In this article, we explore the 10 Best Multibagger Penny Stocks to Invest In.
Small-cap and penny stocks are often overlooked by Wall Street as they tend to be extremely volatile. However, not this time, as the overall equity market undergoes a correction fueled by concerns over premium valuations, geopolitical uncertainties, and inflationary pressures. While the S&P 500 has shed nearly 4% in market value year to date, the small-cap index, the Russell 2000, has held steady and is flat for the year.
The outperformance among small-cap companies comes as investors navigate the latest bout of geopolitical and market turmoil triggered by the Iran war. All the major indices, except the Russell 2000, have turned negative as the Middle East conflict raises the prospect of a recession amid higher energy prices and disruptions to global commerce.
According to Oppenheimer, small-cap companies are poised for a significant surge as spring gets underway. The stocks were off to a solid start for the year on hopes of easier monetary policy and a pivot away from large caps amid concerns over premium valuations.
“It usually is the smaller companies that take the beating first,” said Sam Stovall, chief investment strategist at CFRA Research. “Questions over a softening in economic growth, stagflation, or even a recession, are more apt to adversely affect small caps than large caps, thus placing them between a rock and a hard place.”
While the overall equity markets have pulled back significantly, the selloff has yet to spark a full-blown panic, according to Citigroup traders. Consequently, the pullback might have presented an ideal entry point for high-risk, high-reward investments such as penny stocks, given that the US economy remains robust.
“Small caps are a good place to be generally, and globally, in part because they’ve been overlooked for a long period of time,” said Dan Boston, head of the global small company team at Polar Capital America. “What we see going forward is small caps doing well vis-a-vis large caps.”
Our Methodology
To compile our list of the best multibagger penny stocks to buy right now, we used Finviz screener to scan for stocks trading for less than $5 a share (as of March 31). We focused on penny stocks with upside potential of more than 100%. We also considered institutional interest in each stock using hedge fund holdings data from Insider Monkey’s 13F database, as of Q4 2025. Finally, we ranked the stocks in ascending order based on their upside potential.
Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research shows we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 498.7% since May 2014, beating its benchmark by 303 percentage points (see more details here).
Best Multibagger Penny Stocks to Invest In
10. Americas Gold and Silver Corporation (NYSEAMERICAN:USAS)
Share Price: $4.91
Stock Upside Potential: 134.48%
Number of Hedge Fund Holders: 19
Americas Gold and Silver Corporation (NYSEAMERICAN:USAS) is one of the best multibagger penny stocks to invest in. On March 30, Americas Gold and Silver Corporation (NYSEAMERICAN:USAS) delivered solid 2025 results and guidance. Silver production in the year was up 52% year over year due to operational improvements and efficiencies at the Galena Complex in Idaho.
The company achieved consolidated silver production of 2.65 million ounces, or approximately 3.4 million silver equivalent, and revenue in the year was up 18% to $118 million, driven by higher silver production and processing. Americas Gold and Silver realized a 39% increase in silver prices, offsetting 4.3% declines in lead and 0.8% in zinc.
However, Americas Gold and Silver Corporation plunged to a wider-than-expected adjusted loss of $35.2 million, or $0.13 a share, compared to an adjusted loss of $33.7 million, or $0.32 a share, in 2024. Adjusted EBITDA was a loss of $4.1 million, up from $1.5 million in 2024, due to increased operational spending as part of a strategic investment at Galena to enhance production.
Americas Gold and Silver Corporation (NYSEAMERICAN:USAS) is a North American precious metals mining company focused on exploring, operating, and developing high-grade silver, copper, and antimony projects. The company operates the Galena Complex in Idaho, USA, and the Cosalá Operations in Mexico, aiming to be a top-tier silver and antimony producer.
9. Recursion Pharmaceuticals Inc. (NASDAQ:RXRX)
Share Price: $3.06
Stock Upside Potential: 146.45%
Number of Hedge Fund Holders: 29
Recursion Pharmaceuticals Inc. (NASDAQ:RXRX) is one of the best multibagger penny stocks to invest in. On March 31, Recursion Pharmaceuticals Inc. (NASDAQ:RXRX) and Citeline expanded their strategic partnership to further develop the artificial intelligence-enabled ClinTech Platform.
The expanded partnership also underscores the company’s commitment to building a more predictive and patient-centered biopharmaceutical ecosystem. It also follows the integration of Citeline’s SmartSolutions into the Recursion platform to provide data access during early development stages.
The expanded partnership paves the way for integrating Citeline’s real-world data and evidence capabilities into Recursion’s end-to-end platform. The integration will strengthen the platform’s foundation, enabling more precise trial design, improved site selection, and informed development decisions.
The addition of Citeline’s data and evidence capabilities to the company’s robust platform is also poised to support pipeline development. The ClinTech platform is already yielding results, including 30%-60% improvements in enrollment, affirming the importance of integration.
Recursion Pharmaceuticals Inc. (NASDAQ:RXRX) is a clinical-stage “TechBio” company that uses artificial intelligence (AI), machine learning, automation, and high-throughput biology to enhance drug discovery and development.
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