We recently published a list of 15 Cheapest Stocks Insiders Are Buying In March. In this article, we are going to take a look at where Fathom Holdings Inc. (NASDAQ:FTHM) stands against other cheapest stocks insiders are buying in March.
After solid gains Monday, the broader market index and blue chip companies traded flat Tuesday, while the NASDAQ Composite rose 0.2%. Monday’s enthusiasm came from hopes of looser U.S. tariffs.
Investors mostly ignored the March consumer confidence data released on Tuesday, which showed a sharp decline in U.S. consumers’ short-term outlook on income, business, and job conditions, reports CNBC.
“Sentiment continues to wane among investors, consumers and businesses as economic concerns and economic policy uncertainty takes its toll,” said Bret Kenwell, U.S. investment analyst at eToro. “Until there’s more certainty on the tariff and macro front, sentiment and confidence remain vulnerable.”
As investors navigate daily market changes, uncertainty remains a persistent factor. Insider trading tends to attract attention during these periods, as purchases of company stock by executives may suggest optimism about the company’s future. However, insider selling doesn’t necessarily signal a lack of confidence—it could simply be for personal financial reasons or to diversify holdings. Many executives use pre-established plans, such as 10b5-1, to maintain transparency. While insider trading can provide useful insights, it’s important to evaluate it alongside a company’s financial stability, broader market trends, and industry dynamics.
What are some of the cheapest stocks insiders have been buying this month so far? To find out, we used Insider Monkey’s insider trading stock screener, focusing only on stocks where at least two insiders had purchased shares in March. From there, we ranked the 10 stocks with the lowest average price per share.
Our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds, focusing on insider trading and stock picks from hedge fund investor newsletters and conferences. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here).
With each stock, we note the average price per share of these purchases and the stock’s market capitalization.
Aerial view of a neighborhood with houses and a real estate brokerage office.
Fathom Holdings Inc. (NASDAQ:FTHM)
Market Capitalization: $27.07 million
Fathom Holdings is a real estate services platform that integrates residential brokerage, mortgage, title, and insurance services in the U.S. The Cary, North Carolina-based company operates in three segments: Real Estate Brokerage, Mortgage, and Technology, offering tools and services through its FathomRealty.com website and technology platform, intelliAgent. Fathom’s brands include Fathom Realty, Dagley Insurance, Encompass Lending, and Verus Title.
Fathom completed approximately 37,000 real estate transactions in 2024, marking a 2.2% decline compared to the previous year. Total revenue for 2024 decreased by 3%, totaling $335 million, down from $345 million in 2023. The GAAP net loss for 2024 was $21.6 million, or $1.07 per share, improving from a loss of $24.0 million, or $1.47 per share, in 2023, mainly due to cost-saving initiatives. The Adjusted EBITDA loss for 2024 was $5.7 million, compared to a loss of $4.1 million in 2023, driven by the 3% revenue reduction. Cash and cash equivalents as of December 31, 2024, decreased to $7.1 million from $7.4 million at the end of 2023.
In March, two insiders bought nearly $600,000 worth of Fathom Holdings shares at an average price of $0.72 per share. Currently, the stock trades at $1.00 per share, having dropped 34.64% year-to-date and 50% over the past 12 months.
According to MarketBeat, four analysts have given an average “Buy” rating to Fathom stock with a price target of $4.25. The average price target suggests a potential upside of 325% from the latest price.
Overall, FTHM ranks 9th on our list of cheapest stocks insiders are buying in March. While we acknowledge the potential of FTHM our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns, and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than FTHM but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires.
Disclosure: None. This article is originally published at Insider Monkey.
