5 Best Small Cap Pharma Stocks to Buy Right Now

4. Harrow, Inc. (NASDAQ:HROW)

Number of Hedge Fund Holders: 24  

Market Capitalization: $1.11 billion 

Harrow, Inc. (NASDAQ:HROW) is one of the best pharma stocks.

TheFly reported on May 14 that HROW had its price target reduced by B.Riley to $60 from $65 while a Buy rating was maintained. The update followed first-quarter results that were impacted by weaker pricing for VEVYE and lowered near-term growth expectations. Despite this, the outlook remains supported by improving underlying volume trends and strengthening demand signals across IHEEZO and Triesence. The note also points to upcoming product launches and reimbursement coding catalysts, along with expanding commercial leverage, as factors that could drive stronger second-half performance and support a longer-term path toward higher revenue levels even amid ongoing pricing uncertainty.

On May 11, Harrow, Inc. (NASDAQ:HROW) reported first-quarter 2026 performance with revenue of $44.2 million for the period ended March 31, 2026. Results included a non-recurring revenue adjustment of roughly $8 million linked to updated commercial coverage for VEVYE. The company highlighted record prescription activity for VEVYE despite a decline in the broader branded dry eye market, with demand trends still aligned with expectations for more than $100 million in 2026 revenue.

IHEEZO unit demand rose 18% year over year, driven largely by retina adoption, while TRIESENCE unit demand more than doubled for a sixth consecutive quarter of growth. The company reaffirmed full-year revenue guidance of $350–$365 million and expects second-quarter revenue of $71–$81 million, supported by continued commercial expansion.

Harrow, Inc. (NASDAQ:HROW) is a pharmaceutical company headquartered in Nashville, Tennessee, that specializes in the discovery, development, and commercialization of ophthalmic (eye care) products for the North American market.