4 Small Cap Stocks with Big Insider Buying

Management purchases are usually a good sign for investors

SmallCapPower | April 18, 2016: Insider buying can be a strong indication of a mismatch between the current trading share price of a firm, and its intrinsic value (what the shares should be trading at). Management, by far, has the best understanding of their business, and hence most often have the best opinions about valuation. Thus, purchasing their own stock is often a good sign for investors, which could be the case for shareholders of the companies on our list today.

SciVacEchelon Financial Holdings (TSE:EFH)
Market Cap: $168mm


Echelon Financial Holdings Inc, formerly EGI Financial Holdings Inc., is a Canada-based company engaged in property and casualty insurance. It operates through four segments: Personal Lines and Specialty Programs businesses in Canada, ICPEI in the Maritime Provinces and the specialty business in the International division. The Company’s wholly-owned subsidiaries are EGI Insurance Managers Inc., Echelon General Insurance Company, CIM Reinsurance Company Ltd. and CUISA Managing General Agency Corporation.

Net Insider Buying Volume: 780mm shares

SciVacTrican Well Service (TSE:TCW)
Market Cap: $225mm


Trican Well Service Ltd. is a Canada-based oilfield services company, which provides specialized products, equipment, services and technology for use in the drilling, completion, stimulation and reworking of oil and gas wells in Canada, the United States and International operations, made up of Russia, Kazakhstan, Australia, Colombia, Saudi Arabia and Norway. The Company has three operating divisions: Canada, the United States and International.

Net Insider Buying Volume: 257mm shares

SciVacLithium Americas (TSE:LAC)
Market Cap: $225mm


Lithium Americas Corp, formerly Western Lithium USA Corporation, is a Canada-based company that is focused on the development of Cauchari-Olaroz Lithium Project and the Lithium Nevada project. The Company’s segments include Hectatone, Lithium Nevada, Cauchari-Olaroz and Corporate. The Company’s Cauchari-Olaroz Lithium Project is a lithium brine mineral project located in Jujuy province, Argentina. Its Lithium Nevada project is a smectite clay-based lithium project and located in northwestern Nevada, the United States.

Net Insider Buying Volume: 200mm shares

SciVacSurge Energy Inc. (TSE:SGY)
Market Cap: $484mm


Surge Energy Inc. is a Canada-based oil and gas exploration, development and production company focused on, and operates, gravity crude oil properties, primarily in Alberta, Saskatchewan and Manitoba, characterized by oil in place crude oil reservoirs. The Company’s principal oil and natural gas producing properties are located in Alberta, Saskatchewan and Manitoba.

Net Insider Buying Volume: 120mm shares

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