5 Best Penny Stocks Under $1 According to Hedge Funds

3. Humacyte, Inc. (NASDAQ:HUMA)

Number of Hedge Fund Holders: 15 

Stock Price as of Last Close of May 12: $0.91 

Humacyte, Inc. (NASDAQ:HUMA) is among the best penny stocks under $1 according to hedge funds.

TheFly reported on May 14 that HUMA saw its price target increased to $1.50 from $1.00 in a revised research update, with a Buy rating reiterated on the shares. The updated outlook followed the company’s first-quarter results, after which the model was adjusted. The outlook remains positive due to continued opportunity for Symvess in vascular trauma, along with longer-term growth potential from expansion into additional indications. These include arteriovenous access, coronary artery bypass grafting, and peripheral artery disease, all of which represent larger overall addressable markets compared with the current use case.

On May 13, Humacyte, Inc. (NASDAQ:HUMA) released its first-quarter 2026 financial results and business update for the period ended March 31, 2026. Commercial sales of Symvess totaled $0.5 million, or 29 units, compared with $0.1 million and five units in the prior-year quarter. Collaboration revenue fell sharply to $2,000 from $0.4 million as a prior research phase concluded. Cost of goods sold rose to $2.0 million, driven by inventory write-downs and manufacturing overhead. Research and development expenses increased to $19.5 million due to higher material and production costs, while general and administrative expenses were broadly stable at $7.9 million. Net loss widened to $17.6 million, and cash stood at $48.9 million at quarter-end.

Humacyte, Inc. (NASDAQ:HUMA) is a biotechnology company based in Durham that develops bioengineered human tissues. Its flagship product, Symvess, is an off-the-shelf vascular graft designed for vascular repair without immune rejection.