Global Small Caps with Insider Buying: Undervalued Gems in September 2025

In volatile markets, insider buying often serves as a powerful signal of corporate confidence. As of September 2025, three global small-cap stocks—AcadeMedia AB (STO:ACAD), Flagship Communities REIT (TSX:MHC.UN), and Boozt AB (STO:BOOZT)—stand out for their compelling combination of strong financial performance, strategic insider activity, and undervalued metrics. These companies offer investors a unique opportunity to capitalize on insider optimism while navigating market uncertainty.

AcadeMedia: Education Sector Growth with Margin Expansion

AcadeMedia, a Swedish education services provider, delivered robust Q2 2025 results, with organic growth of 6.6% and total growth exceeding 13% [1]. Revenue reached SEK 5.1 billion, while net income surged to SEK 321 million, a 30% year-on-year increase [2]. The company’s adjusted profit margin hit 5.6%, driven by the acquisition of Finland’s Touhula, which enhanced international diversification [3].

Despite these gains, AcadeMedia’s valuation remains attractive. Its trailing P/E ratio of 11.85 [4] is below the 10-year average of 11.77, suggesting undervaluation relative to historical norms. The price-to-book ratio of 1.37 [5] further indicates a conservative market assessment of its asset base.

Insider confidence has been a key theme. Insiders increased their stake between May and August 2025, signaling long-term optimism [6]. Coupled with a dividend hike to SEK 2.25 per share—a 28% increase—this suggests management’s belief in sustainable cash flow generation [7]. Analysts project a 66.1% EPS growth over the next year [8], making AcadeMedia a high-conviction play in the education sector.

Flagship Communities REIT: Dividend Stability and Strategic Acquisitions

Flagship Communities REIT, a Canadian real estate investment trust (REIT), has emerged as a defensive small-cap gem. With a trailing P/E of 3.70 and a forward P/E of 12.35 [9], its valuation appears exceptionally cheap, particularly for a company with consistent dividend payouts. The REIT declared a monthly dividend of US$0.0517 per unit, translating to an annualized yield of ~2.45% at its current price of $25.25 [10].

Insider activity in September 2025 underscores management’s confidence. CEO Kurtis Keeney purchased 936 units at $18.05–$18.06 per share, while other executives spent $76.7K on shares in August [11]. These purchases align with the REIT’s strategic expansion, including the acquisition of a 504-lot manufactured housing community in Kentucky [12]. Analysts from Raymond James and RBC have upgraded their price targets, with a consensus “Buy” rating and a $21.50 average target [13].

The REIT’s price-to-book ratio of 0.56 [14] highlights its asset-rich nature, while its focus on U.S. manufactured housing—a sector with stable demand—provides downside protection. For income-focused investors, Flagship Communities REIT combines defensive characteristics with growth potential.

Boozt: E-Commerce Resilience and Shareholder Returns

Boozt, a Swedish online fashion and lifestyle retailer, navigated Q2 2025 with mixed results. While revenue dipped 3% year-on-year to SEK 1.82 billion [15], profit rose 29% to SEK 76 million, driven by cost discipline and a strong Booztlet.com segment [16]. The company’s adjusted EBIT margin of 3.4% [17] lags behind 2024, but free cash flow doubled to SEK 186 million, enabling an expanded share buyback program (now SEK 300 million) [18].

Valuation metrics suggest Boozt is undervalued. Its trailing P/E of 16.65 and forward P/E of 16.72 [19] are modest for a growth stock, while the price-to-book ratio of 1.96 [20] reflects a market discount to its tangible assets. Insider Mads Famme’s purchase of 7,015 shares for SEK 596,255 in September 2025 [21] signals conviction in the company’s turnaround strategy.

Boozt’s full-year guidance—0–6% revenue growth and a 4.5–5.5% adjusted EBIT margin [22]—remains conservative, leaving room for upside if its diversification into new categories accelerates.

Strategic Implications for Investors

The three case studies highlight a common thread: insider buying as a catalyst for unlocking value. In AcadeMedia’s case, management’s stake increases and dividend hike reflect confidence in margin expansion. Flagship Communities REIT’s insider purchases align with its low P/E and defensive dividend profile, while Boozt’s buybacks and insider activity suggest undervaluation in a cyclical sector.

For investors, these stocks represent opportunities to leverage insider optimism in volatile markets. AcadeMedia and Flagship Communities REIT offer income and stability, while Boozt provides growth potential at a discount. However, risks such as macroeconomic headwinds (e.g., interest rate sensitivity for REITs) and sector-specific challenges (e.g., e-commerce competition) warrant careful monitoring.

Source

[1] Q2 2025 AcadeMedia AB Earnings Call Transcript [https://www.gurufocus.com/stock/CHIX:ACADS/transcripts/2686319]
[2] Global Undervalued Small Caps With Insider Actions In September 2025 [https://finance.yahoo.com/news/global-undervalued-small-caps-insider-093936092.html]
[3] AcadeMedia (OM:ACAD) - Earnings & Revenue Performance [https://simplywall.st/stocks/se/consumer-services/sto-acad/academedia-shares/past]
[4] AcadeMedia AB (OSTO:ACAD) PE Ratio (TTM) [https://www.gurufocus.com/term/pettm/OSTO:ACAD]
[5] AcadeMedia AB (ACAD.ST) valuation measures and financial ... [https://uk.finance.yahoo.com/quote/ACAD.ST/key-statistics/]
[6] AcadeMedia's (STO:ACAD) Upcoming Dividend Will Be Larger Than Last Year's [https://simplywall.st/stocks/se/consumer-services/sto-acad/academedia-shares/news/academedias-stoacad-upcoming-dividend-will-be-larger-than-la]
[7] Global Undervalued Small Caps With Insider Actions In ... [https://finance.yahoo.com/news/global-undervalued-small-caps-insider-093936092.html]
[8] AcadeMedia (OM:ACAD) - Earnings & Revenue Performance [https://simplywall.st/stocks/se/consumer-services/sto-acad/academedia-shares/past]
[9] Flagship Communities Real Estate Investment Trust (MHCUF) [https://finance.yahoo.com/quote/MHCUF/]
[10] Stocks-in-Play: Flagship Communities Real Estate Investment Trust [https://www.barchart.com/story/news/34181491/stocks-in-play-flagship-communities-real-estate-investment-trust]
[11] Flagship Communities REIT Investment Trust insider trading [https://www.tipranks.com/stocks/tse:mhc.u/insider-trading]
[12] Global Undervalued Small Caps With Insider Actions In ... [https://finance.yahoo.com/news/global-undervalued-small-caps-insider-093936092.html]
[13] Flagship Communities Real Estate Investment Trust (TSE:MHC.UN) receives consensus rating of "Buy" [https://www.marketbeat.com/instant-alerts/flagship-communities-real-estate-investment-trust-tsemhcun-receives-consensus-rating-of-buy-from-analysts-2025-08-30/]
[14] Flagship Communities Real Estate Investment Trust (MHCUF) [https://finance.yahoo.com/quote/MHCUF/]
[15] Boozt Q2 2025 slides: Revenue dips 3% as June shows recovery signs [https://www.investing.com/news/company-news/boozt-q2-2025-slides-revenue-dips-3-as-june-shows-recovery-signs-93CH-4194569]
[16] Boozt AB (BOZTY) Q2 2025 Earnings Call Highlights [https://finance.yahoo.com/news/boozt-ab-bozty-q2-2025-070124527.html]
[17] Boozt AB (publ) (BOOZT-DKK.CO) - Yahoo Finance [https://finance.yahoo.com/quote/BOOZT-DKK.CO/]
[18] Boozt AB (BOZTY) Q2 2025 Earnings Call Highlights [https://finance.yahoo.com/news/boozt-ab-bozty-q2-2025-070124527.html]
[19] Boozt AB (STO:BOOZT) Statistics & Valuation Metrics [https://stockanalysis.com/quote/sto/BOOZT/statistics/]
[20] Boozt AB (publ) (BOOZT-DKK.CO) - Yahoo Finance [https://finance.yahoo.com/quote/BOOZT-DKK.CO/]
[21] Undervalued Small Caps With Insider Activity In Global For ... [https://finance.yahoo.com/news/undervalued-small-caps-insider-activity-093938280.html]
[22] Boozt Q2 2025 slides: Revenue dips 3% as June shows recovery signs [https://www.investing.com/news/company-news/boozt-q2-2025-slides-revenue-dips-3-as-june-shows-recovery-signs-93CH-4194569]