The S&P/ASX 200 Index (Index: ^AXJO) (ASX: XJO) has dropped 2.5% this year so investors will no doubt be disappointed with their portfolios' performance – particularly compared to the returns recognised in recent years.
As such, they will be looking to make a statement in 2015 by smashing the market's returns, and what better way than by looking at these three small-cap superstars:
With a market capitalisation of just $97 million, transport and logistics company Lindsay Australia Limited (ASX: LAU) is a very high risk / high reward play. The company is expanding into far-north Queensland where there is enormous potential for refrigerated seafood transport, particularly following the Free Trade Agreement reached between Australia and China. Interestingly, while the Lindsay family controls nearly one-fifth of the company, Lindsay Australia is also backed by Washington H. Soul Pattinson and Co. Ltd (ASX: SOL) and Orora Ltd (ASX: ORA), which highlights the company's potential.
Almond producer Select Harvests Limited (ASX: SHV) shareholders could also be big winners in 2015. Almond prices have been rising strongly as a result of supply issues, including the severe drought affecting production in California, which should see Select Harvests benefit nicely. The stock appears to be quite cheap, trading on a P/E ratio of 9.9 times forecast FY15 earnings and offering a tasty 4.2% fully franked dividend (based on forecasts for FY15).
Cash Converters International Ltd (ASX: CCV) could also experience a rebound following a disappointing run in recent months. In fact, the stock has fallen back to 95 cents since topping $1.20 just over three months ago, after the company terminated an open-ended licence which meant they had to pay a commission for every loan written by the company. It should be noted that the deal is great for the company's long-term prospects but will impact short-term profits after costing just under $31 million to terminate. Regardless, 2015 could be a good year for Cash Converters shareholders.
