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Interested in following smaller companies? If so, you’ll probably like this list.

We ran a screen on micro-cap stocks, with market caps just above $50 million. We screened these stocks for those with impressive profitability, beating their industry peers on gross, operating, and pretax margins.

Interactive Chart: Press Play to compare changes in analyst ratings over the last two years for the top six stocks mentioned below. Analyst ratings sourced from Zacks Investment Research.‬

We also created a price-weighted index of the stocks mentioned below, and monitored the performance of the list relative to the S&P 500 index over the last month. To access a complete analysis of this list's recent performance, click here.


(Click to enlarge)

Do you think these companies will continue to perform well? Use this list as a starting point for your own analysis.

List sorted by difference between gross margin and industry.

1. Breeze-Eastern Corporation (NYSEMKT:BZC): Designs, develops, manufactures, sells, and services lifting and restraining products for specialty aerospace and defense applications. Market cap of $85.14M. TTM gross margin at 43.05% vs. industry gross margin at 25.79%. TTM operating margin at 12.15% vs. industry operating margin at 12.04%. TTM pretax margin at 11.34% vs. industry pretax margin at 7.08%. The stock has gained 27.7% over the last year.

2. SORL Auto Parts, Inc. (NASDAQ:SORL): Engages in the development, manufacture, and distribution of automotive brake systems and other safety related auto parts for commercial vehicles, such as trucks and buses. Market cap of $55.58M. TTM gross margin at 30.96% vs. industry gross margin at 19.78%. TTM operating margin at 12.38% vs. industry operating margin at 7.64%. TTM pretax margin at 11.45% vs. industry pretax margin at 7.27%. The stock has performed poorly over the last month, losing 12.99%.

3. Motorcar Parts of America Inc. (NASDAQ:MPAA): Remanufactures and distributes alternators and starters for import and domestic cars, light trucks, heavy duty, agricultural, and industrial applications in the United States and Canada. Market cap of $92.50M. TTM gross margin at 30.81% vs. industry gross margin at 19.78%. TTM operating margin at 13.49% vs. industry operating margin at 7.66%. TTM pretax margin at 7.99% vs. industry pretax margin at 7.27%. The stock is a short squeeze candidate, with a short float at 5.24% (equivalent to 7.79 days of average volume). The stock has performed poorly over the last month, losing 25.1%.

4. White River Capital Inc (NYSEMKT:RVR): Engages in specialized indirect auto finance business. Market cap of $90.02M. TTM gross margin at 48.99% vs. industry gross margin at 33.93%. TTM operating margin at 48.25% vs. industry operating margin at 31.86%. TTM pretax margin at 42.04% vs. industry pretax margin at 24.55%. Exhibiting strong upside momentum--currently trading 16.73% above its SMA20, 26.25% above its SMA50, and 37.24% above its SMA200. The stock has had a couple of great days, gaining 13.33% over the last week.

5. PMC Commercial Trust (PCC): Operates as a real estate investment trust (REIT). Market cap of $77.69M. TTM gross margin at 54.30% vs. industry gross margin at 38.73%. TTM operating margin at 54.30% vs. industry operating margin at 37.94%. TTM pretax margin at 29.46% vs. industry pretax margin at 15.58%. The stock has lost 4.55% over the last year.

6. Peoples Federal Bancshares, Inc. (NASDAQ:PEOP): Operates as a holding company for Peoples Federal Savings Bank that provides financial services to individuals and small businesses. Market cap of $95.32M. TTM gross margin at 79.45% vs. industry gross margin at 62.23%. TTM operating margin at 35.24% vs. industry operating margin at 33.44%. TTM pretax margin at 22.04% vs. industry pretax margin at 12.82%. The stock has gained 9.43% over the last year.

7. New Hampshire Thrift Bancshares Inc. (NASDAQ:NHTB): Operates as the holding company for Lake Sunapee Bank, fsb that provides banking and other financial services in New Hampshire and Vermont. Market cap of $64.22M. TTM gross margin at 78.73% vs. industry gross margin at 62.25%. TTM operating margin at 37.66% vs. industry operating margin at 33.41%. TTM pretax margin at 23.59% vs. industry pretax margin at 12.84%. The stock has lost 9.59% over the last year.

8. Commercial National Financial Corp. (OTCQB:CNAF): Operates as a holding company for the Commercial Bank & Trust of PA that provides various commercial banking and trust services primarily in Pennsylvania. Market cap of $60.29M. TTM gross margin at 89.50% vs. industry gross margin at 71.22%. TTM operating margin at 51.75% vs. industry operating margin at 39.25%. TTM pretax margin at 34.70% vs. industry pretax margin at 22.42%. The stock has gained 30.2% over the last year.

9. First Capital Inc. (NASDAQ:FCAP): Operates as the bank holding company for First Harrison Bank that provides various banking services to individuals and business customers. Market cap of $52.95M. TTM gross margin at 75.33% vs. industry gross margin at 62.23%. TTM operating margin at 37.12% vs. industry operating margin at 33.44%. TTM pretax margin at 22.12% vs. industry pretax margin at 12.82%. The stock has had a couple of great days, gaining 5.39% over the last week.

10. Access National Corp. (NASDAQ:ANCX): Operates as the bank holding company for Access National Bank that provides commercial credit, deposit, and mortgage services to middle market businesses and associated professionals primarily in the greater Washington, D. Market cap of $92.41M. TTM gross margin at 85.79% vs. industry gross margin at 71.30%. TTM operating margin at 48.24% vs. industry operating margin at 39.29%. TTM pretax margin at 22.71% vs. industry pretax margin at 22.48%. The stock has had a couple of great days, gaining 8.5% over the last week.

11. Unico American Corp. (NASDAQ:UNAM): An insurance holding company, underwrites property and casualty insurance. Market cap of $61.30M. TTM gross margin at 17.01% vs. industry gross margin at 14.31%. TTM operating margin at 16.84% vs. industry operating margin at 11.42%. TTM pretax margin at 16.84% vs. industry pretax margin at 10.15%. The stock has gained 30.6% over the last year.

12. G. Willi Food-International Ltd. (NASDAQ:WILC): Engages in the development, manufacture, marketing, import, export, and distribution of various food products worldwide. Market cap of $61.47M. TTM gross margin at 29.28% vs. industry gross margin at 24.73%. TTM operating margin at 9.13% vs. industry operating margin at 5.52%. TTM pretax margin at 8.69% vs. industry pretax margin at 5.20%. The stock is currently stuck in a downtrend, trading 16.07% below its SMA20, 20.19% below its SMA50, and 32.52% below its SMA200. It's been a rough couple of days for the stock, losing 15.33% over the last week.

13. Norwood Financial Corp. (NASDAQ:NWFL): Operates as the holding company for the Wayne Bank, which provides various commercial banking products and services to individuals, businesses, nonprofit organizations, and municipalities in Pennsylvania. Market cap of $79.62M. TTM gross margin at 78.78% vs. industry gross margin at 71.22%. TTM operating margin at 48.25% vs. industry operating margin at 39.25%. TTM pretax margin at 30.43% vs. industry pretax margin at 22.42%. The stock has lost 10.3% over the last year.

14. LML Payment Systems Inc. (NYSEARCA:LMLP): Provides payment processing solutions primarily to businesses and organizations that use Internet to receive or send payments in Canada and the United States. Market cap of $57.59M. TTM gross margin at 53.19% vs. industry gross margin at 48.43%. TTM operating margin at 41.92% vs. industry operating margin at 26.67%. TTM pretax margin at 41.66% vs. industry pretax margin at 26.71%. The stock has lost 29.17% over the last year.

15. Oconee Federal Financial Corp. (NASDAQ:OFED): Operates as a bank holding company for Oconee Federal Savings and Loan Association. Market cap of $71.44M. TTM gross margin at 66.87% vs. industry gross margin at 62.25%. TTM operating margin at 43.40% vs. industry operating margin at 33.41%. TTM pretax margin at 23.89% vs. industry pretax margin at 12.84%.

16. Pacific Premier Bancorp Inc. (NASDAQ:PPBI): Operates as the holding company for Pacific Premier Bank that provides various commercial banking services to businesses and consumers in Southern California. Market cap of $65.97M. TTM gross margin at 73.67% vs. industry gross margin at 71.30%. TTM operating margin at 40.51% vs. industry operating margin at 39.29%. TTM pretax margin at 31.13% vs. industry pretax margin at 22.48%. The stock has gained 11.88% over the last year.

17. China Green Agriculture, Inc. (NYSE:CGA): Engages in the research, development, manufacture, distribution, and sale of humic acid based compound fertilizers in China. Market cap of $88.36M. TTM gross margin at 38.60% vs. industry gross margin at 37.88%. TTM operating margin at 23.59% vs. industry operating margin at 17.38%. TTM pretax margin at 23.34% vs. industry pretax margin at 16.18%. The stock is a short squeeze candidate, with a short float at 10.52% (equivalent to 11.14 days of average volume). The stock has performed poorly over the last month, losing 18.81%.

*Profitability data sourced from Fidelity, all other data sourced from Finviz.

Source: 17 Most Profitable Micro-Cap Stocks