In this article, we will be looking at the 11 best short-term stocks to invest in.
The latter half of the 2025 market is caught between conflicting signals. July’s controversial jobs report indicated the nonfarm payrolls rising by just 73,000, with three-month average job gains now less than a third of last year’s pace, pointing to a economic slowdown in the U.S. According to CNBC, this has prompted Goldman Sachs to reduce the growth forecast to just 1% for the remainder of 2025 citing weaker job growth and reduced consumer spending in the face of tariff-related inflation.
On the other hand, despite these warnings, the market remains resilient and continues to thrive. The Dow Jones Industrial Average declined by just 1.7% over the past month. And with President Trump’s announcement on the matter, optimism is brimming around possible Fed rate cuts and a breakthrough in U.S.-EU trade talks. Inflation concerns have been toned down, leading the traders to assign a nearly 90% probability of a rate cut in September. The improved sentiment has created short-term opportunities for investors to capitalize on.
Short-term opportunities often emerge in uncertain macro environments, and right now, the mix of market resilience and shifting Fed expectations is building such a setup. With that in mind, let’s look into our picks for the 11 best short-term stocks to consider. The top 5 might surprise you.
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Our Methodology
When putting together our list of 11 best short-term stocks to invest in, we followed a few criteria. Primarily, we considered small caps and above for making this list. All the stocks on our list have a 1-year negative performance and a positive performance this week, which are used for recognizing their short-term return-generating potential. For ranking the stocks, we have used their 1-year negative performances. All the data used in the article was taken from financial databases and analyst reports, with all information updated as of August 7, 2025.
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 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here).
11. Energizer Holdings, Inc. (NYSE:ENR)
Performance 1 Year: -2.32%
Energizer Holdings, Inc. (NYSE:ENR) ranks among our list of 11 best short-term stocks to invest in. The company sees mixed analysts’ opinions amid the company’s release of the Q3 earnings report for 2025.
Missouri-based company, Energizer Holdings, Inc. (NYSE:ENR), is among the world’s largest manufacturers of primary batteries and portable lights. With a comprehensive portfolio that includes brands like Energizer, Eveready, Rayovac, and Varta, the company markets automotive and personal care products to retailers, distributors, and direct consumers across various channels in over 165 countries.
In its 2025 third-quarter earnings report, released on August 4, 2025, the company announced that it exceeded its outlook across net sales, adjusted gross margin, and adjusted EPS. Particularly, the recent acquisition of Advanced Power Solutions NV (APS NV) contributed $20.8 million to Net Sales. In addition to this, Energizer Holdings, Inc. (NYSE:ENR)’s “Project Momentum” delivered approximately $12 million in savings during the quarter, indicating successful internal operational efficiency initiatives.
Acknowledging the growth, analysts, including Truist and UBS, raised their price target on the stock. Truist raised the price target from $30 to $35 while UBS raised it from $23 to $29. On the other hand, Canaccord Genuity maintains a Hold rating on Energizer Holdings, Inc. (NYSE:ENR), signaling mixed opinions on the stock.
The company gained 27.23% this week, sharply reversing its modest annual decline of 2.32%, increasing its appeal to investors seeking short-term investments in the consumer staples sector.
10. Teradyne, Inc. (NASDAQ:TER)
Performance 1 Year: -12.17%
Teradyne, Inc. (NASDAQ:TER) earns a rank in our list of 11 best short-term stocks to invest in. The company experienced an upward movement in stock price following better performance in the Semiconductor Test segment and the launch of Magnum 7H.
Headquartered in Massachusetts, Teradyne, Inc. (NASDAQ:TER) designs, manufactures, and sells automated test equipment for semiconductors and electronics. The company also focuses on robotics solutions, including collaborative and mobile robots through subsidiaries like Universal Robots and Mobile Industrial Robots.
On July 29, 2025, Teradyne, Inc. (NASDAQ:TER) reported its second-quarter 2025 results, with revenue of $652 million surpassing the company’s mid-point guidance ranges. The Semiconductor Test segment, which generated $492 million in revenue due to System-on-a-Chip (SOC) applications for artificial intelligence (AI), was the primary contributor. The company’s CEO, Greg Smith, has made the following statement:
“The exact timing of program ramps and capacity adds remain uncertain, but we believe that AI will drive strong second half performance for Teradyne.”
Furthermore, on August 4, 2025, Teradyne launched the Magnum 7H, a next-generation memory tester specifically designed for High Bandwidth Memory (HBM) devices integrated with GPUs and accelerators in high-performance, generative AI servers. Currently, in the production and shipping process of the Magnum 7H system to HBM manufacturers, the company claims that its new launch solidifies its market leadership by supporting current and future HBM technologies.
Teradyne, Inc. (NASDAQ:TER)’s stock price jumped 18.09% this week, hinting at strong near-term sentiment despite a 12.17% drop over the past year.
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