5 Best Small Cap Tech Stocks to Buy According to Hedge Funds 

3. Harmonic Inc. (NASDAQ:HLIT)

Number of Hedge Fund Holders: 38

Harmonic Inc. (NASDAQ:HLIT) is one of the best small cap tech stocks to buy according to hedge funds. Harmonic Inc. (NASDAQ:HLIT) received several rating updates following the release of its financial results for fiscal Q1. On May 12, Needham lifted the price target on the stock to $18 from $17, maintaining a Buy rating on the shares and telling investors in a research note that the company delivered very strong Q1 results. Its Broadband segment beat consensus revenue and EPS estimates by 20% and 5c, respectively, while also delivering a fourth consecutive quarter of sequential growth. The firm further stated that the Rest of Market – non-Comcast/Charter – was also a highlight, with 78% year-over-year growth, as it suggested the much-desired customer diversification.

Harmonic Inc. (NASDAQ:HLIT) also received a rating update from Northland the same day. The firm lifted the price target on the stock to $15 from $14 and maintained an Outperform rating on the shares after what it called “much better” than expected Q1 results.

Harmonic Inc. (NASDAQ:HLIT) is involved in the development and sale of video delivery software, system solutions, products, and services. Its operations are divided into the Video and Broadband segments.

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