Over the last 7 days, the United States market has risen by 1.5%, contributing to a remarkable 26% increase over the past year, with earnings projected to grow by 17% annually in the coming years. In this context of robust market performance, identifying small-cap stocks that are potentially undervalued and exhibit insider buying can offer intriguing opportunities for investors seeking to capitalize on these favorable conditions.

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

Name	PE	PS	Discount to Fair Value	Value Rating
First United	9.4x	2.7x	48.34%	★★★★★☆
Financial Institutions	8.8x	2.9x	32.43%	★★★★★☆
Ribbon Communications	14.3x	0.5x	36.30%	★★★★★☆
First Bancorp	8.8x	3.3x	45.12%	★★★★☆☆
New Peoples Bankshares	8.9x	2.3x	36.87%	★★★★☆☆
Ultralife	NA	0.5x	21.80%	★★★★☆☆
Metropolitan Bank Holding	12.6x	3.6x	41.34%	★★★☆☆☆
German American Bancorp	11.8x	4.3x	45.72%	★★★☆☆☆
Bank of Marin Bancorp	NA	11.5x	34.69%	★★★☆☆☆
Angel Studios	NA	1.4x	-52.96%	★★★☆☆☆

We'll examine a selection from our screener results.

ChoiceOne Financial Services (COFS)

Simply Wall St Value Rating: ★★★★★☆

Overview: ChoiceOne Financial Services operates as a community bank providing a range of banking services, with a market cap of $0.12 billion.

Operations: The primary revenue stream for the company is from its banking operations, with a reported revenue of $171.01 million. The net income margin has shown variability, reaching 32.62% in the most recent period. Operating expenses are significant, with general and administrative expenses being a major component at $83.22 million.

PE: 8.3x

ChoiceOne Financial Services, a small player in the financial sector, recently reported a significant turnaround with net income of US$13.7 million for Q1 2026 compared to a loss last year. Insider confidence is evident as Eric Burrough acquired 5,000 shares for US$142,500. The company declared a steady dividend of $0.29 per share. Despite these positives, earnings are expected to decline slightly over the next three years by an average of 0.2% annually, indicating potential challenges ahead.

Oak Valley Bancorp (OVLY)

Simply Wall St Value Rating: ★★★☆☆☆

Overview: Oak Valley Bancorp operates as a bank holding company providing a range of banking services primarily through its subsidiary, Oak Valley Community Bank, with a market capitalization of approximately $0.18 billion.

Operations: Oak Valley Bancorp generates revenue primarily from its banking operations, with a reported revenue of $81.82 million in the most recent period. The company has consistently achieved a gross profit margin of 100%, indicating no cost of goods sold. Operating expenses, including general and administrative costs, are significant components impacting net income margins, which have varied over time but recently stood at 29.24%.

PE: 11.4x

Oak Valley Bancorp, a smaller financial entity in the U.S., recently reported stable earnings for Q1 2026 with net income of US$5.31 million, mirroring last year's performance. Despite consistent earnings per share at US$0.64, insider confidence is evident as they purchased shares over recent months, signaling belief in future potential. The bank's current valuation may not reflect its intrinsic worth, providing an intriguing opportunity for investors seeking growth within this segment of the market.

Home Bancorp (HBCP)

Simply Wall St Value Rating: ★★★☆☆☆

Overview: Home Bancorp operates as a bank holding company, providing a range of banking services primarily through its wholly-owned subsidiary, Home Bank, and has a market capitalization of approximately $0.34 billion.

Operations: Home Bancorp generates revenue primarily from its banking operations, with recent figures showing $150.59 million in revenue. The company has consistently achieved a gross profit margin of 100%, indicating no reported cost of goods sold (COGS). Operating expenses are significant, with general and administrative expenses being the largest component, recently totaling $77.22 million. Net income margins have shown variability, most recently recorded at 30.85%.

PE: 10.7x

Home Bancorp, a small financial entity, showcases potential value with insider confidence evident through recent share purchases. Despite reporting net loan charge-offs of US$384,000 in Q1 2026—up from US$32,000 the previous year—the company maintains a low allowance for bad loans at 94%. From January to March 2026, they repurchased 4,332 shares for US$0.25 million. A quarterly dividend of US$0.31 per share underscores commitment to shareholder returns amidst industry challenges.

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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.