3 Small Cap Stocks to Buy💎
3 Premium Small Cap Picks🧠
The idea is that small-cap stocks have a lot of room to grow. If you can pick a few great small caps before the large institutions buy them, you can do well over time. As the small-cap businesses become large enough to interest larger funds & institutional players, the stock price surges and we retire with a healthy nest egg.
Definition: A small capitalization stock is a business that is worth between $300 million to $2 billion.
3 Quality Small Caps
These small caps are not household names just yet. They have great fundamentals and ride secular trends that can support their growth for many years to come. Let’s dive in:
Market capitalization: $386.5 million
Free cash flow per share CAGR 5-Year: +15.62%
Earnings per share CAGR 5-Year: +23.64%
Gross Margin: 25.3%
Operating margin: 12.1%
Interest Cover: 30x
5 Year Price CARG: 21.3%
In the fast-evolving landscape of digital transformation and technology consulting, few companies have demonstrated the impressive growth trajectory that Gofore has experienced in recent years.
Gofore posts an impressive track record over the last 10 years with a revenue CAGR of 40.8%, Net Income CAGR of 35.09%, and free cash flow CAGR of 42.94%. A truly remarkable result. There is reason to believe that Gofore can keep its growth between 20-25% for the next 3-5 years.
3 Elements that make Gofore interesting
1. Digital Transformation in Finland and Beyond
Gofore has strategically positioned itself as a key player in helping businesses make the digital leap. They provide cutting-edge solutions and services, and Gofore has built a network of trusted partners in Finland. Their capabilities are in high demand, and will likely be so for the next 5 years as more businesses need guidance in their digital transformations. Additionally, there is potential to look outside the Finnish borders to expand their growth further.
2. Client-Centric Approach
Gofore places a strong emphasis on understanding and meeting the unique needs of its clients. This client-centric approach has been a significant driver of customer retention and acquisition. By building long-term relationships and consistently delivering value, Gofore has established itself as a go-to partner for businesses seeking digital transformation solutions.
3. Talent Development and Retention
A crucial aspect of Gofore's success lies in its ability to attract and retain top talent. The company invests in continuous learning and development programs, creating a culture that fosters innovation and excellence. This commitment to nurturing its workforce ensures that Gofore maintains a competitive edge in the industry.
Gofore has a 4.1-star rating on Glassdoor, and 90% of employees would recommend the company to a friend. We know that better places to work are correlated with higher stock returns.