On Thursday, August 14, stocks bounced back after declining earlier in the day. Investors decided to buy the dip, even though July’s producer price index (PPI) reading suggested that a Federal Reserve rate cut may not be guaranteed.
The S&P 500 gained 0.03% thanks to late-day gains, marking its third day in a row of record closing highs. However, the Nasdaq Composite and Dow Jones Industrial Average closed a little lower. The Nasdaq dropped by 0.01% and the Dow ended the day down 0.02%.
During the session, both the S&P and Nasdaq had dropped by about 0.4% at their lows before recovering. The Dow had also lost over 200 points at one point. The major averages declined because July’s PPI reading came in higher than expected.
Wholesale prices went up by 0.9% in July, which was much higher than the 0.2% economists polled by Dow Jones were expecting. In June, the index had not changed. Wholesale prices can be a strong indicator of consumer prices, and the higher reading caused concern.
However, some traders looked closely at the report and saw that the rise came mostly from big increases in “portfolio management” and airfare. Without these factors, the increase would have been closer to the estimates.
With this background in mind, let’s take a look at the 11 best under-the-radar stocks to buy right now.
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Our Methodology
To compile our list of the 11 best under-the-radar stocks to buy now, we looked for stocks that can be classified as “hidden gems” or “under-the-radar.” We reviewed various online resources and financial media reports to compile a list of more than 30 under-the-radar stocks. Next, we focused on the top 11 stocks most favored by institutional investors. Data for the hedge fund sentiment surrounding each stock was taken from Insider Monkey’s Q1 2025 database of 1,000 elite hedge funds. Finally, the 11 best under-the-radar stocks to buy now were ranked in ascending order based on the number of hedge funds holding stakes in them as of Q1 2025.
Why do we care about what hedge funds do? 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 Under-the-Radar Stocks to Buy Right Now
11. The Trade Desk, Inc. (NASDAQ:TTD)
Number of Hedge Fund Holders: 61
The Trade Desk, Inc. (NASDAQ:TTD) is one of the best under-the-radar stocks to buy right now. On August 8, RBC Capital reduced its price target for The Trade Desk, Inc. (NASDAQ:TTD) from $100 to $90 and kept an Outperform rating.
This decision came after The Trade Desk, Inc. (NASDAQ:TTD) reported Q2 2025 earnings, which the firm described as “solid results” that nonetheless did not meet the elevated investor expectations.
RBC pointed out that The Trade Desk, Inc. (NASDAQ:TTD) is currently experiencing “company-specific headwinds” related to its enterprise install base, which is more likely to be affected by tariffs.
Despite these challenges, the firm noted that there are many potential growth drivers that could help the company gain momentum in 2026. RBC connected TV (CTV), joint business plans (JBPs), and the company’s Kokai platform as key growth drivers.
The Trade Desk, Inc. (NASDAQ:TTD) is a technology company that is known for its self-service, cloud-based platform. The platform allows ad buyers to create, manage, and optimize digital advertising campaigns across ad formats and devices.
10. Fortinet, Inc. (NASDAQ:FTNT)
Number of Hedge Fund Holders: 62
Fortinet, Inc. (NASDAQ:FTNT) is one of the best under-the-radar stocks to buy right now. On August 7, Stifel reduced its price target for Fortinet, Inc. (NASDAQ:FTNT) from $95 to $85 and kept a Hold rating. This decision came after the company shared its second-quarter earnings.
Fortinet, Inc. (NASDAQ:FTNT) reported second-quarter results that surpassed expectations. Billings grew 15% compared to last year and revenue increased by 14%. Product revenue also went up by 13%. The company’s margins and EPS beat both Steifel’s and the consensus estimates. Fortinet, Inc. (NASDAQ:FTNT) raised its billings guidance for the full year 2025.
Stifel noted that the company’s management shared that 40%-50% of the fiscal year 2026 end-of-support (EOS) firewall refresh opportunity has already been completed. The executives seemed to downplay this opportunity as well as the EOS refresh cycle in fiscal year 2027.
The firm pointed out that there are concerns about weakness in services, customer losses, and questions about the company’s growth rate being sustainable. These concerns prompted Stifel to stay “on the sidelines” regarding Fortinet, Inc. (NASDAQ:FTNT).
Fortinet, Inc. (NASDAQ:FTNT) is a global cybersecurity company focused on networking and security solutions and services. The company offers a large integrated portfolio of more than 50 enterprise-grade products.
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