10 Best Small-Cap Healthcare Stocks To Buy Now

6. Cogent Biosciences, Inc. (NASDAQ:COGT)

Number of Hedge Fund Holders: 31 

Cogent Biosciences, Inc. (NASDAQ:COGT) is a biotechnology company focused on developing precision therapies for genetically defined diseases. At its core, the company specializes in creating targeted treatments for rare genetic disorders, particularly those affecting the blood and immune systems. Cogent’s primary focus is on developing novel therapies for conditions like systemic mastocytosis and gastrointestinal stromal tumors (GIST).

A significant catalyst for Cogent Biosciences, Inc. (NASDAQ:COGT) is its ongoing clinical trials and the potential success of its therapies. The company is actively involved in several clinical trials, such as the SUMMIT, PEAK, and APEX trials, which focus on different genetically defined diseases. The completion and success of these trials could lead to new drug approvals, significantly boosting the company’s earnings and share price. Additionally, the company recently completed an oversubscribed $225 million private placement, which is expected to fund its operations into 2027. This financial strength allows Cogent Biosciences to continue its research and development efforts without immediate financial constraints.

As of Q2 2024, around 31 hedge fund holders held a stake in the stock with Soleus Capital being the largest stakeholder. The stock holds a Strong Buy rating based on 7 Wall Street Analysts. The average price target is $17.00, with forecasts ranging from $8.00 to $20.00, representing a 58.29% increase from the current price of $10.74.