In this article, we will look at the 13 Small Cap Stocks Analysts Are Bullish On.
On June 23, Jason Thomas, Carlyle’s head of global research and investment strategy, appeared on CNBC’s ‘Squawk Box’ to talk about the state of the market and economy in light of the recent financial and geopolitical trends. He said that there is a lot to navigate right now, including geopolitical conflict, tariffs, taxes, and more. It is important to consider how all these uncertainties interact. It is, therefore, not surprising to him that there is not much conviction to sell in the market.
READ ALSO: 13 Best Long-Term Penny Stocks to Buy According to Analysts and 13 Crypto Stocks with the Highest Upside Potential.
Thomas opined that in the event things deteriorate in the geopolitical sense, there is an expectation that tariffs and other issues will ease. He further said that the biggest concern for him is not the stock market, but rather that bonds no longer hedge stock market risk. They had previously done so for a long time, but that was a time when the Fed or central banks did not have to worry about inflation, which is not the case now.
With these trends in view, let’s look at the 13 small cap stocks analysts are bullish on.
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Our Methodology
We used the Finviz stock screener to compile a list of small cap stocks that analysts were bullish on and chose the top 13 with the highest upside potential. We also added the number of hedge fund holders for each stock as of Q1 2025, sourcing the hedge fund data from Insider Monkey’s database. The list is arranged in ascending order of analyst upside.
Note: All data was sourced on June 20.
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).
13 Small Cap Stocks Analysts Are Bullish On
13. Diebold Nixdorf Inc (NYSE:DBD)
Market Cap: $1.93 billion
Analyst Upside: 48.71%
Number of Hedge Fund Holders: 17
Diebold Nixdorf Inc (NYSE:DBD) is one of the 13 Small Cap Stocks Analysts Are Bullish On. On May 8, D.A. Davidson analyst Matt Summerville reiterated a Buy rating on Diebold Nixdorf Inc (NYSE:DBD) and set a price target of $80.00. The rating update came after the company announced its fiscal Q1 2025 results on May 7, reporting strong financial performance in line with expectations.
Diebold Nixdorf Inc (NYSE:DBD) reported a 36% year-over-year growth in order entry, with product backlog rising to ~$900 million. Its revenue for the quarter came up to $841.1 million, in line with expectations. Management expects these positive factors to support a strong second half of fiscal year 2025 for the company.
Diebold Nixdorf Inc (NYSE:DBD) also maintained its previous financial outlook for 2025 due to a solid start to the fiscal year, and this includes the estimated impact of the US tariff policy on the company’s operations.
Diebold Nixdorf Inc (NYSE:DBD) provides integrated software-led services, security systems, and self-service delivery to retail, financial, government, and commercial markets. Its financial self-services include value-added services, self-service support and maintenance, self-service products, self-service software, and security solutions, including electronic and physical security.
12. Solaris Energy Infrastructure, Inc. (NYSE:SEI)
Market Cap: $1.95 billion
Analyst Upside: 49.31%
Number of Hedge Fund Holders: 31
Solaris Energy Infrastructure, Inc. (NYSE:SEI) is one of the 13 Small Cap Stocks Analysts Are Bullish On. On June 12, Raymond James initiated coverage of Solaris Energy Infrastructure, Inc. (NYSE:SEI) with an Outperform rating and a $39 price target. The firm stated that Solaris Energy Infrastructure, Inc. (NYSE:SEI) is one of the more misunderstood stocks in the space and that the company’s market opportunity has expanded. This holds especially true as the first mover of the arena.
The firm sees long-term value in the company, supported by its notable speed to market, unique combination of competitive pricing, and bespoke build-outs. It also told investors in a research note that Solaris Energy Infrastructure, Inc. (NYSE:SEI) has the ability to layer on “additional service offerings” around the power concept in time.
Raymond James anticipates Solaris Energy Infrastructure, Inc. (NYSE:SEI) to execute booking out the last 20% to 25% of its fleet, positioning the company to reshape the capital structure and rise as a rated credit.
Solaris Energy Infrastructure, Inc. (NYSE:SEI) manufactures patented mobile proppant management systems that store, unload, and deliver proppant to natural gas and oil well sites. The company’s products include Inventory Management Software and Mobile Proppant and Mobile Chemical Management Systems.
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