| Aaron Rents |
Gerald Van Horn / Stratton Management/ Stratton Small-Cap Value |
Retail appliance renter shows robust same-store sales. |
| Advo |
David Kelley / RS Investments/ Partners fund |
Its junk-mail advertising blitzes prove surprisingly effective for retailers. |
| Aleris International |
John Montgomery / Bridgeway Funds/ Ultra-Small Company |
This fast-growing maker of rolled aluminum excels at recycling. |
| American Home Mortgage |
John Richardson / Munder Capital/ Munder Microcap Equity Y |
This mortgage-lending REIT offers a generous yield of 9%. |
| Amerigon |
George Henning / Pacific Advisors/ Small-Cap C |
Supplies climate-controlled car-seat components; has "no real competition." |
| Brady |
Eric Ende / First Pacific Advisors/ FPA Paramount |
Makes highly durable ID labels for pipes; new CEO is improving prospects. |
| Cognex |
Eric Ende / First Pacific Advisors/ FPA Paramount |
Seeing big demand overseas for its optical gear, which analyzes factory lines. |
| Cohen & Steers |
Ron Baron / Baron Funds/ Small-Cap |
Manager of $22 billion in REIT assets is moving into overseas markets. |
| Coinstar |
David Kelley / RS Investments/ Partners fund |
Self-serve coin counters, gumball machines, and kids' rides are cash cows. |
| Corinthian Colleges |
David Kelley / RS Investments/ Partners fund |
A turnaround play, its for-profit schools can surpass 30% return on capital. |
| Dollar Thrifty |
Timothy Todaro / Rice Hall James/ RHJ Small Mid-Cap portfolio |
Now that rental-car price wars are easing, earnings could jump 40%. |
| Dress Barn |
John Montgomery / Bridgeway Funds/ Ultra-Small Company |
Women's apparel retailer shows strong earnings and stock-price momentum. |
| DRS Technologies |
Gerald Van Horn / Stratton Management/ Stratton Small-Cap Value |
Electronics-component maker getting bigger share of defense spending. |
| Elk |
George Henning / Pacific Advisors/ Small-Cap C |
Its roof shingles are in big demand, thanks to hurricane reconstruction. |
| Encore Wire |
John Montgomery / Bridgeway Funds/ Ultra-Small Company |
Wiremaker is still riding the housing boom; sales growth accelerating. |
| Essex |
John Richardson / Munder Capital/ Munder Microcap Equity Y |
Defense supplier ready to commercialize its cutting-edge military electronics. |
| Ethan Allen Interiors |
Robert Fetch / Lord Abbett/ Small-Cap Value A |
Furniture maker and retailer getting sales boost from new product line. |
| EZ |
George Henning / Pacific Advisors/ Small-Cap C |
Its pawnshops are booming, thanks to Americans' big debt burdens. |
| Financial Federal |
Robert Fetch / Lord Abbett/ Small-Cap Value A |
Provides financing for industrial equipment; consistent double-digit growth. |
| Flanders |
Michael Corbett / Perritt Capital Management/ Emerging Opportunities fund |
Gaining market share in the furnace-filter market. |
| Four Seasons Hotels |
Ron Baron / Baron Funds/ Small-Cap |
Hotel manager lost money in 2005, but earnings prospects remain strong. |
| Healthcare Services Group |
Timothy Todaro / Rice Hall James/ RHJ Small Mid-Cap portfolio |
Nursing-home-services provider steadily growing earnings by 15% to 20%. |
| HealthExtras |
John Montgomery / Bridgeway Funds/ Ultra-Small Company |
Pharmacy-benefits manager sees strong demand as health costs rise. |
| Innkeepers USA Trust |
Gerald Van Horn / Stratton Management/ Stratton Small-Cap Value |
Largest REIT focused on extended-stay hotels could return 20%. |
| Knight Transportation |
Eric Ende / First Pacific Advisors/ FPA Paramount |
Small-load trucker features extremely high operating margins. |
| Landec |
Michael Corbett / Perritt Capital Management/ Emerging Opportunities fund |
Developed new polymers with a wide range of uses, from agriculture to retail. |
| Meritage Homes |
John Richardson / Munder Capital/ Munder Microcap Equity Y |
Fear of housing slump pushed P/E to six, but earnings growth is 20%. |
| MI Developments |
David Kelley / RS Investments/ Partners fund |
Two businesses (commercial leasing and horse tracks) offer high growth. |
| Mitcham Industries |
George Henning / Pacific Advisors/ Small-Cap C |
Leases seismic equipment to drillers; earnings should rise 50% in 2007. |
| Newpark Resources |
Michael Corbett / Perritt Capital Management/ Emerging Opportunities fund |
Oil-services company in the Gulf of Mexico is riding the energy boom. |
| Oakley |
Timothy Todaro / Rice Hall James/ RHJ Small Mid-Cap portfolio |
New CEO is repositioning this chic sunglass maker. |
| Old Dominion Freight Line |
John Richardson / Munder Capital/ Munder Microcap Equity Y |
This Southeast trucker is expanding nationally; steady earnings growth of 15%. |
| Polaris Industries |
Eric Ende / First Pacific Advisors/ FPA Paramount |
This leading maker of snowmobiles and ATVs posts 40% return on equity. |
| PW Eagle |
John Montgomery / Bridgeway Funds/ Ultra-Small Company |
PVC pipemaker lost money for years; now pumping profits. |
| Quanex |
Robert Fetch / Lord Abbett/ Small-Cap Value A |
Maker of building and automotive products posting double-digit growth. |
| Ralcorp |
Ron Baron / Baron Funds/ Small-Cap |
Big player in private-label food business will benefit as industry consolidates. |
| Rimag |
Michael Corbett / Perritt Capital Management/ Emerging Opportunities fund |
New venture with Kodak to offer retail photo kiosks should boost earnings. |
| Ruby Tuesday |
Robert Fetch / Lord Abbett/ Small-Cap Value A |
Took a hit after Atkins craze faded; with new menu, traffic is back on upswing. |
| ScanSource |
Eric Ende / First Pacific Advisors/ FPA Paramount |
Sells bar-code scanners and related equipment; logs above-average growth. |
| Shuffle Master |
Ron Baron / Baron Funds/ Small-Cap |
Makes automatic card shufflers and proprietary games that casinos love. |
| Spartan Motors |
Michael Corbett / Perritt Capital Management/ Emerging Opportunities fund |
Need for safer fire trucks should raise this chassis maker's earnings 35%. |
| Tenneco |
John Richardson / Munder Capital/ Munder Microcap Equity Y |
Sales of its emission-control products benefiting from stricter air-quality laws. |
| Tetra Technologies |
Gerald Van Horn / Stratton Management/ Stratton Small-Cap Value |
Gulf hurricane damage should propel this oilfield service provider's earnings. |
| Trump Entertainment |
Timothy Todaro / Rice Hall James/ RHJ Small Mid-Cap portfolio |
No, Donald, really. New management could double casino operating margins. |
| Tuesday Morning |
David Kelley / RS Investments/ Partners fund |
Closeout retailer is increasingly popular with upscale moms. |
| Universal Compression |
Gerald Van Horn / Stratton Management/ Stratton Small-Cap Value |
Natural-gas compression services should achieve 20% growth in 2007. |
| US Xpress |
George Henning / Pacific Advisors/ Small-Cap C |
Tennessee-based trucker is poised to cash in on growth in the Southeast. |
| WellCare Health Plans |
Ron Baron / Baron Funds/ Small-Cap |
Works with Medicare and Medicaid, whose spending should spur growth. |
| Werner Enterprises |
Robert Fetch / Lord Abbett/ Small-Cap Value A |
Trucker's stock soft because of fuel costs; steady growth should raise P/E. |
| Youbet.com |
Timothy Todaro / Rice Hall James/ RHJ Small Mid-Cap portfolio |
Online horserace betting, legal in most states, offers high growth potential. |
