Laser Focus World is an industry bedrock—first published in 1965 and still going strong. We publish original articles about cutting-edge advances in lasers, optics, photonics, sensors, and quantum technologies, as well as test and measurement, and the shift currently underway to usher in the photonic integrated circuits, optical interconnects, and copackaged electronics and photonics to deliver the speed and efficiency essential for data centers of the future.

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Editorial Advisory Board

  • Professor Andrea M. Armani, University of Southern California
  • Ruti Ben-Shlomi, Ph.D., LightSolver
  • James Butler, Ph.D., Hamamatsu
  • Natalie Fardian-Melamed, Ph.D., Columbia University
  • Justin Sigley, Ph.D., AmeriCOM
  • Professor Birgit Stiller, Max Planck Institute for the Science of Light, and Leibniz University of Hannover
  • Professor Stephen Sweeney, University of Glasgow
  • Mohan Wang, Ph.D., University of Oxford
  • Professor Xuchen Wang, Harbin Engineering University
  • Professor Stefan Witte, Delft University of Technology

1 Small-Cap Stock to Research Further and 2 We Brush Off

USNA Cover Image

Investors looking for hidden gems should keep an eye on small-cap stocks because they’re frequently overlooked by Wall Street. Many opportunities exist in this part of the market, but it is also a high-risk, high-reward environment due to the lack of reliable analyst price targets.

Luckily for you, our mission at StockStory is to help you make money and avoid losses by sorting the winners from the losers. That said, here is one small-cap stock that could amplify your portfolio’s returns and two that could be down big.

Two Small-Cap Stocks to Sell:

USANA (USNA)

Market Cap: $570.4 million

Going to market with a direct selling model rather than through traditional retailers, USANA Health Sciences (NYSE: USNA) manufactures and sells nutritional, personal care, and skincare products.

Why Is USNA Not Exciting?

  1. Annual revenue declines of 8.7% over the last three years indicate problems with its market positioning
  2. Modest revenue base of $876.2 million gives it less fixed cost leverage and fewer distribution channels than larger companies
  3. Performance over the past three years shows each sale was less profitable as its earnings per share dropped by 23% annually, worse than its revenue

USANA is trading at $30.63 per share, or 11.3x forward P/E. If you’re considering USNA for your portfolio, see our FREE research report to learn more.

Webster Financial (WBS)

Market Cap: $10.1 billion

Founded during the Great Depression in 1935 and evolving into a major Northeastern financial institution, Webster Financial (NYSE: WBS) is a bank holding company that provides commercial banking, consumer banking, and employee benefits solutions through its Webster Bank and HSA Bank division.

Why Are We Cautious About WBS?

  1. Sales were flat over the last two years, indicating it’s failed to expand this cycle
  2. Projected 3.2 percentage point efficiency ratio increase over the next year signals its day-to-day expenses will rise
  3. High interest payments compared to its earnings raise concerns about its ability to service its debt consistently

At $60.25 per share, Webster Financial trades at 1.1x forward P/B. Check out our free in-depth research report to learn more about why WBS doesn’t pass our bar.

One Small-Cap Stock to Watch:

Granite Construction (GVA)

Market Cap: $4.11 billion

Having played a role in the construction of the Hoover Dam, Granite Construction (NYSE: GVA) is a provider of infrastructure solutions for roads, bridges, and other projects.

Why Are We Positive On GVA?

  1. Impressive 12.2% annual revenue growth over the last two years indicates it’s winning market share this cycle
  2. Earnings per share grew by 60.9% annually over the last two years and trumped its peers
  3. Historical investments are beginning to pay off as its returns on capital are growing

Granite Construction’s stock price of $93.94 implies a valuation ratio of 8.7x forward EV-to-EBITDA. Is now the right time to buy? See for yourself in our full research report, it’s free.

Stocks We Like Even More

When Trump unveiled his aggressive tariff plan in April 2024, markets tanked as investors feared a full-blown trade war. But those who panicked and sold missed the subsequent rebound that’s already erased most losses.

Don’t let fear keep you from great opportunities and take a look at Top 9 Market-Beating Stocks. This is a curated list of our High Quality stocks that have generated a market-beating return of 183% over the last five years (as of March 31st 2025).

Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,545% between March 2020 and March 2025) as well as under-the-radar businesses like the once-micro-cap company Kadant (+351% five-year return). Find your next big winner with StockStory today for free. Find your next big winner with StockStory today. Find your next big winner with StockStory today

StockStory is growing and hiring equity analyst and marketing roles. Are you a 0 to 1 builder passionate about the markets and AI? See the open roles here.

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