2 Tariffic Microcaps To Check Out

As Q3 earnings unfurl, companies which rely heavily upon China for product sourcing are taking their tariff lumps, mostly on the Gross Margin line. In my universe of micro-cap stocks it’s common to see 50-700 bps degradation in Gross Margin resulting from tariffs. Consequently, the share prices of these stocks have taken a hit. However, all is not lost. Here we highlight 2 microcaps which have proactively adjusted to tariffs with cost restructurings and sourcing diversification. Both companies count Walmart ...