Weekly Update #3 - Week Ending 12/28/25
HMDPF/HPS-A, RMCF, BDCO, IDXG, RAVE, CMTL, DAIO, SCEYF/SHLE, CMT, NTWK
We’ve begun using the Movers and New Highs/Lows Feature, accessed from our Indices, Stats & Performance main menu, as one way to help both you and us navigate our Microcap Quality Index (MSMqi) more effectively.
As this Substack’s Microcap Quality Index Platform (MSMqi) has significantly grown in size to 127 stocks, we’ve entered a new phase in the evolution of the Substack’s original intent👉 to provide the most comprehensive list of microcap stocks worth tracking in North America, serving as a fertile MultiBagger hunting ground for investors and Substack authors.
We can use the top gainers and new high lists to identify stocks with momentum within the MSMqi, possibly moving for the right reasons, and the big losers and new low lists to see if there’s certain stocks getting unjustly punished. In this post, we’ll look at the top MSMqi gainers from last Friday.
These companies are already in our MSMqi. The next step is to break down which ones are worth investing in and which ones still need time to marinate.
At the end of the post, we will answer this question👉 If we were going to build a portfolio from these 10 stocks today, what stocks would it hold?
I’ve always thought that combining momentum with good research based on fundamentals is a great way to capture amazing short-term returns in quality companies. It’s a great feeling to understand that great short-term returns can exist outside the pump and hype cycle stocks that eventually come crashing down. To be honest with you, the first 20 years of my investing career were basically defined by combining momentum + growth + value. It’s an extremely powerful process that still works today. If you’re a follower of the Investor’s Business Daily and the CANSLIM method popularized by William O’Neill, you already know this.
The rest of this post will go over the 10 stocks in the top gainers list from last Friday.
HMDPF/HPS-A - custom transformers and related electrical parts.
RMCF - makes and sells premium chocolates online, through franchises and company-owned retail stores.
BDCO - refining crude oil into products (gasoline, diesel, etc.).
IDXG - molecular diagnostics company developing and commercializing genetic tests.
RAVE - owns, franchises, and supplies Pie Five and Pizza Inn restaurants.
CMTL - sells equipment and software for satellite and wireless communications
DAIO - makes systems that program memory chips and microcontrollers for electronic devices
SCEYF/SHLE - distributes frac sand and other materials used to complete wells
CMT - makes strong plastic and composite parts used in trucks, cars, and industrial products
NTWK - designs, develops, and markets enterprise software solutions, especially AI‑enabled platforms for automobile financing, leasing, banking, and asset finance industries
Each summary will include:
When each stock was added to the MSMqi Platform.
Our quick take or summary of the most recent news.
High and current returns since being added to the MSMqi Platform.
Average daily trading value.
We’ll end the post with a nice test for our team by picking what we believe are the best stocks from this list, as if we were going to build a MultiBagger model portfolio. We’ll see if we pass that test in 2026.🤞
1. OTC:HMDPF / TSE:HPS-A: North American designer and manufacturer of custom transformers and related electrical parts.
High Return: 1053%
Current Return: 884%
Daily Trading Volume / 3 Month Avg: 12 / 2,692 (OTC)
Last Filing Date (Filing Type): November 13, 2025 (Dividend)
Comments: The company posted Q3 results on October 23, 2025, with sales of $218M vs $192M (13.7% YoY increase), and adjusted EPS of $1.56 vs $1.80 (13.3% decrease) in the prior year. However, backlog increased by 22.4% YoY, and they mentioned:
“Significant data centre project orders booked subsequent to quarter-end.”
“Data centre activity accelerated in the quarter, and we are pleased to note that substantial orders were received shortly after its close, amounting to 53% of the Q3 closing backlog.”
2. NASDAQ:RMCF: U.S.-based company undergoing a turnaround that makes and sells premium chocolates and other sweet treats, and also franchises and operates retail stores. @investin
High Return: 5%
Current Return: −76%
Daily Trading Volume / 3 Month Avg: 61,049 / 77,741.
Last Filing Date (Filing Type): December 19, 2025 (Financing)
Comments: On Friday, December 19, 2025, RMCF completed a private placement issuing 1.5M new shares at $1.80 per share, raising $2.7M. Additionally, they appointed Alberto Pérez-Jácome Friscione to their board of directors. On the following Monday, the stock rose by about 18%. We think Friday’s move is a continuation of this move.
We are still awaiting the results of Jeff Geygan’s turnaround, who became CEO in 2024. His plan focuses on modernizing operations, supporting franchisees, optimizing production, expanding into new store formats, and aligning sales and marketing across all channels to drive growth and profitability. Jeff replaced the prior CEO (Rob Sarlls), who was put in place in May 2022 to turn the company around, but ultimately failed. So far, we’re not impressed.
3. NASDAQ:DAIO: Designs and manufactures systems that program and securely provision data in chips and microcontrollers for electronic manufacturers worldwide.
High Return: 28%
Current Return: 16%
Daily Trading Volume / 3 Month Avg: 53,991 / 27,926
Last Filing Date (Filing Type): December 5, 2025 (Leadership Changes)
Comments: The company is undergoing a turnaround consisting of expanding market reach, distribution footprint, and focusing on increasing recurring revenue. We’re still waiting for the turnaround to inflect, but we think they are getting closer.
You can check out our fireside chat with management by clicking on this link.
4. OTC:IDXG: U.S.-based molecular diagnostics company developing and commercializing genetic tests to assess thyroid cancer risk.
High Return: 77%
Current Return: 26%
Daily Trading Volume / 3 Month Avg: 270 / 10,168.
Last Filing Date (Filing Type): December 3, 2025 (Debt Repayment)
Comments: The company is recovering from the loss of Medicare reimbursement for one product (PancraGEN), while its remaining thyroid tests continue to grow and remain profitable. IDXG was recently added to the index as Cliff Note #127. Check it out here