ET 16:14

Research Report Flags Marcus & Millichap (MMI), Global Industrial (GIC), and Methode Electronics (MEI) as Risky Russell 2000 Bets

IMP4.5
SNT-0.4
CONF40%
Narrative

A research report published on June 5, 2026, identified three Russell 2000 components as high-risk investments: Marcus & Millichap Inc. (NYSE: MMI), Global Industrial Co. (NYSE: GIC), and Methode Electronics Inc. (NYSE: MEI), citing stretched valuations and growth challenges. Marcus & Millichap, a commercial real estate services firm with a $1.13 billion market capitalization, traded at 60.4 times forward earnings, a multiple the report called unsustainable. Global Industrial, a distributor with a $1.17 billion market cap, carried a forward price-to-earnings ratio of 15.6. Methode Electronics, an automotive components supplier valued at $450.7 million, had an enterprise value-to-EBITDA multiple of 10. The report recommended investors consider alternative small-cap stocks, without naming specific replacements.

EditorThomas Ho