Insider Buying Highlights Undervalued Small Caps Across Regions In September 2025
As the S&P 500 hits new highs, small-cap stocks in the U.S. are gaining attention for their potential, particularly those with insider buying, indicating confidence from company insiders. Notable undervalued small caps include Civista Bancshares, Mid Penn Bancorp, and Third Coast Bancshares, all showing strong earnings growth and insider confidence. Civista reported a net income of $11.02 million for Q2 2025, while Mid Penn and Third Coast also demonstrated financial strength despite challenges. Investors are encouraged to explore these opportunities in the small-cap sector.
As the S&P 500 reaches new highs, driven by investor optimism ahead of key economic data releases, small-cap stocks in the United States are drawing attention for their potential opportunities amidst broader market movements. In this dynamic environment, identifying promising small-cap companies often involves looking at factors such as insider buying, which can signal confidence from those closest to the business.
Top 10 Undervalued Small Caps With Insider Buying In The United States
| Name | PE | PS | Discount to Fair Value | Value Rating |
|---|---|---|---|---|
| Angel Oak Mortgage REIT | 6.3x | 4.1x | 32.91% | ★★★★★★ |
| PCB Bancorp | 10.2x | 3.1x | 31.09% | ★★★★★☆ |
| Peoples Bancorp | 10.6x | 2.0x | 42.01% | ★★★★★☆ |
| Tandem Diabetes Care | NA | 0.8x | 49.62% | ★★★★★☆ |
| Thryv Holdings | NA | 0.7x | 30.75% | ★★★★☆☆ |
| Citizens & Northern | 11.9x | 2.9x | 39.53% | ★★★☆☆☆ |
| Shore Bancshares | 10.8x | 2.8x | -90.89% | ★★★☆☆☆ |
| Auburn National Bancorporation | 14.1x | 3.0x | 20.03% | ★★★☆☆☆ |
| Limbach Holdings | 37.0x | 2.4x | 36.59% | ★★★☆☆☆ |
| Farmland Partners | 7.1x | 8.6x | -42.51% | ★★★☆☆☆ |
Click here to see the full list of 83 stocks from our Undervalued US Small Caps With Insider Buying screener.
Let's dive into some prime choices out of from the screener.
Civista Bancshares (CIVB)
Simply Wall St Value Rating: ★★★★☆☆
Overview: Civista Bancshares is a financial services company primarily engaged in community banking operations, with a market capitalization of $0.31 billion.
Operations: Civista Bancshares generates revenue primarily from its banking operations, with a recent quarterly revenue of $157.43 million. The company has consistently reported a gross profit margin of 100%, indicating that all its revenue translates directly to gross profit. Operating expenses, notably general and administrative expenses, represent a significant portion of costs, impacting the net income margin which was last recorded at 24.89%.
PE: 10.4x
Civista Bancshares, a smaller player in the banking sector, recently reported strong earnings growth with net income of US$11.02 million for Q2 2025, up from US$7.06 million a year ago. Despite past shareholder dilution, insider confidence is evident as Dennis Murray increased their holdings by 16% in recent transactions totaling about US$138K. The company's strategic leadership changes and consistent dividend yield of 2.89% further underscore its potential for value-focused investors seeking growth opportunities in the financial industry.
- Take a closer look at Civista Bancshares' potential here in our valuation report.
- Gain insights into Civista Bancshares' historical performance by reviewing our past performance report.
Mid Penn Bancorp (MPB)
Simply Wall St Value Rating: ★★★☆☆☆
Overview: Mid Penn Bancorp operates as a full-service commercial banking and trust business with a market cap of approximately $0.25 billion.
Operations: The company primarily generates revenue through its full-service commercial banking and trust business, with recent figures showing $191.45 million in revenue. Operating expenses are significant, with general and administrative expenses reaching $98.55 million in the latest period. The net income margin has shown variability, currently standing at 23.00%.
PE: 15.9x
Mid Penn Bancorp, a smaller U.S. bank, is catching attention due to its recent financial activities and insider confidence. From April to June 2025, the company repurchased 62,812 shares for US$1.5 million, completing a larger buyback program. Despite being dropped from several Russell indexes in June 2025 and reporting lower net income of US$4.76 million for Q2 compared to last year’s US$11.77 million, insiders are showing faith by purchasing more shares recently. The company's forecasted earnings growth of 40% annually suggests potential future value despite past shareholder dilution challenges.
- Click here and access our complete valuation analysis report to understand the dynamics of Mid Penn Bancorp.
- Review our historical performance report to gain insights into Mid Penn Bancorp's's past performance.
Third Coast Bancshares (TCBX)
Simply Wall St Value Rating: ★★★★☆☆
Overview: Third Coast Bancshares operates as a community banking institution with a focus on providing financial services, holding a market cap of approximately $0.29 billion.
Operations: The company generates revenue primarily from community banking, with recent figures showing $182.32 million in revenue. Operating expenses are a significant cost component, totaling $108.61 million, with general and administrative expenses accounting for $93.78 million of this amount. The net income margin has shown an increasing trend over time, reaching 28.57%.
PE: 10.7x
Third Coast Bancshares, a smaller player in the banking sector, has demonstrated financial strength with a net income of US$16.75 million for Q2 2025, up from US$10.8 million the previous year. Basic earnings per share rose to US$1.12 from US$0.7, indicating potential growth opportunities despite recent net charge-offs of $2.38 million compared to $1.83 million last year. Insider confidence is evident through significant share purchases by executives this quarter, reflecting optimism about future performance and value enhancement prospects as earnings are projected to grow annually by 9.76%.
- Click to explore a detailed breakdown of our findings in Third Coast Bancshares' valuation report.
- Explore historical data to track Third Coast Bancshares' performance over time in our Past section.
Where To Now?
- Access the full spectrum of 83 Undervalued US Small Caps With Insider Buying by clicking on this link.
- Got skin in the game with these stocks? Elevate how you manage them by using Simply Wall St's portfolio, where intuitive tools await to help optimize your investment outcomes.
- Invest smarter with the free Simply Wall St app providing detailed insights into every stock market around the globe.
Interested In Other Possibilities?
- Explore high-performing small cap companies that haven't yet garnered significant analyst attention.
- Fuel your portfolio with companies showing strong growth potential, backed by optimistic outlooks both from analysts and management.
- Find companies with promising cash flow potential yet trading below their fair value.
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.
