11 Small-Cap Tech Stocks Hedge Funds Were Buying in Q2

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7. Backblaze, Inc. (NASDAQ:BLZE)

Number of Hedge Fund Holders: 21

Percentage Change Since Q2: 89%

Market Cap: $605.7 Million

Backblaze, Inc. (NASDAQ:BLZE) is one of the small-cap tech stocks hedge funds were buying in Q2.

On October 17, 2025, Oppenheimer analyst Ittai Kidron reaffirmed an Outperform rating on Backblaze and raised the firm’s price target from $10 to $11. In his note, Kidron pointed to encouraging signals from channel checks, including steady deal flow in Q3 and healthy pipeline momentum going into Q4. He also described the competitive landscape as “normal,” suggesting no material change in pricing pressure or market share dynamics.

The updated target implies confidence in the company’s ability to sustain revenue growth while executing on customer acquisition and retention. The tone of the commentary leaned constructive rather than speculative, signaling a measured optimism based on field feedback rather than top-down macro themes.

Backblaze, Inc. (NASDAQ:BLZE) is a California-based cloud storage and data backup company known for its affordable and scalable B2 cloud platform. It serves developers, SMBs, and enterprise clients with object storage and backup solutions, positioning itself as a cost-effective alternative to hyperscalers.

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