A Trio of Small Caps for the Growth-Oriented Investor

Wall Street also recommends optimistic ratings for these companies

Summary
  • Plantronics Inc, The Joint Corp and Uxin Ltd have improved their bottom line significantly in the past year.
  • They are drawing the attention of growth-oriented investors.
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Investors who are focused on growth may want to consider the following three small-cap stocks, as they represent companies whose trailing 12-month net earnings per share have grown significantly on a year-over-year basis.

Wall Street sell-side analysts have also issued optimistic recommendation ratings for each of them.

Plantronics Inc

The first company to consider is Plantronics Inc (POLY, Financial). Based in Santa Barbara, California, the company manufactures and sells headsets, software, desk phones, audio and video conferencing, analytics and related services. These technologies and services are used in various work environments in North America and internationally.

Plantronics Inc's adjusted earnings per share for the trailing 12 months ended on July 2, 2021 was $4.23 compared to adjusted earnings per share of $2.17 a year ago.

The share price ($31.19 as of July 30) has risen by 57.45% over the past year for a 52-week range of $10.95 to $50.89 and a market capitalization of $1.32 billion.

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On Wall Street, as of August, the stock has a median recommendation rating of overweight with an average target price of $41.67 per share.

The Joint Corp

The second stock to consider is The Joint Corp (JYNT, Financial), a Scottsdale, Arizona-based owner and operator of 600 medical care facilities across 35 states, where U.S. patients can get chiropractic treatments.

The Joint Corp's earnings per share for the trailing 12 months ended on March 30 was $1 compared to earnings per share of $0.22 for the same period ended on March 31, 2020.

The share price ($78.99 as of July 30) has risen by 433.36% over the past year, determining a 52-week range of $13.65 to $89.68 and a market capitalization of $1.12 billion.

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On Wall Street, as of August, the stock has a median recommendation rating of buy with an average target price of $77 per share.

Uxin Ltd

The third company to consider is Uxin Ltd (UXIN, Financial), a China-based operator of an e-commerce platform where Chinese consumers can find used cars.

Uxin Ltd reported a net loss of $0.10 per share for the trailing 12 months ended on July 30, 2021, but this marked a significant improvement from the same period of the year before when the net loss was $0.24.

The market has welcomed the improvement, as the stock price ($3.68 apiece as of July 30) has risen by nearly 200% over the past year for a 52-week range of $0.72 to $5.82 and a market capitalization of $1.46 billion.

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The bottom line of the income statement is set to continue to improve on a higher number of used vehicles acquired through the e-commerce channel in China. This is expected to exceed 4.5 million used vehicles this year, which will be a 20.1% jump from 2020.

On Wall Street, as of August, the stock has one recommendation rating of buy with a price target of about $6.40 per share.

Disclosure: I have no positions in any securities mentioned.

Disclosures

I/we have no positions in any stocks mentioned, and have no plans to buy any new positions in the stocks mentioned within the next 72 hours. Click for the complete disclosure