In this article, we will discuss the 10 Fastest Growing Penny Stocks to Buy Now.
Have the markets peaked? That’s the big question following a blockbuster year in which equity markets raced to record highs. Nevertheless, concerns about valuations and a profit-taking spree are already spelling doom for one of the longest bull runs in recent years. With Bitcoin plunging below the $100,000-a-coin level, it’s becoming increasingly clear that demand for risk-taking is waning in the markets.
CFRA’s chief investment strategist, Sam Stovall, has warned of a potential pullback of up to 9%. Goldman Sachs President John Waldron believes the market is primed for possible declines, citing technical factors that point to downside action. The sentiments come amid concerns about whether companies will generate returns following billions of dollars of investments in artificial intelligence.
“It strikes me the market could pull back further from here,” Waldron said in an interview on the sidelines of the Bloomberg New Economy Forum in Singapore on Wednesday. “I do think the technicals are kind of more biased for more protection, and more downside.”
Amid growing concerns of a potential market correction, small-cap and penny stocks trading at highly discounted valuations could be spared the wrath. The US Federal Reserve, embarking on an interest rate-cutting spree, is expected to spur economic growth, presenting a macroeconomic environment that benefits companies with smaller capitalizations.
Over the years, small-cap companies have outperformed large-cap companies during central bank easing cycles.
“Further, small-cap returns in these instances have been much better than for large-cap stocks. The average return for the [Russell 2000] 12 months following these post-pause rate cuts is 35% vs. 23% for the SPX ,” Canaccord Genuity analyst Michael Graham wrote
Tom Lee, head of research at Fundstrat Global Advisors, has already reiterated that a dovish US Federal Reserve often translates into good times for smaller companies in terms of performance.
“I think it means we have a dovish Fed again,” Lee said. “That’s kind of a green light for small caps.”
With that in mind, let’s take a look at some of the fastest-growing penny stocks to buy now.
Our Methodology
To compile the list of fastest-growing penny stocks to buy now, we used Finviz Screener and other online sources to identify stocks trading for less than $5 a share. We further trimmed our list by focusing on companies that have generated more than 100% sales growth over the past year and 50% growth over the past three years. We also focused on stocks that boast an upside potential of more than 30% as of November 19 and are popular among elite hedge funds in Q2 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 427.7% since May 2014, beating its benchmark by 264 percentage points (see more details here).
Fastest Growing Penny Stocks to Buy Now
10. DeFi Technologies Inc. (NASDAQ:DEFT)
3-Year Sales Growth: 1181.92%
Sales Growth Year over Year: 138.94%
Stock Upside Potential: 78.21%
Number of Hedge Fund Holders: 9
DeFi Technologies Inc. (NASDAQ:DEFT) is one of the fastest-growing penny stocks to buy now. On November 17, Maxim Group analyst Matthew Galinko reiterated a Buy rating on DeFi Technologies Inc. (NASDAQ:DEFT), impressed by the increase in assets under management and the expansion of Exchange Traded Products.
The analyst expects the company to enjoy robust growth with the launch of new Exchange Traded Products strategies, followed by expansion into new geographies. The company is also well-positioned to benefit from expanding liquidity and advisory services. A strong financial position, coupled with significant cash reserves and cryptocurrency holdings also affirms its long-term prospects.
The remarks come on the heels of DeFi Technologies delivering mixed third-quarter results on November 14, in which revenues dropped to $22.5 million from $28.1 million in the same quarter last year. The decline was due to lower revenues from realized and net changes in unrealized gains on digital assets. Operating income also fell to $9 million from $14.4 million, driven by lower revenues.
“With average AUM exceeding $900 million per month in the third quarter, the highest quarterly average in history, and net inflows every month year-to-date, we continue to demonstrate the power of our integrated asset management and trading ecosystem,” said CEO, Olivier Roussy Newton.
DeFi Technologies Inc. (NASDAQ:DEFT) is a financial technology company that bridges traditional finance with decentralized finance (DeFi) by offering regulated products and services. It creates and issues exchange-traded products (ETPs) that provide indirect exposure to digital assets and DeFi protocols.
9. Ur-Energy Inc. (NYSE:URG)
3-Year Sales Growth: 1181.92%
Sales Growth Year over Year: 138.94%
Stock Upside Potential: 80.21%
Number of Hedge Fund Holders: 22
Ur-Energy Inc. (NYSE:URG) is one of the fastest-growing penny stocks to buy now. On November 6, Maxim Group analyst Tate Sullivan reiterated a Buy rating on Ur-Energy Inc. (NYSE:URG). According to the analyst, the company is well-positioned to benefit from growing uranium demand from US customers.
The company has already secured significant off-take agreements with US commercial nuclear power plants, underscoring its long-term prospects. It has also reiterated its 2025 revenue guidance, which expects to sell 440,000 pounds of U3O8 at an average price of $61.77 per pound. It expects to realize revenues of $27.2 million.
Ur-Energy is also on course to start production at its second uranium mining project in Wyoming as it looks to capitalize on growing uranium demand. It’s also ramping up production at Lost Creek, which produced 93,525 pounds of U308, dried and packaged, in the third quarter.
On November 4, analysts at H.C. Wainwright cut their price target of the stock to $2.60 from $2.70 but reiterated a Buy rating. According to the research firm, the use of purchased inventories should help protect and maximize the value of low-cost products in the long term.
Ur-Energy Inc. (NYSE:URG) is a U.S.-based uranium mining company that acquires, explores, develops, and operates uranium properties in the United States. It specializes in the environmentally sensitive in-situ recovery (ISR) method of uranium extraction, which leaves the rock in place. Its flagship project is the Lost Creek project in Wyoming, and it is also developing the Shirley Basin project.
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