In this article, we will discuss the 10 Best Up and Coming Stocks with Highest Upside Potential.

On April 29, Steven Wieting, CIO Group Chief Investment Strategist, joined CNBC’s ‘Closing Bell Overtime’ to discuss the current market landscape where investors appear to be using AI as an “escape hatch” to look past significant headwinds, including closed straits, oil priced at $100, and rising Treasury yields. Wieting explained that the AI trade in software and hardware remains largely independent of the cyclical economy because major capital expenditure plans are already funded and established. These investments are moving forward regardless of fluctuations in consumer spending, travel, industrial activity, or the performance of cyclical companies in Europe and Asia.

However, Wieting noted that the global economy is increasingly feeling the wear and tear of geopolitical disruptions. He warned that as long as transportation routes remain shut, the economy will eventually hit binding constraints because moving goods requires oil and energy. He points out that the price of oil for delivery at the end of the year has moved $15 higher, signaling a growing problem for cyclical industries worldwide. While Wieting’s investments are not currently focused on Europe or Asia, he acknowledged that these regions feel the pinch more directly than the US and will be the primary beneficiaries once transportation and infrastructure issues are resolved.

Wieting highlighted a unique market environment characterized by both a boom and a shock occurring simultaneously. The boom is driven by an expected 88% gain in semiconductor EPS in the US and massive infrastructure spending. He noted that the four largest public company spenders recently increased their full-year capital expenditure by $94 billion, with further updates expected shortly. This heavy spending, combined with the energy supply shock, is pushing toward higher nominal growth, though Wieting laments that much of this growth is being driven by inflation.

Our Methodology

We used screeners to identify stocks that have gone public in the last 5 years and have an average upside potential of at least 25%. We limited our final selection to companies that have recently reported noteworthy developments likely to impact investor sentiment. These stocks are also popular among analysts and elite hedge funds.

Note: All data was sourced on April 29. 

Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that 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).

10 Best Up and Coming Stocks with Highest Upside Potential

10. Belite Bio (NASDAQ:BLTE)

Average Upside Potential: 29.31%

Belite Bio (NASDAQ:BLTE) is one of the best up and coming stocks with highest upside potential. On April 21, Belite Bio begun a rolling submission of an NDA to the FDA for tinlarebant, a potential first-ever treatment for Stargardt disease type 1/STGD1. This rare, progressive genetic disorder leads to legal blindness and currently has no approved therapeutic options. Using its Breakthrough Therapy Designation, Belite expects to complete the full application by Q2 2026.

The submission is supported by data from the Phase 3 DRAGON trial, which showed tinlarebant’s ability to slow retinal degeneration. As an oral therapy, tinlarebant works by reducing the levels of serum retinol binding protein 4/RBP4, effectively limiting the accumulation of vitamin A-based toxins in the eye. Beyond Stargardt disease, the drug is also being investigated for its potential to treat geographic atrophy, an advanced form of dry age-related macular degeneration.

In anticipation of a potential launch in 2027, the company is scaling its commercial infrastructure, including market access, medical affairs, and sales teams. Belite Bio (NASDAQ:BLTE) remains focused on working closely with the FDA throughout the review process to address the significant unmet medical needs of the Stargardt community.

Belite Bio (NASDAQ:BLTE) is a clinical-stage drug development company advancing novel oral therapeutics for degenerative retinal and metabolic diseases with significant unmet medical needs. Its lead candidate, tinlarebant, targets the reduction of bisretinoid toxins and is currently undergoing multiple clinical trials for Stargardt disease and geographic atrophy.

9. PACS Group Inc. (NYSE:PACS)

Average Upside Potential: 34.43%

PACS Group Inc. (NYSE:PACS) is one of the best up and coming stocks with highest upside potential. On April 27, PACS Group appointed Carey P. Hendrickson as its Chief Financial Officer. Hendrickson, a seasoned financial leader with nearly 40 years of experience, succeeds co-founder Mark Hancock, who had served as interim CFO since September 2025. Hancock will retire from his executive role by June 30, but will remain on the Board of Directors as Vice Chairman.

Hendrickson joins the post-acute healthcare platform from US Physical Therapy Inc. (NYSE:USPH), where he served as CFO, overseeing financial operations for nearly 800 clinics across 44 states. His background also includes six years as CFO of Capital Senior Living Corporation, where he managed financial strategies for one of the largest senior living operators in the country. His extensive experience in regulated healthcare environments and M&A integration is expected to be a key asset as PACS Group Inc. (NYSE:PACS) continues to expand its national footprint.

CEO Jason Murray highlighted Hendrickson’s strategic acuity and record of navigating complex market cycles as essential for the company’s current growth trajectory. Hendrickson expressed his commitment to contributing to the company’s mission of delivering clinical excellence at scale, joining the executive team at a pivotal moment for the organization’s financial infrastructure and sustainable growth plans.

PACS Group Inc. (NYSE:PACS) is one of the largest post-acute healthcare platforms in the US, supporting facilities and ancillary services across 17 states. The company operates over 320 facilities serving more than 31,700 patients daily with a mission to revolutionize the quality of post-acute care.