In this article, we will take a detailed look at the 13 Best Multibagger Penny Stocks to Buy According to Analysts.

It’s time to pivot towards micro and small-cap stocks as the US Federal Reserve prepares to cut interest rates. A cooler inflation print for July has bolstered Morgan Stanley’s sentiments for more interest rate cuts than initially anticipated, as stagflation fears fade away.

The CME FedWatch tool, signaling three-quarter percentage point cuts before year-end, is fueling sentiments around micro and small-cap stocks that thrive in a low-interest-rate environment. Improving monetary policy outlook could be a boon for micro-cap companies that have generated significant returns over the past year, according to Morgan Stanley analysts.

“What if we don’t see material signs of inflation pressure in the July CPI report? Bond market pricing of a September cut (currently at a ~90% probability) could rise further,” Mike Wilson, chief U.S. equity strategist at Morgan Stanley. “This has the potential to catalyze a more durable rotation to small caps and lower quality stocks should it play out.”

With the S&P 500 up by about 8% year-to-date and at all-time highs, valuation concerns are increasingly ringing alarm bells. Amid the expected changes in interest rates, penny stocks trading at highly discounted valuations could offer a way out of the current premium valuations.

While the focus has been on large-cap companies for the better part of the year, several companies with intriguing innovations have been pushed into the penny stock territory. With that in mind, let’s take a look at some of the best multibagger penny stocks to buy according to analysts.

Our Methodology

To create the list of the 13 Best Multibagger Penny Stocks to Buy According to Analysts, we utilized the Finviz stock screener to filter for stocks trading below $5 per share. We then focused on penny stocks that have generated a return of over 100% over the past year (as of August 18) and are popular among elite hedge funds (as of Q1 2025). We also analyzed the stocks’ upside potential (above 30%) based on analysts’ estimates. Finally, we ranked the stocks in ascending order based on their one-year return.

Why are we interested in the stocks that hedge funds pile into? The reason is straightforward: our research has demonstrated that we can outperform the market by replicating 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).

Best Multibagger Penny Stocks to Buy According to Analysts

13. Akebia Therapeutics, Inc. (NASDAQ:AKBA)

Stock One Year Return: 144.44%

Share Price: $3.30

Stock Upside Potential: 110.84%

Number of Hedge Fund Holders: 19

Akebia Therapeutics, Inc. (NASDAQ:AKBA) is one of the best multibagger penny stocks to buy according to analysts. On August 7, the company delivered its second-quarter results, which showed strong momentum in the addition of new prescribers and expansion of patient access to its key therapy, Vafseo.

Revenue in the quarter surged to $62.5 million, surpassing consensus estimates of $47.64 million, driven by strong sales of Vafseo and Auryxia. Vafseo revenue came in at $13.3 million as prescription demand grew 55% over the first quarter, contributing to the overall revenue growth. Akebia expects dialysis organizations to operationalize protocols that enable Vafseo prescription access to more than 75,000 patients, expected to strengthen the revenue base.

The company also bounced back to profitability, reporting a net income of $0.2 million, up from a net loss of $8.6 million in the second quarter of 2024. An increase in net product revenues drove the net income increase. Akebia exited the quarter with $137.3 million in cash and cash equivalents sufficient to support future growth initiatives.

Akebia Therapeutics, Inc. (NASDAQ:AKBA) is a biopharmaceutical company focused on developing and commercializing therapies for kidney disease. It has developed products like vadadustat (Vafseo), an oral HIF prolyl hydroxylase inhibitor used for anemia related to chronic kidney disease (CKD), and ferric citrate (Auryxia), which manages phosphorus levels and iron deficiency anemia in CKD patients.

12. Gevo, Inc. (NASDAQ:GEVO)

Stock One Year Return: 127.85%

Share Price: $1.80

Stock Upside Potential: 223.89%

Number of Hedge Fund Holders: 14

Gevo, Inc. (NASDAQ:GEVO) is one of the best multibagger penny stocks to buy according to analysts. On August 11, the company delivered its first-ever profitable quarter in the second quarter of 2025. The company posted a net income of $2.1 million. Adjusted earnings totaled $17 million or $0.1 a share compared to an expected loss of $0.07 a share.

It generated operating revenue of $38.2 million, attributed to a $37.2 million revenue increase from GevoND and a $0.9 million revenue increase from the sale of Isooctane. Total revenue in the quarter totaled $43.41 million, a $14 million increase from the first quarter. The better-than-expected results come as Gevo continues to explore ways to diversify its revenue streams and build a sustainable business.

A key contributor to the better-than-expected results was revenue from carbon credits, as the segment has become an essential part of the business. The credits generated approximately $21 million in net income during the first half of the year.

Gevo, Inc. (NASDAQ:GEVO) is a renewable chemical and advanced biofuels company. They focus on producing sustainable fuels and chemicals using renewable resources, to replace fossil-based fuels and chemicals. Their technology leverages renewable energy and bio-based feedstocks to create energy-dense liquid hydrocarbons.

11. Precigen, Inc. (NASDAQ:PGEN) 

Stock One Year Return: 132.17%

Share Price: $2.67

Stock Upside Potential: 98.30%

Number of Hedge Fund Holders: 12

Precigen, Inc. (NASDAQ:PGEN) is one of the best multibagger penny stocks to buy according to analysts. On August 15, the stock exploded by more than 70% after the US Food and Drug Administration approved PAPZIMEOS for treating adults with recurrent respiratory papillomatosis (RRP).

The rally in the market came as the approval made PAPZIMEOS the first and only FDA-approved therapy for adult RRP patients. The FDA approved the treatment option without requiring Precigen to conduct a confirmatory clinical trial, despite the initial submission being made under an accelerated approval pathway.

“With the landmark FDA approval of PAPZIMEOS and broad label, all adult RRP patients are now eligible for access to the first and only approved therapy that targets the root cause of the disease,” said Helen Sabzevari, President and CEO of Precigen.

Precigen has established Papzimeos SUPPORT, a patient support program offering services including insurance navigation and financial assistance. The program is part of the company’s push to promote the newly FDA-approved treatment.

Precigen, Inc. (NASDAQ:PGEN) is a biopharmaceutical company that focuses on developing and commercializing gene and cell therapies using precision medicine technologies. They are dedicated to addressing complex diseases in immuno-oncology, autoimmune disorders, and infectious diseases.

10. Rimini Street, Inc. (NASDAQ:RMNI)

Stock One Year Return: 136.57%

Share Price: $4.14

Stock Upside Potential: 35.80%

Number of Hedge Fund Holders: 11

Rimini Street, Inc. (NASDAQ:RMNI) is one of the top multibagger penny stocks to buy, according to analysts. On August 13, Suntory, a global leader in beverages and food products, announced an expanded partnership with Rimini Street, Inc. to develop a new mobile wellness app called “Comado”.

Built by Rimini Consult, the gamified, points-based app will serve Suntory Wellness members and integrate with the company’s existing Oracle systems. Suntory first partnered with Rimini Street in 2021 for support services across Oracle Database, Technology, and Hyperion products, achieving 50% cost savings and freeing up its IT team for strategic initiatives.

Faced with a tight four-month deadline and limited internal bandwidth, Suntory relied on Rimini Street’s technical expertise to build development and QA environments while maintaining Oracle platform stability. Takuro Yamashita from Suntory Systems Technology praised Rimini’s flexibility and responsiveness, noting their willingness to align with Suntory’s timeline. The app marks a key step in Suntory’s broader push into the health and wellness sector.

Rimini Street, Inc. (NASDAQ:RMNI) is a global leader in enterprise software support and services, specializing in third-party solutions for Oracle, SAP, and VMware platforms. The company delivers comprehensive, cost-effective support that helps organizations optimize performance and extend the life of their software investments.

9. Compass Therapeutics, Inc. (NASDAQ:CMPX)

Stock One Year Return: 149.16%

Share Price: $2.96

Stock Upside Potential: 320.88%

Number of Hedge Fund Holders: 14

Compass Therapeutics, Inc. (NASDAQ:CMPX) is one of the top multibagger penny stocks to buy, according to analysts. On August 11, Raymond James reiterated its ‘Outperform’ rating with a $9 price target following the company’s second-quarter financial results.

The company reported a net loss of $19.9 million, or $0.14 per share, compared to a net loss of $18.56 million, or $0.13 per share, as Raymond James had expected. Compass exited the quarter with $101 million in cash and cash equivalents sufficient to finance operations to 2027.

During the quarter, the company’s tovecimig in Phase 2/3 met its primary endpoint of overall response rate. Buoyed by the positive preliminary results, Compass Therapeutics is updating its guidance on the secondary endpoint to the first quarter of 2026. In addition, the company confirmed that CTX-10726, a PD-1XVEGF bispecific antibody, is on track for an IND submission in the fourth quarter.

“CTX-10726 has the potential to be a differentiated drug candidate in this class. CTX-10726 was discovered in-house at Compass and leverages our broad expertise in bispecific antibody drug development, including bispecific manufacturing processes, which are already at commercially viable yields,” said Thomas Schultz, MD, PhD, and Chief Executive Officer.

Compass Therapeutics, Inc. (NASDAQ:CMPX) is a clinical-stage oncology-focused biopharmaceutical company that engages in the development of antibody-based therapeutics for the treatment of various human diseases in the United States. The company’s lead product candidates include tovecimig, a bispecific antibody that blocks Delta-like ligand 4 (DLL4) and vascular endothelial growth factor.

8. aTyr Pharma, Inc. (NASDAQ:ATYR)

Stock One Year Return: 159.26%

Share Price: $4.86

Stock Upside Potential: 318.37%

Number of Hedge Fund Holders: 25

aTyr Pharma, Inc. (NASDAQ:ATYR) is one of the top multibagger penny stocks to buy, according to analysts. On August 4, analysts at Cantor Fitzgerald reiterated an ‘Overweight’ rating on the stock. The positive stance comes as the company is poised to present the Phase 3 trial for Efzofitimod, an NRP2 modulator being tested for Pulmonary Sarcoidosis (PS).

The research firm expects the company to present topline results at the European Respiratory Society conference in September. According to Cantor Fitzgerald, aTyr executed the trial effectively. Consequently, it expects significant share price movement attributed to the trial results.

The firm expects the aTyr share price to move to between $15 and $20, representing up to 300% upside potential. Similarly, an unsuccessful trial result could push the stock price below the $1-per-share level.

aTyr Pharma, Inc. (NASDAQ:ATYR) is a clinical-stage biotechnology company that focuses on developing therapies for fibrosis and inflammation using a unique approach based on tRNA synthetase biology. It leverages evolutionary intelligence to translate tRNA synthetase biology into new therapies. Its lead therapeutic candidate, Efzofitimod, is being investigated for interstitial lung diseases (ILDs) like pulmonary sarcoidosis and systemic sclerosis-related ILD.

7. Fossil Group, Inc. (NASDAQ:FOSL)

Stock One Year Return: 167.24%

Share Price: $3.10

Stock Upside Potential: 32.35%

Number of Hedge Fund Holders: 10

Fossil Group, Inc. (NASDAQ:FOSL) is one of the best multibagger penny stocks to buy according to analysts. On August 13, the company announced it will focus on key brand initiatives centered on product, marketing and customer experience in the second half of the year.

The announcement follows the company’s delivery of a 15.2% decline in net sales in the second quarter to $220.4 million. The decline was driven by overall category consumer and channel softness. Declines in smartwatch sales, resulting from the exit of the category and rationalization initiatives, also affected the revenue base.

Fossil Group generated a loss of $4.1 million, a significant improvement from a loss of $36.6 million generated in the second quarter of 2024. Adjusted EBITDA improved to $7 million, or 3.2% of total sales, representing an improvement from a loss of $11.7 million a year ago. The company’s gross margin also improved by 480 basis points to 57.4%.

“We delivered a third consecutive quarter of positive adjusted operating income supported by a healthy gross margin profile and an improving cost structure. We are particularly pleased to have announced a comprehensive refinancing plan that we believe will meaningfully strengthen our financial position and create additional runway to support our turnaround and growth plans,” said Franco Fogliato, CEO.

Fossil Group, Inc. (NASDAQ:FOSL) is a global company that designs, markets, and distributes lifestyle accessories, with a focus on watches, handbags, jewelry, and small leather goods. They are known for their own brands like Fossil, Skagen, and Michele, as well as licensed brands like Michael Kors, Armani Exchange, and Tory Burch.

6. Northern Dynasty Minerals Ltd. (NYSE:NAK)

Stock One Year Return: 154.41%

Share Price: $0.90

Stock Upside Potential: 174.73%

Number of Hedge Fund Holders: 9

Northern Dynasty Minerals Ltd. (NYSE:NAK) is one of the best multibagger penny stocks to buy, according to analysts. On July 18, the company confirmed it has filed a motion in the Federal District Court in Alaska seeking a summary judgment on the veto of its Pebble Mine project.

The filing follows discussions with the Environmental Protection Agency, which have failed to yield results, prompting the need for legal action. In its filing, Northern Dynasty is seeking a summary judgment motion that will expedite a ruling on what it terms an unlawful veto of a project that will reduce US reliance on other nations for a critical mineral.

The company has termed the Pebble mine project as the largest undeveloped copper project in the world. The company wants the veto to be lifted as mining operations on the project would align with the Trump administration’s push for US self-sufficiency in critical metals.

Northern Dynasty Minerals Ltd. (NYSE:NAK) is a mineral exploration and development company focused on the Pebble Project, an undeveloped copper-gold-molybdenum-silver-rhenium deposit in Alaska. The company, through its subsidiary Pebble Limited Partnership, is working towards developing this project into a modern, long-life mine.

5. FuboTV Inc. (NYSE:FUBO)

Stock One Year Return: 191.47%

Share Price: $3.76

Stock Upside Potential: 32.31%

Number of Hedge Fund Holders: 17

FuboTV Inc. (NYSE:FUBO) is one of the best multibagger penny stocks to buy according to analysts. On August 18, FuboTV announced that its French subsidiary Molotov has secured a non-exclusive deal to stream Ligue 1+ for the 2025/2026 season. The agreement gives Molotov rights to broadcast eight live matches per gameday, with one additional match available on delay. The service will also feature exclusive content such as match replays, documentaries, analysis shows, and club-specific programming.

Molotov, acquired by FuboTV in 2021, is France’s top live TV streaming platform, offering content from nearly 200 publishers and channels. It also streams major sports events like the FIFA World Cup 2026 and Coupe de France via TF1, M6, and France TV. FuboTV operates across France, Spain, Canada, and the U.S., expanding its global sports streaming footprint.

FuboTV Inc. (NYSE:FUBO) is a live TV streaming service that offers a wide array of sports, news, and entertainment content. It focuses on delivering live sports, along with entertainment and news channels, as well as on-demand shows and movies.

4. Atai Life Sciences (NASDAQ:ATAI) 

Stock One Year Return: 207.75%

Share Price: $4.05

Stock Upside Potential: 165.72%

Number of Hedge Fund Holders: 14

Atai Life Sciences (NASDAQ:ATAI) is one of the best multibagger penny stocks to buy according to analysts. On July 29, Oppenheimer initiated coverage of the stock with an ‘Outperform’ rating and a $14 price target.

The positive stance comes as the research firm views ATAI Life Sciences as a leader in the psychedelic revolution within neuropsychiatry. The research firm views the segment as an underappreciated market opportunity, given the over 10 million patients in need of alternative treatment options. Oppenheimer expects the company to unlock value while leveraging neuropsychiatry expertise to inform its analysis.

Oppenheimer has already echoed the company’s BPL-003 (intranasal 5-MeO-DMT), currently in Phase 2 trials. The flagship drug has already demonstrated a transformational approach, based on rapid onset, durability, and tolerability, which are crucial for integration into clinical practice.  The research firm has also highlighted the company’s pipeline of psychedelic compounds, which provide diversification and remain undervalued ahead of key catalysts.

Atai Life Sciences (NASDAQ:ATAI) is a pharmaceutical company that is developing psychedelics, other hallucinogens, entactogens, and related drugs for the treatment of psychiatric conditions.

3. TMC the metals company Inc. (NASDAQ:TMC)

Stock One Year Return: 368.57%

Share Price:  $4.92

Stock Upside Potential: 85.57%

Number of Hedge Fund Holders: 9

TMC the metals company Inc. (NASDAQ:TMC) is one of the best multibagger penny stocks to buy according to analysts. On August 14, the leading developer of undeveloped resources of critical metals for the energy, defense, and manufacturing sectors confirmed it remains in a solid financial position.

The remarks came as the company exited the second quarter with $115.8 million in cash and short-term debt of $2.5 million. The strong cash balance is more than sufficient to finance the company’s working capital and capital expenditure commitment for the next 12 months.

Nevertheless, it posted a wider-than-expected net loss for Q2 at $74.3 million, compared to a net loss of $20.2 million delivered in the same quarter last year. The wider-than-expected net loss was attributed to a non-recurring charge of $33 million for warrants issued to the Republic of Nauru, as well as a $16.2 million charge due to the increase in the fair value of warrant liability.

Amid the wider-than-expected net loss, TMC the metals company’s exploration and evaluation expense shrank in the quarter to $10.5 million compared to $12.4 million for the quarter ended June 30, 2024.

TMC the metals company Inc. (NASDAQ:TMC) explores for battery metals from polymetallic nodules found on the seafloor in the Clarion Clipperton Zone (CCZ) of the Pacific Ocean. It strives to supply these metals for the clean energy transition with minimal environmental and social impact, and to advance the circularity of metals.

2. Almonty Industries Inc (NASDAQ:ALM)

Stock One Year Return: 414.94%

Share Price: $4.48

Stock Upside Potential: 35.51%

Number of Hedge Fund Holders: N/A

Almonty Industries Inc. (NASDAQ:ALM) is one of the best multibagger penny stocks to buy according to analysts. On August 15, DA Davidson reiterated a ‘Buy’ rating on the stock and a $7 price target. The positive stance follows the company’s delivery of second-quarter results and reiteration that it continues to achieve solid momentum across various strategic initiatives.

Sales in the second quarter of 2025 decreased 9.4% year over year to $7.2 million, primarily due to lower tungsten concentrate sales and the diversion of personnel to initiate Level 4 preparation. The net loss in the quarter widened to $58.2 million, primarily attributed to the reevaluation of warrant liabilities and a non-cash expense of $6.9 million.

Amidst the disappointing financial results, Almonty Industries’ Panasqueira mine remained well-positioned to deliver steady tungsten output and valuable operational insights. The company’s Sangdong mine remains on track with all processing equipment fully installed. Almonty Industries has already transitioned into the final pre-production phase at one of the most significant and highest-grade tungsten projects outside of China.

“We have transitioned into the final pre-production phase at one of the world’s largest and highest-grade tungsten projects outside of China, and we remain on track to commence initial production in the second half of 2025. Importantly, Sangdong’s significantly higher ore grades relative to Panasqueira should translate into robust production economics once operations begin,” CEO Lewis Black commented.

Almonty Industries Inc. (NASDAQ:ALM) is a tungsten mining and development company. It focuses on acquiring, operating, and developing tungsten mines and projects, including the Panasqueira mine in Portugal and the Sangdong mine in South Korea. Almonty also has projects in Spain and is involved in the production and supply of tungsten concentrate.

1. Microvast Holdings, Inc. (NASDAQ:MVST) 

Stock One Year Return: 783.87%

Share Price: $2.74

Stock Upside Potential: 64.23%

Number of Hedge Fund Holders: 17

Microvast Holdings Inc. (NASDAQ:MVST) is one of the best multibagger penny stocks to buy according to analysts. On August 13, H.C. Wainwright reiterated a ‘Buy’ rating on the stock and raised the price target to $6 from $3.

The research firm is also buoyed by the company’s solid Q2 2025 results, whereby revenue increased 9.2% year-over-year to $91.3 million. The increase resulted in a gross margin of 34.7%. While the company booked a GAAP net loss of $106.1 million, it achieved a positive EBITDA of $25.9 million.

The solid second-quarter results underscored growing demand for Microvast’s advanced battery solutions, as well as a focus on profitability and operational efficiency. The company has already completed the installation and commissioning of production equipment for the Huzhou Phase 3.2 expansion, which is expected to increase capacity and meet strong customer demand.

For the full year, the company expects revenue growth of between 18% and 25% with revenue guidance of between $450 million and $475 million.

Microvast Holdings Inc. (NASDAQ:MVST) is a technology company that designs, develops, and manufactures lithium-ion battery systems and components, primarily for electric vehicles and energy storage systems. It controls the entire process, from battery cell development to manufacturing, including components such as cathode, anode, electrolyte, and separator.

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