BOSTON ( TheStreet) -- Small-cap stocks have struggled in the past month, with the Russell 2000 Index sinking 6%. These companies are bucking the trend, and their shares have room to rise. 5. National Bankshares ( NKSH) is a bank in Virginia.
The numbers: Third-quarter net income increased 5% to $3.8 million, or 54 cents a share, as revenue rose 1% to $15 million. The company's gross margin widened from 69% to 72%, and its operating margin expanded from 44% to 50%. National Bankshares has an ideal financial position, with $35 million of cash and minimal debt. The stock: National Bankshares has increased 44% this year, outpacing major U.S. indices. The stock trades at a price-to-earnings ratio of 15, a discount to the market and regional bank peers. Shares pay a 2.8% dividend yield.