Investors looking for hidden gems should keep an eye on small-cap stocks because they’re frequently overlooked by Wall Street. Many opportunities exist in this part of the market, but it is also a high-risk, high-reward environment due to the lack of reliable analyst price targets.
Luckily for you, our mission at StockStory is to help you make money and avoid losses by sorting the winners from the losers. Keeping that in mind, here is one small-cap stock that could be the next big thing and two that could be down big.
Two Small-Cap Stocks to Sell:
Silgan Holdings (SLGN)
Market Cap: $4.16 billion
Established in 1987, Silgan Holdings (NYSE: SLGN) is a supplier of rigid packaging for consumer goods products, specializing in metal containers, closures, and plastic packaging.
Why Do We Steer Clear of SLGN?
- Sales trends were unexciting over the last two years as its 4.1% annual growth was below the typical industrials company
- Estimated sales growth of 2.5% for the next 12 months implies demand will slow from its two-year trend
- Competitive supply chain dynamics and steep production costs are reflected in its low gross margin of 16.8%
At $39.45 per share, Silgan Holdings trades at 10.4x forward P/E. If you’re considering SLGN for your portfolio, see our FREE research report to learn more.
ManpowerGroup (MAN)
Market Cap: $1.33 billion
Founded during the post-World War II economic boom when businesses needed temporary workers, ManpowerGroup (NYSE: MAN) connects millions of people to employment opportunities through its global network of staffing, recruitment, and workforce management services.
Why Do We Avoid MAN?
- Products and services are facing end-market challenges during this cycle, as seen in its flat sales over the last five years
- Sales over the last five years were less profitable as its earnings per share fell by 21.9% annually while its revenue was flat
- Waning returns on capital from an already weak starting point displays the inefficacy of management’s past and current investment decisions
ManpowerGroup’s stock price of $28.61 implies a valuation ratio of 8x forward P/E. Read our free research report to see why you should think twice about including MAN in your portfolio.
One Small-Cap Stock to Buy:
Euronet Worldwide (EEFT)
Market Cap: $2.61 billion
Operating a global network of over 47,000 ATMs and 821,000 point-of-sale terminals across more than 60 countries, Euronet Worldwide (NASDAQ: EEFT) provides electronic payment solutions including ATM services, prepaid product processing, and international money transfer services.
Why Should You Buy EEFT?
- 11.3% annual revenue growth over the last five years surpassed the sector average as its products resonated with customers
- Share repurchases have amplified shareholder returns as its annual earnings per share growth of 28% exceeded its revenue gains over the last five years
- Stellar return on equity showcases management’s ability to surface highly profitable business ventures
Euronet Worldwide is trading at $66.25 per share, or 5.9x forward P/E. Is now the right time to buy? Find out in our full research report, it’s free.
Stocks We Like Even More
ALSO WORTH WATCHING: Top 5 Momentum Stocks. The best time to own a great stock is when the market is finally noticing it. These aren't just high-quality businesses. Something is happening with them right now. Elite fundamentals meeting near-term momentum — both boxes checked at the same time.
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Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,326% between June 2020 and June 2025) as well as under-the-radar businesses like the once-micro-cap company Kadant (+351% five-year return). Find your next big winner with StockStory today.
