10 Best Under-the-Radar Stocks to Buy Now

4. Central Garden & Pet Company (NASDAQ:CENT)

Institutional Ownership: 19.31%

No. of Hedge Funds: 20

Central Garden & Pet Company (NASDAQ:CENT) manufactures and distributes branded and private-label products across the pet and lawn & garden markets. Well-known brands like Kaytee, Pennington, and Amdro form part of the company’s portfolio. Operating from its headquarters in California, the company serves retailers and specialty outlets nationwide. Integrated distribution, innovation in natural products, and a diversified revenue base set the company apart from its competitors, like Spectrum Brands. Central Garden & Pet Company (NASDAQ:CENT) also enjoys resilience from a balanced exposure to pet care and outdoor living trends.

Sales have decreased by 3% in the fiscal year 2024. The decline was primarily due to the significant challenges faced by the Garden segment, including a notable impairment of grass seed inventory. On the other hand, the company noted substantial profits in the Pet segment. Additionally, with the help of its Cost and Simplicity program, Central Garden & Pet Company (NASDAQ:CENT) consolidated operations, optimized transportation, and achieved a record high cash flow of $395 million. For 2025, the company aims to achieve a 3% increase in net sales in the first quarter.

Insider Monkey database noted that 20 hedge funds invested in the company at the end of Q4 2024. Yet with the institutional ownership amounting to only 19.31%, Central Garden & Pet Company (NASDAQ:CENT) operates under the mainstream radar and falls into the low-profile stocks with strong hidden potential category.