In this article, we explore the 8 Cheap Rising Stocks to Buy Now.
Optimism has taken a hold in the US equity markets. The geopolitical shock of the Iran war has ripped through the markets, fuelling concerns of an inflation spike and a potential slowdown in economic growth. The US Federal Reserve decision to leave interest rates unchanged is already signaling that all is not well, as policymakers and economists assess a string of headwinds.
Bank of America strategists have already warned of the heightened risk of stagflation as economic growth stagnates. While stagflation is the last thing that the markets would wish for, the strategists are of the opinion that small-cap stocks could be the ultimate winners. The sentiment echoes the ongoing rotation from large-cap tech stocks that had powered to all-time highs.
Volatility is already rising in the equity markets as investors tweak their portfolios after years of blockbuster gains. With the CBOE Volatility Index rising above 20, it affirms higher market uncertainty and investor fear. Amid the uncertainty, some stocks continue to outperform the broader market.
“High quality stocks and those returning cash to shareholders have historically been the best performing styles amid a rising VIX, and Value has fared better than Growth. And if stagflation risks rise if the oil shock is long-lasting, Quality and Cash Return have similarly been the top-performing styles (along with Momentum),” said Jill Carey Hall, equity and quantitative strategist at Bank of America Securities.
While the S&P 500 is down by about 4% over the past one month, some stocks continue to outperform. With that in mind, let’s take a look at some of the cheap rising stocks to invest in.
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Our Methodology
To come up with our list of cheap rising stocks to invest in, we went through a variety of online publications, ETFs, and stock screeners to narrow stocks with more than 10% returns over the last 30 days. Moreover, these stocks have PE ratios less than 15. We picked out stocks with an average price upside potential of at least 30%. We also detailed the number of hedge funds holding stakes in them in the fourth quarter of 2025. Finally, we ranked the stocks in ascending order based on their return over the past month as of March 24, 2026.
Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research shows 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 498.7% since May 2014, beating its benchmark by 303 percentage points (see more details here).
Cheap Rising Stocks to Buy Now
8. DocuSign, Inc. (NASDAQ:DOCU)
Forward P/E: 10.38
1-Month Performance: 11.78%
Upside Potential: 36.42%
Number of Hedge Fund Holders: 48
DocuSign, Inc. (NASDAQ:DOCU) is one of the cheap rising stocks to buy now. On March 18, UBS lowered its price target on DocuSign Inc. to $54 from $75 while keeping a Neutral rating. The firm noted that investors are watching for a rebound in application software stocks, with DocuSign currently trading at eight times CY26 free cash flow. UBS highlighted that most Q4 and January metrics were in line with expectations, including revenue growth of 8.2% over the past year and a strong gross margin of 79.4%.
Looking ahead, DocuSign’s fiscal 2027 outlook projects constant‑currency revenue growth of about 7%, slightly below its long‑term target of 10% or higher. UBS suggested that this deceleration is unlikely to shift investor sentiment, reinforcing its Neutral stance. The firm emphasized that while profitability remains solid, growth momentum appears constrained compared to earlier ambitions.
DocuSign reported Q4 FY2026 earnings per share of $1.01, beating forecasts of $0.95, with revenue of $837 million surpassing expectations. Piper Sandler lowered its price target on DocuSign Inc. to $52 from $75 while keeping a Neutral rating, noting strong fourth‑quarter results with top‑ and bottom‑line beats and stabilization in the core business.
The firm highlighted steady retention metrics and growing traction in Identity and Access Management, which is expected to reach an 18% revenue mix by fiscal 2027. While annual recurring revenue growth is projected to modestly accelerate, Piper Sandler said the risk‑reward profile remains balanced until DocuSign demonstrates consistent execution and a clear path to sustainable double‑digit growth.
DocuSign, Inc. is an American software company that provides electronic signature solutions worldwide, supported by its AI‑powered Intelligent Agreement Management (IAM) platform that automates and analyzes the agreement lifecycle.
7. Pinterest, Inc. (NYSE:PINS)
Forward P/E: 10.46
1-Month Performance: 11.92%
Upside Potential: 30.25%
Number of Hedge Fund Holders: 66
Pinterest, Inc. (NYSE:PINS) is one of the cheap rising stocks to buy now. On March 4, Rosenblatt reiterated a Neutral rating on Pinterest, Inc. and set a $20 price target. The stance is in response to the company’s affirmation of its commitment to shareholder value through buybacks.
Affiliates of Elliot Investment Management are investing $1 billion in the company. Rosenblatt views the $1 billion investment by Elliott and its affiliates as a move to increase its stake in the company. Pinterest plans to use proceeds from the investment to repurchase its shares via a $1 billion accelerated share repurchase agreement.
The repurchase is to be conducted under a $3.5 billion share repurchase program approved by the board. The stock buyback push comes on the heels of the company delivering record revenue in 2025 on users reaching all-time highs for ten consecutive quarters. In addition, the company boasts more than 80 billion monthly searches on the platform as it continues to deliver strong innovation in visual search powered by AI.
Pinterest, Inc. is a technology company that operates a visual discovery engine where people go to find inspiration, plan projects, and shop. Unlike traditional social media focused on entertainment or news, Pinterest is designed to curate digital bulletin boards of ideas—ranging from home decor and fashion to recipes and travel.
6. Opera Limited (NASDAQ:OPRA)
Forward P/E: 12.09
1-Month Performance: 19.97%
Upside Potential: 83.15%
Number of Hedge Fund Holders: 19
Opera Limited (NASDAQ:OPRA) is one of the cheap, rising stocks to buy now. On March 19, Opera Limited announced it is poised to receive 160 million CELO tokens from the Celo blockchain network. The allocation is subject to approval by Celo’s community governance.
The allocation is poised to deepen the relationship between Celo, as the browser transitions from a distribution partner to a network stakeholder. Since 2021, the two have partnered, resulting in the launch of the MiniPay Stablecoin Wallet on the Celo blockchain. They have already signed a three-year agreement that has seen over 50 million Opera browser users earn rewards and redeem USDC within MiniPay.
“Celo’s infrastructure and mission-aligned ecosystem have been instrumental in our work building and scaling powerful mobile financial technology with MiniPay,” said Jørgen Arnesen, EVP Mobile, Opera. “Through this continued partnership, we’re making a long-term commitment to the Celo ecosystem and to bringing that utility to our global user base.”
The deepening ties come on the heels of an exceptional year of execution and financial overperformance. The company delivered solid financial results driven by growth in both advertising and query revenue, fueled by e-commerce and expanding monetization of user intent. Its advertising revenue was up 25% in 2025 to $114.4 million. The board also approved a $300 million share repurchase program, affirming its commitment to shareholder value.
Opera Limited is a Norwegian technology company that develops web browsers for computers and mobile devices. It also focuses on AI-integrated browsing, gaming-focused browsers (Opera GX), content recommendation via Opera News, and online advertising, including Web3 and e-commerce services.
5. First Advantage Corporation (NASDAQ:FA)
Forward P/E: 8.90
1-Month Performance: 19.14%
Upside Potential: 43.41%
Number of Hedge Fund Holders: 15
First Advantage Corporation (NASDAQ:FA) is one of the cheap rising stocks to buy now. On March 12 at the BofA Securities 2026 Information & Business Services Conference, First Advantage Corporation affirmed its transition from a background screening service to a comprehensive capital risk management solution. Consequently, it’s targeting to become a $2 billion company by 2028.
The transition saw the company achieve 17% top-line growth in the fourth quarter and 12% overall, as revenue hit $1.6 billion. Looking ahead, artificial intelligence is seen as an enabler rather than a disruptor in the industry, as the company maintains a high retention rate of about 97%.
In the fourth quarter, revenue was up 36.8% on a reported basis to $420 million, while full-year revenue rose 2.4% to $1.66 billion. Non-GAAP profit was 13.7% above analysts’ estimates at $0.30. For 2026, First Advantage expects revenue to range between $1.625 billion and $1.7 billion, with adjusted EBITDA between $460 million and $480 million. The company has also approved a $100 million share repurchase, affirming confidence in long-term growth.
First Advantage Corporation (FA) is a global provider of comprehensive background screening, identity verification, and compliance solutions for employers. It offers services such as criminal record checks, drug testing, and employment verification to help businesses hire safely and efficiently, leveraging automated technology for rapid, scalable results across industries.
4. Dave Inc. (NASDAQ:DAVE)
Forward P/E: 14.73
1-Month Performance: 26.71%
Upside Potential: 49.89%
Number of Hedge Fund Holders: 56
Dave Inc. (NASDAQ:DAVE) is one of the cheap rising stocks to buy now. On March 13, William Blair reiterated an Outperform rating on Dave Inc following a meeting with the company’s CFO, Kyle Beilman.
The research firm remains confident in the company’s outlook, as it has differentiated itself through a data-driven, algorithmic, credit-first approach. Its solutions address a total addressable market of 185 million accounts.
Consequently, the research firm expects the company to achieve mid- to high-20% organic growth, driven by existing and new products. The growth would be driven by low double-digit member growth and mid-teens average revenue per user compounding.
Earlier, on March 10 at the Wolfe FinTech Forum, Dave outlined its ambitious plans for 2026. The company is pushing for significant revenue growth and emphasizing its focus on AI-driven innovation and customer engagement.
Last year, revenue was up 60% year over year to $550 million, and the company plans to achieve 25% to 28% revenue growth in 2026 amid heightened focus on AI and new product launches.
Dave Inc. is a U.S.-based financial technology (fintech) company and digital-first neobank that offers banking services, cash advances, and financial management tools to replace traditional overdraft fees.
3. The Baldwin Insurance Group Inc. (NASDAQ:BWIN)
Forward P/E: 10.24
1-Month Performance: 30.60%
Upside Potential: 49.90%
Number of Hedge Fund Holders: 18
The Baldwin Insurance Group Inc. (NASDAQ:BWIN) is one of the cheap rising stocks to buy now. On February 27, Raymond James upgraded The Baldwin Insurance Group Inc. to a strong Buy from Outperform and raised the price target to $30 from $20.
The upgrade came against the backdrop of strong fourth-quarter and full-year 2025 results that showed significant progress in the Baldwin Insurance Group. The company delivered its sixth consecutive year of top industry organic growth, expanded margins, and robust growth in adjusted diluted earnings per share.
Full-year revenue was up 8% year over year to $1.5 billion, driven by a 7% growth in organic revenue. Adjusted EBITDA grew 9% to $341.5 million as adjusted EPS grew 11% to $1.67. The company posted adjusted earnings per share of $0.31 in the fourth quarter, better than the $0.28 a share that Raymond James expected. Revenue in the quarter grew 5%, driven by 3% organic growth.
In addition to the strong fourth quarter and full year results, Baldwin Insurance Group approved the repurchase of up to $250 million in outstanding shares over the next 12 months.
The Baldwin Insurance Group Inc. is an independent advisory firm providing insurance, risk management, employee benefits, and wealth management solutions to clients nationwide. It offers tailored commercial and personal insurance, with specialized expertise across industries such as construction, hospitality, aviation, and healthcare.
2. Stagwell Inc. (NASDAQ:STGW)
Forward P/E: 6.21
1-Month Performance: 38.18%
Upside Potential: 32.40%
Number of Hedge Fund Holders: 16
Stagwell Inc. (NASDAQ:STGW) is one of the cheap rising stocks to buy now. On March 11, Benchmark reiterated a Hold rating on Stagwell Inc., buoyed by the company’s 2025 financial results. The company’s core business strengthened, resulting in a 3.6% increase in net revenue organically.
Earnings per share came in at $0.30, surpassing the consensus estimate of $0.27. Total revenue, on the other hand, came in at $807.44 million, up 2% year over year but below consensus estimates of $814.33 million. In addition, Stagwell embarked on a cost reduction drive. The company implemented cost actions totaling $50 million, as it targeted cost cuts of between $80 million and $100 million.
The solid financial result comes as Stagwell increasingly pivots towards artificial intelligence applications and services. The strategy is already paying off, as depicted by expanding margins and doubled free cash flow. The company is targeting revenue growth of 8% to 12% in 2026, with adjusted EBITDA of $475 million to $525 million. Adjusted earnings per share are expected to be between $0.98 and $1.12 a share.
Stagwell Inc. is a digital-first global marketing and communications network designed to transform marketing through technology, data, and creativity. It operates a portfolio of agencies offering digital transformation, performance media, research, and public relations services to B2B and B2C brands, aiming to drive business growth.
1. Clarivate Plc (NYSE:CLVT)
Forward P/E: 3.36
1-Month Performance: 48.21%
Upside Potential: 38.96%
Number of Hedge Fund Holders: 21
Clarivate Plc (NYSE:CLVT) is one of the cheap rising stocks to buy now. On March 10, at the Wolfe FinTech Forum, Chief Financial Officer Jonathan Collins reiterated that Clarivate Plc is experiencing growth in recurring revenue as it also integrates artificial intelligence.
The company’s Annual Contract Value was up by 2% in 2025, an improvement from 1% growth in 2024. In return, the company is eyeing 2% to 3% growth in 2026. While organic recurring revenue rose 0.5% in 2025, Clarivate expects 1% to 2% growth in 2026. Adjusted EBITDA surpassed the $1 billion mark in 2025, with a projected 200 basis-point margin expansion this year.
The projected growth aligns with heightened AI integration as the company continues to enhance its product offering and customer engagement. Clarivate is also enhancing its focus on subscription-based models as it eyes leadership changes to boost performance. The company is also focusing on partner renewals and AI-driven innovation.
Clarivate Plc is a global information services company that accelerates the innovation lifecycle by providing trusted data, analytics, and software to organizations. They focus on academic research, intellectual property (IP) management, and life sciences, helping clients discover, protect, and commercialize new ideas.
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