10 Must-Buy Small-Cap Stocks to Invest In

7. Power Solutions International, Inc. (NASDAQ:PSIX)

Market cap: $1.90 Billion

Year-to-date returns: 181.90%

Number of hedge fund holders: 10

Power Solutions International, Inc. (NASDAQ:PSIX) is one of the must-buy small-cap stocks to invest in. On August 11, the company announced it had entered into a second amendment to its Uncommitted Revolving Credit Agreement with Standard Chartered Bank.

With the new agreement, the company’s borrowing capacity under the credit facility has increased to $135 million. The agreement also extends the credit facility to July 30, 2027, as Power Solutions International has repaid all outstanding borrowings under the previous Shareholders’ Loan Agreement with Weichai America Corp.

Borrowings under the new credit facility are to incur interest at the applicable Secured Overnight Financing rate plus 2.10% per annum. The signing of the new agreement follows the company’s achievement of profitability and the generation of positive cash flows from operations for several years.

Power Solutions International, Inc. (NASDAQ:PSIX) is an industrial company that designs and manufactures emission-certified engines and power systems. Its solutions are utilized in various industries, including power generation, industrial equipment, and transportation.