In this article, we will look at the 11 Best Small-Cap Growth Stocks to Buy Right Now.
On August 14, Jonathan Krinsky of BTIG joined CNBC for an interview to discuss the sustainability of the recent small-cap rally. He noted that the current situation resembles July 2024, when small caps were mostly flat while the Nasdaq performed well, and after a better-than-expected CPI report, the small caps surged. The current situation is very similar as small-caps have again been flat year-to-date, while the Nasdaq remains strong, and a recent CPI report has pushed small caps higher. This becomes more relevant as the markets are priced in for a September rate cut too.
Krinsky noted that the recent breakout deserves attention; however, the key question remains regarding the sustainability of this momentum. He highlighted that after the last election, the small-caps rose for some time; however, the market lost steam quickly. Regardless, Krinsky continues to see potentially good opportunities in small-caps as the valuations remain low and investors remain heavily uninvested in this sector.
Krinsky also mentioned that the Russell 2000 is now above recent trading highs, around 2300, with a 52-week high near 2466. While this suggests a buying chance, he advises caution and to use tight stops since the setup is similar to last year’s.
With that, let’s take a look at the 11 best small-cap growth stocks to buy right now.
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Our Methodology
To curate the list of 11 best small-cap growth stocks to buy right now, we used the Finviz stock screener, CNN, and Yahoo Finance as our sources. Using the screener, we aggregated a list of small-cap growth stocks (market cap between $300 million and $2 billion) with analyst price targets showing more than 25% upside. Lastly, we cross-checked the market capitalization from Yahoo Finance and ranked the stocks in ascending order of the number of hedge fund holders sourced from Insider Monkey’s Q1 2025 database. Please note that the data was recorded on August 18, 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 Best Small-Cap Growth Stocks to Buy Right Now
11. Vericel Corporation (NASDAQ:VCEL)
Market Capitalization: $1.831 billion
Analyst Upside Potential: 51.60%
Number of Hedge Fund Holders: 14
Vericel Corporation (NASDAQ:VCEL) is one of the Best Small-Cap Growth Stocks to Buy Right Now. On August 4, Mike Kratky from Leerink Partners raised the firm’s price target on Vericel Corporation (NASDAQ:VCEL) from $50 to $57, while maintaining a Buy rating on the stock.
The analyst noted that the company missed revenue estimates for the fiscal second quarter slightly. However, management’s outlook and strategic plan suggest better results during the second half of the year. Kratky noted that the conversion rates for MACI Arthro, which refer to the percentage of patients who move from an initial biopsy to receiving a MACI implant using the less invasive arthroscopic technique, are aligning with the traditional methods. This indicates that the ongoing training and activations could drive growth in biopsies and implants through 2026.
Moreover, the analyst also finds that the current valuation of Vericel Corporation (NASDAQ:VCEL) is below its historic average and noted that management expects stable expenses for the rest of the year. Kratky finds the company’s risk/reward situation attractive.
Vericel Corporation (NASDAQ:VCEL) is a biopharmaceutical company that develops advanced therapies for sports medicine and severe burn care.
10. NetScout Systems, Inc. (NASDAQ:NTCT)
Market Capitalization: $1.611 billion
Analyst Upside Potential: 42.79%
Number of Hedge Fund Holders: 22
NetScout Systems, Inc. (NASDAQ:NTCT) is one of the Best Small-Cap Growth Stocks to Buy Right Now. On August 7, NetScout Systems, Inc. (NASDAQ:NTCT) released its fiscal first quarter results for 2026, with both revenue and EPS exceeding Wall Street estimates.
The company delivered $186.75 million in revenue, up around 7% year-over-year and ahead of estimates by $5.25 million. The EPS of $0.34 also exceeded expectations by $0.04. Management noted that this growth was driven by an increased product revenue, which makes up around 39% of the total revenue.
Moreover, NetScout Systems, Inc. (NASDAQ:NTCT) also grew its product backlog significantly to $30.9 million. Management expects full-year revenue between $825 million and $865 million.
NetScout Systems, Inc. (NASDAQ:NTCT) provides solutions for enterprise performance management, carrier service assurance, and cybersecurity.
9. ePlus inc. (NASDAQ:PLUS)
Market Capitalization: $1.947 billion
Analyst Upside Potential: 25.84%
Number of Hedge Fund Holders: 24
ePlus inc. (NASDAQ:PLUS) is one of the Best Small-Cap Growth Stocks to Buy Right Now. On August 7, ePlus inc. (NASDAQ:PLUS) announced results for its fiscal first quarter of 2026. The company exceeded Wall Street estimates, driven by higher product sales.
ePlus inc. (NASDAQ:PLUS) posted $637.32 million in revenue, reflecting 17.04% growth year-over-year and ahead of consensus by $120.62 million. The EPS of $1.26 also exceeded expectations by $0.16. Management noted that this growth came from higher product sales and major growth in services revenue. Notably, the gross bookings rose 14.3% to $952.8 million, while the gross profit grew 16.8% to reach $148.2 million.
During the quarter, the company sold its domestic financing business to focus fully on technology, which led to an increased capital position. Moreover, it also declared its first-ever quarterly dividend of $0.25per share and authorized a share repurchase program for up to 1.5 million shares.
ePlus inc. (NASDAQ:PLUS) provides transformative technology solutions and services. It offers products and services in artificial intelligence, security, cloud, data center, networking, and collaboration.
8. CG Oncology, Inc. (NASDAQ:CGON)
Market Capitalization: $1.96 billion
Analyst Upside Potential: 133.46%
Number of Hedge Fund Holders: 24
CG Oncology, Inc. (NASDAQ:CGON) is one of the Best Small-Cap Growth Stocks to Buy Right Now. On August 11, Andres Y. Maldonado from H.C. Wainwright reiterated a Buy rating on CG Oncology, Inc. (NASDAQ:CGON) with a price target of $75.
The analyst noted that the company is making good progress with its drug Cretostimogene for treating BCG-unresponsive high-risk non-muscle invasive bladder cancer. Data from the ongoing studies is expected by the end of 2025, which Maldonado believes will be a key milestone. In addition, the BOND-003 study shows a strong median duration of response, which is supported by stable immune system activity, indicating long-term control of the disease.
Maldonado highlighted that CG Oncology, Inc. (NASDAQ:CGON) is improving its drug administration and stability, which makes it easier for urologists to adopt the treatment. Moreover, the analyst sees faster patient enrollment in trials and growing market awareness as positive signs for the company.
CG Oncology, Inc. (NASDAQ:CGON) is a biotechnology company that develops treatments for bladder cancer, focusing on bladder-sparing therapies.
7. Progress Software Corporation (NASDAQ:PRGS)
Market Capitalization: $1.971 billion
Analyst Upside Potential: 58.54%
Number of Hedge Fund Holders: 28
Progress Software Corporation (NASDAQ:PRGS) is one of the Best Small-Cap Growth Stocks to Buy Right Now. On August 12, Progress Software Corporation (NASDAQ:PRGS) announced the availability of MarkLogic Server 12 at Ai4 2025 in Las Vegas.
The new release brings advanced semantic search and Retrieval-Augmented Generation capabilities to help organizations ground generative AI in their own data for more secure and accurate results.
Some of the key features of MarkLogic Server 12 include vector search, BM25 relevance ranking, and fast, cost-effective data retrieval on-premises and in the cloud. Management noted that Proof-of-Concept customers saw a 33% improvement in large language model response accuracy and faster information discovery.
Progress Software Corporation (NASDAQ:PRGS) provides AI-powered software that helps customers develop, deploy, and manage digital experiences and applications.
6. Beam Therapeutics Inc. (NASDAQ:BEAM)
Market Capitalization: $1.803 billion
Analyst Upside Potential: 135.69%
Number of Hedge Fund Holders: 28
Beam Therapeutics Inc. (NASDAQ:BEAM) is one of the Best Small-Cap Growth Stocks to Buy Right Now. On August 8, JonesTrading analyst Soumit Roy reduced the firm’s price target on Beam Therapeutics Inc. (NASDAQ:BEAM) from $34 to $25, while maintaining a Buy rating on the stock.
The analyst noted that the company has been making good progress with its clinical trials, highlighting its BEAM-302 Phase 1/2 trial for AATD, where 17 patients have been dosed, with data expected soon. Moreover, Beam Therapeutics Inc. (NASDAQ:BEAM) is also preparing updated results from its BEACON Phase 1/2 trial with BEAM-101 by the end of 2025 and also plans to start a Phase 1 trial for BEAM-103.
Talking about the financial position of the company, the analyst noted that the company has about $1.15 billion in cash, which gives it a solid runway till 2028. Lastly, Roy noted that the reduced price target reflects a valuation based on a different valuation model, which sets the stock price at $25.
Beam Therapeutics Inc. (NASDAQ:BEAM) develops precise genetic medicines using base editing technology. This method allows the company to make exact single-base changes in DNA without causing harmful breaks.
5. Celldex Therapeutics, Inc. (NASDAQ:CLDX)
Market Capitalization: $1.693 billion
Analyst Upside Potential: 127.45%
Number of Hedge Fund Holders: 29
Celldex Therapeutics, Inc. (NASDAQ:CLDX) is one of the Best Small-Cap Growth Stocks to Buy Right Now. On August 12, Sam Slutsky from LifeSci Capital maintained a Buy rating on Celldex Therapeutics, Inc. (NASDAQ:CLDX) with a price target of $74.
The analyst noted that the company has shown progress in its pipeline. It is advancing its Barzolvolimab program, focusing on treating chronic spontaneous urticaria. The Phase 3 trials for this study are expected to finish enrollment in summer 2026. Moreover, the recent Phase 2 study showed promising results with many patients achieving complete responses and good disease control. Slutsky noted that the company has managed its cash burn efficiently and has a clear strategy, which justifies the Buy rating.
Celldex Therapeutics, Inc. (NASDAQ:CLDX) is a clinical-stage biotech company focused on developing antibody-based therapies. The company targets mast cell-related diseases, including severe inflammatory and allergic conditions.
4. LiveRamp Holdings, Inc. (NYSE:RAMP)
Market Capitalization: $1.747 billion
Analyst Upside Potential: 38.94%
Number of Hedge Fund Holders: 30
LiveRamp Holdings, Inc. (NYSE:RAMP) is one of the Best Small-Cap Growth Stocks to Buy Right Now. On August 6, Benchmark analyst Mark Zgutowicz raised the firm’s price target on LiveRamp Holdings, Inc. (NYSE:RAMP) from $48 to $51, while keeping a Buy rating on the stock.
The analyst raised the price target ahead of the company’s fiscal first quarter results for 2026, which were scheduled a few hours later the same day. He had noted that the company is likely to exceed revenue guidance for the quarter. LiveRamp Holdings, Inc. (NYSE:RAMP) exceeded Wall Street’s expectations for both revenue and EPS. It delivered $194.82 million in revenue, up 11% year-over-year and ahead of consensus by $3.71 million. The EPS of $0.44 also came in ahead of the expectations by $0.02.
Management noted that they achieved a record-high operating margin, as GAAP operating income reached $7 million, turning from a negative figure last year. The company remains confident in its growth potential for fiscal 2026 and beyond.
LiveRamp Holdings, Inc. (NYSE:RAMP) is a data collaboration technology company that connects data from advertisers, platforms, publishers, and more to create a unified view of customers.
3. NextNav Inc. (NASDAQ:NN)
Market Capitalization: $1.932 billion
Analyst Upside Potential: 37.84%
Number of Hedge Fund Holders: 32
NextNav Inc. (NASDAQ:NN) is one of the Best Small-Cap Growth Stocks to Buy Right Now. On August 7, Timothy Horan maintained a Hold rating on NextNav Inc. (NASDAQ:NN) without disclosing any price target.
The cautious rating for the company comes after it released its results for its fiscal second quarter of 2025 on August 6. The company posted mixed results; its revenue of $1.20 million grew 8.78% year-over-year, but missed estimates by $390,000. Moreover, the EPS of negative $0.48 also fell short of the consensus by $0.35.
Management noted that they gained approval from the FCC allowing NextNav Inc. (NASDAQ:NN) to acquire more spectrum licenses in the Lower 900MHz band. Moreover, management also highlighted that the operating loss was due to the higher cost of professional services and consulting.
NextNav Inc. (NASDAQ:NN) provides advanced positioning, navigation, and timing solutions that enable precise three-dimensional geolocation.
2. Alight, Inc. (NYSE:ALIT)
Market Capitalization: $2.011 billion
Analyst Upside Potential: 91.26%
Number of Hedge Fund Holders: 41
Alight, Inc. (NYSE:ALIT) is one of the Best Small-Cap Growth Stocks to Buy Right Now. On August 7, DA Davidson lowered the firm’s price target on Alight, Inc. (NYSE:ALIT) to $7 from $10 and kept a Buy rating on the stock.
The reduced price target follows the company’s fiscal second-quarter results for 2025, where the company posted slightly better than expected results. The analyst noted that the company’s total revenue was 1% above forecasts while the adjusted EBITDA was 7% ahead. However, regardless, management lowered its revenue guidance for 2025 due to delays in closing new deals and continued weakness in non-recurring project revenue.
As a result, the firm also reduced its revenue and earnings forecasts for 2025 through 2027. The analyst noted that DA Davidson sees 2025 as a transitional year for the company.
Alight, Inc. (NYSE:ALIT) provides cloud-based human capital management solutions that help organizations manage employee benefits like health, wealth, and leave programs.
1. Dyne Therapeutics, Inc. (NASDAQ:DYN)
Market Capitalization: $1.761 billion
Analyst Upside Potential: 206.95%
Number of Hedge Fund Holders: 46
Dyne Therapeutics, Inc. (NASDAQ:DYN) is one of the Best Small-Cap Growth Stocks to Buy Right Now. On August 4, Michael Ulz of Morgan Stanley reiterated a Buy rating on Dyne Therapeutics, Inc. (NASDAQ:DYN) with a price target of $48.
The analyst noted that the FDA granted Breakthrough Therapy Designation to the company’s DYNE-251. He noted that this indicates a strong need for new treatments of Duchenne muscular dystrophy. DYNE-251 targets patients who are eligible for exon 51 skipping, which is a specific genetic approach.
Moreover, the treatment has been showing promising early clinical results, and the designation by the FDA will allow the company to move faster in development and regulatory reviews.
Dyne Therapeutics, Inc. (NASDAQ:DYN) is a clinical-stage company focused on developing treatments for genetically driven neuromuscular diseases.
While we acknowledge the potential of DYN to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than DYN and that has 100x upside potential, check out our report about this cheapest AI stock.
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