10 Promising SmallCap Stocks Under $1 Billion Market Cap

9. Graham Corporation (NYSE:GHM)

Graham Corporation, trading at $51.3 as of 16^th July, delivers mission-critical vacuum and heat transfer systems for defense, energy, and petrochemicals segments, operating in niches where reliability is non-negotiable.

Its acquisition of Barber-Nichols deepened its role in advanced propulsion for next-gen nuclear submarines and carriers. This move strengthens its position in the U.S. defense supply chain as global defense budgets rise and the Navy modernizes.

Looking ahead, Graham is expanding into small modular nuclear reactors (SMRs), hydrogen, renewable fuels, and aerospace, carefully entering adjacent high-growth sectors aligned with its technical strengths. Management remains disciplined, capital-efficient, and focused on long-term value creation. With high barriers to entry, contract-driven growth, and emerging clean energy optionality, Graham stands out as a resilient, under-the-radar industrial leader.