InvenSense Inc (INVN), MAKO Surgical Corp. (MAKO): 2 More Small-Cap Stocks to Buy Before They Rebound

In addition, last quarter’s earnings report from LeapFrog marked the 12th consecutive time the company has exceeded analysts’ profit estimates. An,d while the first quarter is generally a very small percentage of LeapFrog’s overall business, I’m convinced that the rest of this years’ upcoming results will prove no different, showing just how well LeapFrog is really doing.

What’s more, remember that around 29% of LeapFrog’s entire market capitalization is currently held in its $189.7 million cash horde, and the stock trades at a reasonable 13 times next year’s earnings estimates. Back out all that cash, and the multiple drops to just 9.3.

Foolish final thoughts

Though both GTAT and LeapFrog are sitting significantly below their recent highs, I’m convinced these pullbacks are only temporary blips in their long-term stories. As a result, I think patient investors will be more than happy with their long-term gains if they buy these two small cap stocks today.

The article 2 More Small-Cap Stocks to Buy Before They Rebound originally appeared on Fool.com and is written by Steve Symington.

Fool contributor Steve Symington owns shares of MAKO Surgical. The Motley Fool recommends Amazon.com, Corning, LeapFrog Enterprises (NYSE:LF), and MAKO Surgical. The Motley Fool owns shares of Amazon.com, Corning, InvenSense, and LeapFrog Enterprises.

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