user.
  • Don’t Monopolize the Conversation. We appreciate passion and conviction, but we also believe strongly in giving everyone a chance to air their thoughts. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.

Write your thoughts here
 
Are you sure you want to delete this chart?
 
Post
Post also to:
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
 
Are you sure you want to delete this chart?
 
Post
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Add Chart to Comment
Confirm Block

Are you sure you want to block %USER_NAME%?

By doing so, you and %USER_NAME% will not be able to see any of each other's Investing.com's posts.

%USER_NAME% was successfully added to your Block List

Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.

Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Continue with Google
or
Sign up with Email