10 Cheap Growth Stocks to Buy Now

4. SHF Holdings Inc. (NASDAQ:SHFS)

Price to Earnings ratio: 3.29

SHF Holdings Inc. (NASDAQ:SHFS) is a specialized service provider that helps financial institutions offer banking solutions to the cannabis, hemp, and CBD industries. It is among the best cheap growth stocks to buy.

SHF Holdings Inc. (NASDAQ:SHFS) continues to expand its lending portfolio while taking strategic steps to enhance liquidity. On February 12, 2025, the company closed a $1.5 million secured credit facility for a Missouri-based cannabis operator. This marks the second tranche of a $5 million loan package aimed at refinancing high-interest debt across four dispensaries. Additionally, on February 3, 2025, the company announced a temporary pause in principal payments for February and March on its Senior Secured Promissory Note with PCCU, freeing up approximately $510,000 in liquidity as discussions on potential modifications continue.

SHF Holdings Inc. (NASDAQ:SHFS) delivered a 147% increase in net income, reporting $354,000 in Q3 2024 compared to a $748,000 net loss in the same period last year. Loan interest income surged 48% year-over-year to $1.3 million, reflecting the company’s expanding lending operations. Despite a 19.6% decline in revenue to $3.5 million, SHF Holdings Inc. improved cost efficiency, reducing operating expenses by 13% to $3.3 million.