In this article, we will look at the 10 Small-Cap Stocks With Huge Growth Potential.
On February 19, Ben Snider, Goldman Sachs chief U.S. equity strategist, appeared on CNBC’s ‘Money Movers’ to talk about his playbook for equities, among other things. He was of the view that the circumstances are quite as expected, as the economic data has been solid, and we are wrapping up the fiscal Q4 earnings season, which was solid as well. The big surprise, looking at the markets, is the effect of AI uncertainty on large parts of the S&P. It is pretty remarkable, according to him, given the strength of large parts of the equity market, the S&P is about flat year to date. He thinks this is because the AI narrative has shifted from being pure optimism to a balance of optimism and disruption.
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He further stated that purely from a compositional perspective, the large weight in tech has been a major tailwind for the index in the past few years, even as the economy was maybe not as strong as many investors had hoped. Now, that large tech component is acting as a bit of a drag, so if you look at the equal-weight S&P, for example, that is up about 5% or 6%, you have about 350 out of 500 S&P stocks up on the year, seeing a pretty good market. But in aggregate, the tech weight is becoming a little bit of a headwind.
With these market trends in view, let’s look at the best small-cap stocks with huge growth potential.
Our Methodology
We sifted through the Finviz stock screener to compile a list of the best small-cap stocks that analysts are bullish on (with over 50% upside) and selected the top 10 most popular among elite hedge funds as of Q3 2025. We sourced the hedge fund data from Insider Monkey’s database. The stocks are ranked in ascending order of hedge fund sentiment.
Note: All data was recorded on February 24.
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 427.7% since May 2014, beating its benchmark by 264 percentage points (see more details here).
10 Small-Cap Stocks With Huge Growth Potential
10. Intapp (NASDAQ:INTA)
Intapp (NASDAQ:INTA) is one of the best small-cap stocks with huge growth potential. On February 23, Intapp (NASDAQ:INTA) and Harvey announced a strategic partnership to bring industry-standard ethical wall enforcement directly into Harvey’s platform.
Management reported that the partnership combines two complementary AI platforms, bringing Harvey, a generative AI platform for legal professionals, together with Intapp, which applies AI to the business of law. The integration can allow the two companies to address the central challenge that is being faced by every film deploying AI at scale: ensuring that AI-generated work respects the same professional responsibility obligations that govern all other firm activity.
Intapp (NASDAQ:INTA) further reported that under the partnership, Intapp Walls for AI will ensure that compliance obligations are respected in interactions within Harvey’s enterprise AI deployments. It added that with the integration, the existing Intapp Walls for AI policies would automatically sync with Harvey’s access and sharing controls across Assistant, Vault, and Workflows. According to management, the firms deploying Harvey with Intapp Walls can be confident that every AI interaction is auditable, permissioned, and compliant with applicable ethical walls and firm policies.
Intapp (NASDAQ:INTA) provides information technology services, with its offerings including industry-specific, cloud-based software solutions for the professional and financial services industry globally.
9. Grail Inc. (NASDAQ:GRAL)
Grail Inc. (NASDAQ:GRAL) is one of the best small-cap stocks with huge growth potential. On February 20, Baird cut the price target on Grail Inc. (NASDAQ:GRAL) to $82 from $113 while maintaining an Outperform rating on the shares. The rating update came after the announcement that its NHS study missed its primary endpoint.
The same day, Canaccord also cut the price target on Grail Inc. (NASDAQ:GRAL) to $80 from $105 while maintaining a Buy rating on the shares. The firm told investors that although it is disappointed with the company’s NHS-Galleri top-line results and acknowledges that the path forward may be less certain, it still believes that the after-hours selloff, nearly 50%, is an overreaction. It thus remains confident in the NHS Galleri results despite missing the primary endpoint.
The rating updates came after Grail Inc. (NASDAQ:GRAL) reported its fiscal Q4 and full year 2025 results on February 19, with the total revenue in fiscal Q4 growing 14% year-over-year to $43.6 million and the U.S. Galleri revenue growing 31% year over year to $41.3 million. Total revenue for the full year rose 17% year over year to $147.2 million, while the U.S. Galleri revenue grew 26% year over year to $136.8 million.
Grail Inc. (NASDAQ:GRAL) is a commercial-stage healthcare company that develops a technology for the early detection of cancer. The company employs software, machine learning, and automation for the identification and detection of multiple deadly cancer types in earlier stages.
