Three Small-Cap Stocks to Avoid: SunOpta, Leggett & Platt, and Oaktree Specialty Lending.
ByAinvest
Tuesday, Mar 3, 2026 2:21 pm ET1min read
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Three small-cap stocks to avoid are SunOpta (STKL), Leggett & Platt (LEG), and Oaktree Specialty Lending (OCSL). These companies have struggled with declining sales and profitability, limited distribution channels, and weak free cash flow margins. SunOpta's revenue base is too small, while Leggett & Platt's products have few die-hard fans and eroding returns on capital. Oaktree Specialty Lending has annual sales declines and loan losses that have eroded its tangible book value per share.
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