Often times in the public markets, a diligent investor can find some interesting opportunities that are substantially mispriced - especially in microcap land.
Today I will discuss a U.S. based microcap that has been consistently profitable, has paid a dividend every year for the last 10 years and is trading for less than liquidation value.
The current dividend yield for this company is 7.5%, and the market is currently valuing this company at only 2.5x EV/pre-tax earnings.
This company is debt free and has a net cash position that covers more than 80% of the entire market cap.
In addition, this company owns its headquarters, which is an industrial warehouse/office building in a desirable area that is likely valued at only 25 - 30% of fair market value on its balance sheet.
The closest comparable was sold in May 2025 for $225 per square foot, which would imply a value of $11.25 million for this company’s owned real estate. That’s worth nearly the entire market cap of this company.
Let’s take a look…
