Russell 2000 Index: Value Investing Analysis

About the Russell 2000 Index

This index contains 3826 stocks, of which we've analyzed 96. The suggested margin of safety is 35%.

Index membership signals liquidity and institutional acceptance, making these stocks suitable for value investors seeking established companies with adequate trading volume.

Russell 2000 Index Stocks: Value Metrics

Review the stocks in this index to compare valuations and identify companies trading below intrinsic value. Use these metrics to focus your research on the most promising opportunities.

Discounted stocks in the Russell 2000 Index index
Company Current Price Current Price Discount
10 years
Gray Television
(GTN)
$4.82 70%
Gray Television
(GTN)
$4.82 70%
Medifast
(MED)
$10.54 40%
Medifast
(MED)
$10.54 40%
Forrester Research
(FORR)
$7.48 40%
Forrester Research
(FORR)
$7.48 40%
Apollo Commercial Real Estate Finance
(ARI)
$9.92 30%
Apollo Commercial Real Estate Finance
(ARI)
$9.92 30%
AltShares Merger Arbitrage ETF
(ARB)
$29.01 20%
AltShares Merger Arbitrage ETF
(ARB)
$29.01 20%
Franklin Electric Co.
(FELE)
$97.81 none
Franklin Electric Co.
(FELE)
$97.81 none
JAKKS Pacific
(JAKK)
$16.71 none
JAKKS Pacific
(JAKK)
$16.71 none
Exelixis
(EXEL)
$45.37 none
Exelixis
(EXEL)
$45.37 none
Ultra Clean Holdings
(UCTT)
$25.89 none
Ultra Clean Holdings
(UCTT)
$25.89 none
Citizens & Northern Corporation
(CZNC)
$20.36 none
Citizens & Northern Corporation
(CZNC)
$20.36 none
DHT Holdings
(DHT)
$12.30 none
DHT Holdings
(DHT)
$12.30 none
Commvault Systems
(CVLT)
$127.56 none
Commvault Systems
(CVLT)
$127.56 none
Exponent
(EXPO)
$71.22 none
Exponent
(EXPO)
$71.22 none
Hilltop Holdings
(HTH)
$34.45 none
Hilltop Holdings
(HTH)
$34.45 none
Curtiss-Wright Corporation
(CW)
$562.13 none
Curtiss-Wright Corporation
(CW)
$562.13 none
Orion Group Holdings
(ORN)
$10.22 none
Orion Group Holdings
(ORN)
$10.22 none
First Community Bankshares
(FCBC)
$33.66 none
First Community Bankshares
(FCBC)
$33.66 none
MFA Financial
(MFA)
$9.64 none
MFA Financial
(MFA)
$9.64 none
Tanger Factory Outlet Centers
(SKT)
$33.92 none
Tanger Factory Outlet Centers
(SKT)
$33.92 none
EMCOR Group
(EME)
$623.26 none
EMCOR Group
(EME)
$623.26 none
Alphatec Holdings
(ATEC)
$20.98 none
Alphatec Holdings
(ATEC)
$20.98 none
Geron Corporation
(GERN)
$1.37 none
Geron Corporation
(GERN)
$1.37 none
The GEO Group
(GEO)
$16.50 none
The GEO Group
(GEO)
$16.50 none
Ferroglobe PLC
(GSM)
$4.62 none
Ferroglobe PLC
(GSM)
$4.62 none
Ironwood Pharmaceuticals
(IRWD)
$3.21 none
Ironwood Pharmaceuticals
(IRWD)
$3.21 none
Alexander's
(ALX)
$219.69 none
Alexander's
(ALX)
$219.69 none
Seneca Foods Corporation
(SENEA)
$110.76 none
Seneca Foods Corporation
(SENEA)
$110.76 none
S&T Bancorp
(STBA)
$40.13 none
S&T Bancorp
(STBA)
$40.13 none
First Financial Bankshares
(FFIN)
$30.52 none
First Financial Bankshares
(FFIN)
$30.52 none
Texas Capital Bancshares
(TCBI)
$93.01 none
Texas Capital Bancshares
(TCBI)
$93.01 none
Mitesco
(MITI)
$0.10 none
Mitesco
(MITI)
$0.10 none
Matrix Service Company
(MTRX)
$11.82 none
Matrix Service Company
(MTRX)
$11.82 none
FTI Consulting
(FCN)
$175.87 none
FTI Consulting
(FCN)
$175.87 none
Luminex Corporation
(LMNX)
$29.78 none
Luminex Corporation
(LMNX)
$29.78 none
Franklin Covey Co.
(FC)
$17.16 none
Franklin Covey Co.
(FC)
$17.16 none
Jazz Pharmaceuticals plc
(JAZZ)
$170.50 none
Jazz Pharmaceuticals plc
(JAZZ)
$170.50 none
Prospect Capital Corporation
(PSEC)
$2.49 none
Prospect Capital Corporation
(PSEC)
$2.49 none
LATAM Airlines Group S.A.
(LTM)
$53.68 none
LATAM Airlines Group S.A.
(LTM)
$53.68 none
Grand Canyon Education
(LOPE)
$168.22 none
Grand Canyon Education
(LOPE)
$168.22 none
Columbia Banking System
(COLB)
$28.44 none
Columbia Banking System
(COLB)
$28.44 none
FuelCell Energy
(FCEL)
$8.16 none
FuelCell Energy
(FCEL)
$8.16 none
Horace Mann Educators Corporation
(HMN)
$46.57 none
Horace Mann Educators Corporation
(HMN)
$46.57 none
Stoneridge
(SRI)
$5.81 none
CTS Corporation
(CTS)
$44.00 none
Stoneridge
(SRI)
$5.81 none
CTS Corporation
(CTS)
$44.00 none

(PRS)
$23.81 none

(PRS)
$23.81 none
Consolidated-Tomoka Land Co.
(CTO)
$18.20 none
Consolidated-Tomoka Land Co.
(CTO)
$18.20 none
GT SOLAR INTERNATIONAL
(SOLR)
$31.17 none
GT SOLAR INTERNATIONAL
(SOLR)
$31.17 none
Arrow Financial Corporation
(AROW)
$31.59 none
Arrow Financial Corporation
(AROW)
$31.59 none

How to Invest in Russell 2000 Index Stocks

Index-Specific Investment Considerations

When evaluating Russell 2000 Index constituents, consider these key factors:

  • Index weighting: Understand whether stocks are market-cap weighted or equally weighted to gauge concentration risk
  • Rebalancing dynamics: Index reconstitutions can create temporary mispricings as passive funds adjust holdings
  • Sector exposure: Review sector composition to ensure alignment with your portfolio diversification goals
  • Liquidity profile: Index membership typically ensures adequate trading volume for entry and exit
  • Quality screening: Use index standards as a baseline, then apply growth forecasting and valuation analysis

✓ Index Stock Analysis Checklist

  • Compare P/E ratios within the index
  • Evaluate free cash flow generation
  • Assess debt levels relative to index peers
  • Check dividend sustainability
  • Review competitive positioning
  • Calculate adequate margin of safety

Common Index Investing Pitfalls

  • Assuming index membership = automatic buy
  • Ignoring valuation in favor of brand recognition
  • Overlooking concentration in top holdings
  • Buying at index inclusion peaks (momentum traps)
  • Neglecting sector diversification within index
  • Failing to reassess as fundamentals change