NEW YORK (BestCredit) -- When investors are looking to enter into the small-cap space, the primary consideration is usually an enhanced potential for growth relative to large-cap counterparts in a similar industry.
There is certainly nothing wrong with this strategy but it should be remembered that there are small-cap stocks that offer substantial dividends from companies with stable payout histories, as well. Here, we will look at three stock choices (one poised for growth, two offering elevated dividend payouts) for investors looking in areas other than the commonly traded blue-chips.
A Small-Cap for Growth
Courtesy of OT TrendOn the growth side, we look at SoupMan (SOUP), a stock that offers sustainable value, a diversified marketing strategy, and a growing product line. The stock is trading at the lower end of its yearly range, and recent media moves capitalizing on Super Bowl advertising has helped to bring added attention to the company's expanding presence in casino restaurants and supermarket outlets.
With a current market cap of $19.4 million, the company offers an attractive valuation and the potential for massive growth for long-term investors that are able to withstand market volatility. The best arguments for potential in the stock can be seen in added sales numbers that are likely to come as a result of new strategic relationships with CCA Foods (CAW), Whole Foods (WFM), and Wegman's. These deals will allow SoupMan to improve its positioning in a broad range of consumer outlets -- something that is not seen in most of SoupMan's industry counterparts.
Select the service that is right for you!COMPARE ALL SERVICES
Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.
- Real Money + Doug Kass Plus 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV