Small Cap Report
The best scoring small caps from one year ago (12/20/2012) have outperformed the R2K by 1,731 bps over the past year, with no turnover. Returns have been led by MEI up 249%, MDSO up 186%, BBSI up 120%, NLS up 106%, PRO up 101% and CIR up 98%.
- The best small cap sector is industrial goods.
- The top small cap industry is consumer services.
The average small cap score is 62.97, below the 64.22 4 week moving average. The average small cap is trading 6.25% above its 200 dma, has 7.61 days to cover short and is expected to see EPS growth of 32.19% next year.
The best small cap sector is industrial goods. Financials and services also score above average. Consumer, technology, basics, healthcare and utilities score below average.
| SMALL CAP | 12/19/2013 | 4 Week MA | |||
| Company Name | Symbol | Sector | INDUSTRY | SCORE | SCORE |
| BEST | |||||
| Dxp Enterprises Inc | DXPE | SERVICES | INDUSTRIAL EQUIPMENT WHOLESALE | 105 | 103.75 |
| Gabelli Asset | GBL | FINANCIALS | INVESTMENT BROKERAGE | 105 | 100 |
| Outerwall | OUTR | SERVICES | SPECIALTY RETAIL, OTHER | 105 | 103.75 |
| Bank of The Ozarks | OZRK | FINANCIALS | REGIONAL BANKS | 105 | 100 |
| Piper Jaffray | PJC | FINANCIALS | ASSET MANAGEMENT | 105 | 105 |
| Trex Co. | TREX | INDUSTRIAL GOODS | LUMBER, WOOD PRODUCTION | 105 | 102.5 |
| AngioDynamics Inc | ANGO | HEALTHCARE | MEDICAL INSTRUMENTS & SUPPLIES | 100 | 101.25 |
| Arthrocare Corp. | ARTC | HEALTHCARE | MEDICAL APPLIANCES & EQUIPMENT | 100 | 93.75 |
| Infospace | BCOR | TECHNOLOGY | INTERNET INFORMATION PROVIDER | 100 | 88.75 |
| Belden CDT | BDC | INDUSTRIAL GOODS | INDUSTRIAL ELECTRICAL EQUIPMENT | 100 | 100 |
| Haemonetics | HAE | HEALTHCARE | MEDICAL INSTRUMENTS & SUPPLIES | 100 | 91.25 |
| L H C Group | LHCG | HEALTHCARE | HOME HEALTH CARE | 100 | 86.25 |
| Methode Elect | MEI | TECHNOLOGY | DIVERSIFIED ELECTRONICS | 100 | 102.5 |
| Middleby Corp | MIDD | INDUSTRIAL GOODS | DIVERSIFIED MACHINERY | 100 | 100 |
| Synaptics | SYNA | TECHNOLOGY | INFORMATION TECHNOLOGY SERVICES | 100 | 95 |
| Encore Wire | WIRE | BASIC MATERIALS | COPPER | 100 | 90 |
| AAR Corp | AIR | INDUSTRIAL GOODS | AEROSPACE/DEFENSE PRODUCTS & SERVICES | 95 | 97.5 |
| Aerovironment Inc. | AVAV | INDUSTRIAL GOODS | AEROSPACE/DEFENSE PRODUCTS & SERVICES | 95 | 96.25 |
| Banner Corp | BANR | FINANCIALS | SAVINGS & LOANS | 95 | 93.75 |
| Barrett Business Services | BBSI | SERVICES | STAFFING & OUTSOURCING SERVICES | 95 | 92.5 |
| Beazer Homes USA Inc | BZH | INDUSTRIAL GOODS | RESIDENTIAL CONSTRUCTION | 95 | 93.75 |
| Calamp Corp | CAMP | TECHNOLOGY | COMMUNICATION EQUIPMENT | 95 | 91.25 |
| Calgon Carbon Corp. | CCC | INDUSTRIAL GOODS | POLLUTION & TREATMENT CONTROLS | 95 | 96.25 |
| Cognex | CGNX | TECHNOLOGY | SCIENTIFIC & TECHNICAL INSTRUMENTS | 95 | 93.75 |
| Cantel Medical Corp. | CMN | HEALTHCARE | MEDICAL INSTRUMENTS & SUPPLIES | 95 | 88.75 |
| Commtech Telecom | CMTL | TECHNOLOGY | COMMUNICATION EQUIPMENT | 95 | 93.75 |
| Carrizo Oil and Gas Inc | CRZO | BASIC MATERIALS | INDEPENDENT GAS & OIL | 95 | 92.5 |
| Bottomline Tech | EPAY | TECHNOLOGY | APPLICATION SOFTWARE | 95 | 96.25 |
| Faro Tech | FARO | TECHNOLOGY | SCIENTIFIC & TECHNICAL INSTRUMENTS | 95 | 92.5 |
| First Fin'l Bankshares | FFIN | FINANCIALS | REGIONAL BANKS | 95 | 97.5 |
| MarineMax, Inc. | HZO | SERVICES | SPECIALTY RETAIL, OTHER | 95 | 96.25 |
| Kadant Inc | KAI | CONSUMER GOODS | PAPER & PAPER PRODUCTS | 95 | 93.75 |
| Korn/Ferry International Inc | KFY | SERVICES | STAFFING & OUTSOURCING SERVICES | 95 | 93.75 |
| Matthews Intl Corp Cl A | MATW | INDUSTRIAL GOODS | METAL FABRICATION | 95 | 93.75 |
| Monolithic Power Sys | MPWR | TECHNOLOGY | SEMICONDUCTOR-SPECIALIZED | 95 | 97.5 |
| Navigant Consulting Inc | NCI | SERVICES | MANAGEMENT SERVICES | 95 | 98.75 |
| NUTRISYSTEM Inc | NTRI | SERVICES | CONSUMER SERVICES | 95 | 96.25 |
| Northwest Bancorp Inc | NWBI | FINANCIALS | SAVINGS & LOANS | 95 | 97.5 |
| Old Dominion Freight Line Inc | ODFL | SERVICES | TRUCKING | 95 | 93.75 |
| Orient Express Hotels Ltd | OEH | SERVICES | LODGING | 95 | 88.75 |
| PolyOne | POL | BASIC MATERIALS | SYNTHETICS | 95 | 95 |
| Standard Motor Products Inc | SMP | CONSUMER GOODS | AUTO PARTS | 95 | 75 |
| Sykes Enterprises | SYKE | TECHNOLOGY | INFORMATION TECHNOLOGY SERVICES | 95 | 97.5 |
| Amerco Inc | UHAL | SERVICES | RENTAL & LEASING SERVICES | 95 | 96.25 |
| WORST | |||||
| Mannatech | MTEX | HEALTHCARE | DRUG RELATED PRODUCTS | 10 | 27.5 |
| Rediff.com | REDF | TECHNOLOGY | INTERNET INFORMATION PROVIDER | 10 | 11.25 |
| Telik Inc. | TELK | HEALTHCARE | DRUG MANUFACTURERS | 10 | 13.75 |
| Aviat Networks | AVNW | TECHNOLOGY | COMMUNICATION EQUIPMENT | 15 | 17.5 |
| 1 800 Flowers.com Inc Cl A | FLWS | SERVICES | CATALOG & MAIL ORDER HOUSES | 15 | 16.25 |
| Novatel Wireless | NVTL | TECHNOLOGY | BUSINESS SOFTWARE & SERVICES | 15 | 15 |
Commentary:
The best small cap industry is consumer services (NTRI, MNRO). Metal fabrication (MATW, GHM) enjoys growth thanks to rising auto, airplane, and appliance production. Staffing (KFY, BBSI, ASGN, KFRC) offers upside through the peak holiday staffing season. Technical & system software (TYL, EVOL, ACIW) is strong scoring as managers shift their focus to potential spending growth next year. Management services (NCI, HSII) demand has tailwinds as economic activity improves in Europe and continues to improve in the U.S.
In small cap basics, buy industrial metals & minerals (BOOM), steel & iron (ROCK, HSC), and synthetics (POL, MTX). In consumer goods, only business equipment (LYTS) and sporting goods (SWHC, RGR) score above average. In financials, focus on regional banks (OZRK, FFIN, NPBC, BBCN, TCBK, CATY), investment brokers (GBL, MKTX) and P&C insurers (GLRE). The top healthcare groups include home healthcare (LHCG, GTIV), generic drugs and medical instruments (HAE, ANGO, CMN, MGCD). Across industrials, buy metal fabrication, aerospace/defense (AVAV, AIR), and industrial equipment (CIR, ASEI). The top services industries are consumer services, staffing, and management services. In technology, buy technical & system software, scientific & technical instruments, and computer peripherals (EFII, SSYS, QUMU).
| SMALL CAP INDUSTRY SCORE | 12/19/2013 | |
| Sector | INDUSTRY | Score |
| BASIC MATERIALS | INDUSTRIAL METALS & MINERALS | 77.50 |
| BASIC MATERIALS | STEEL & IRON | 74.17 |
| BASIC MATERIALS | SYNTHETICS | 71.25 |
| BASIC MATERIALS | OIL & GAS EQUIPMENT & SERVICES | 68.33 |
| BASIC MATERIALS | OIL & GAS DRILLING & EXPLORATION | 56.67 |
| BASIC MATERIALS | INDEPENDENT OIL & GAS | 52.86 |
| CONSUMER GOODS | BUSINESS EQUIPMENT | 72.50 |
| CONSUMER GOODS | SPORTING GOODS | 66.25 |
| CONSUMER GOODS | PROCESSED & PACKAGED GOODS | 63.00 |
| CONSUMER GOODS | TEXTILES | 61.43 |
| CONSUMER GOODS | AUTO PARTS | 59.00 |
| CONSUMER GOODS | PERSONAL PRODUCTS | 57.50 |
| CONSUMER GOODS | FARM PRODUCTS | 55.00 |
| CONSUMER GOODS | HOME FURNISHING & FIXTURES | 40.00 |
| FINANCIALS | REGIONAL BANKS | 79.58 |
| FINANCIALS | INVESTMENT BROKERAGE | 71.67 |
| FINANCIALS | PROPERTY & CASUALITY INSURANCE | 70.00 |
| FINANCIALS | SAVINGS & LOANS | 68.00 |
| FINANCIALS | CREDIT SERVICES | 51.67 |
| FINANCIALS | REITS | 46.67 |
| HEALTHCARE | HOME HEALTH CARE | 81.25 |
| HEALTHCARE | DRUGS-GENERIC | 80.00 |
| HEALTHCARE | MEDICAL INSTRUMENTS & SUPPLIES | 78.57 |
| HEALTHCARE | SPECIALIZED HEALTH SERVICES | 63.33 |
| HEALTHCARE | MEDICAL APPLIANCES & EQUIPMENT | 59.72 |
| HEALTHCARE | BIOTECHNOLOGY | 55.53 |
| HEALTHCARE | DRUG MANUFACTURERS | 52.78 |
| HEALTHCARE | DRUG RELATED PRODUCTS | 33.33 |
| INDUSTRIAL GOODS | METAL FABRICATION | 92.50 |
| INDUSTRIAL GOODS | AEROSPACE/DEFENSE PRODUCTS & SERVICES | 80.00 |
| INDUSTRIAL GOODS | INDUSTRIAL EQUIPMENT & COMPONENTS | 80.00 |
| INDUSTRIAL GOODS | DIVERSIFIED MACHINERY | 76.00 |
| INDUSTRIAL GOODS | FARM & CONSTRUCTION MACHINERY | 75.00 |
| INDUSTRIAL GOODS | INDUSTRIAL ELECTRICAL EQUIPMENT | 75.00 |
| INDUSTRIAL GOODS | RESIDENTIAL CONSTRUCTION | 67.50 |
| INDUSTRIAL GOODS | HEAVY CONSTRUCTION | 67.00 |
| INDUSTRIAL GOODS | GENERAL BUILDING MATERIALS | 48.75 |
| SERVICES | CONSUMER SERVICES | 92.50 |
| SERVICES | STAFFING & OUTSOURCING SERVICES | 89.00 |
| SERVICES | MANAGEMENT SERVICES | 83.75 |
| SERVICES | RAILROADS | 81.67 |
| SERVICES | LODGING | 77.50 |
| SERVICES | TRUCKING | 70.00 |
| SERVICES | BUSINESS SERVICES | 65.00 |
| SERVICES | SPECIALTY RETAIL, OTHER | 64.29 |
| SERVICES | EDUCATION & TRAINING SERV | 60.00 |
| SERVICES | RESEARCH SERVICES | 60.00 |
| SERVICES | BROADCASTING | 59.00 |
| SERVICES | RESTAURANTS | 59.00 |
| SERVICES | RESORTS AND CASINOS | 58.33 |
| SERVICES | MARKETING SERVICES | 53.75 |
| SERVICES | APPAREL STORES | 53.13 |
| SERVICES | CATALOG & MAIL ORDER HOUSES | 46.67 |
| TECHNOLOGY | TECHINICAL & SYSTEM SOFTWARE | 87.50 |
| TECHNOLOGY | SCIENTIFIC & TECHNICAL INSTRUMENTS | 77.00 |
| TECHNOLOGY | COMPUTER PERIPHERALS | 75.00 |
| TECHNOLOGY | INFORMATION TECHNOLOGY SERVICES | 75.00 |
| TECHNOLOGY | APPLICATION SOFTWARE | 72.14 |
| TECHNOLOGY | DIVERSIFIED ELECTRONICS | 70.00 |
| TECHNOLOGY | BUSINESS SOFTWARE & SERVICES | 67.50 |
| TECHNOLOGY | SEMICONDUCTOR EQUIPMENT & MATERIALS | 65.00 |
| TECHNOLOGY | INTERNET INFORMATION PROVIDER | 63.33 |
| TECHNOLOGY | NETWORKING & COMMUNICATION DEVICES | 60.00 |
| TECHNOLOGY | COMMUNICATION EQUIPMENT | 57.50 |
| TECHNOLOGY | SEMICONDUCTOR-SPECIALIZED | 57.50 |
| TECHNOLOGY | PRINTED CIRCUIT BOARDS | 56.67 |
| TECHNOLOGY | SEMICONDUCTOR- INTEGRATED CIRCUITS | 52.86 |
| TECHNOLOGY | MULTIMEDIA & GRAPHICS SOFTWARE | 45.00 |
| TECHNOLOGY | INTERNET SOFTWARE & SERVICES | 42.78 |
| TECHNOLOGY | WIRELESS COMMUNICATIONS | 35.00 |
| TECHNOLOGY | INTERNET SERVICE PROVIDERS | 25.00 |
None.
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