5 Best Small-Cap Growth Stocks to Invest In

In this piece, we will take a look at the five best small-cap growth stocks to invest in. If you want to take a deeper dive into some of the determinants of small cap stock performance, then read 11 Best Small-Cap Growth Stocks to Invest In.

5. LPL Financial Holdings Inc. (NASDAQ:LPLA)

Number of Hedge Fund Investors As Of Q4 2023 end: 41

LPL Financial Holdings Inc. (NASDAQ:LPLA) is a financial services company that offers its customers mutual funds, savings plans, and other associated products. The firm has been doing well on the financial front as of late since it has beaten analyst EPS estimates in all four of its latest quarters. The shares are rated Buy on average and the average analyst share price target is $271.33.

As of Q4 2023 end, 41 out of the 933 hedge funds tracked by Insider Monkey had bought a stake in LPL Financial Holdings Inc. (NASDAQ:LPLA). Stephen Mandell’s Lone Pine Capital was the largest shareholder through its $437 million investment.

4. ON Semiconductor Corporation (NASDAQ:ON)

Number of Hedge Fund Investors As Of Q4 2023 end: 45

ON Semiconductor Corporation (NASDAQ:ON) is an American semiconductor firm headquartered in Scottsdale, Arizona. After its fourth quarter earnings met analysts, the firm’s shares soared by 8% as it shared that certain business divisions could soon double their revenue.

Insider Monkey scoured through 933 hedge fund portfolios to find 45 ON Semiconductor Corporation (NASDAQ:ON) shareholders during Dectember 2023. D. E. Shaw’s D E Shaw was the largest shareholder out of these as it had invested $2248 million in the company.

3. Sarepta Therapeutics, Inc. (NASDAQ:SRPT)

Number of Hedge Fund Investors As Of Q3 2023 end: 46

Sarepta Therapeutics, Inc. (NASDAQ:SRPT) marks the return of biotechnology on our list of the best small cap stocks. It develops several therapies that target genes responsible for muscular dystrophy. The firm was out with some great news for investors in January 2024, when it shared that its treatment for infant dystrophy significantly outperformed a rival drug.

During last year’s fourth quarter, 46 out of the 933 hedge funds surveyed by Insider Monkey had held a stake in the firm. The biggest Sarepta Therapeutics, Inc. (NASDAQ:SRPT) shareholder among these is Kurt Von Emster’s VenBio Select Advisor as it owns $418 million worth of shares.

2. Flex Ltd. (NASDAQ:FLEX)

Number of Hedge Fund Investors As Of Q4 2023 end: 54

Flex Ltd. (NASDAQ:FLEX) is a Singaporean company that allows companies to manage and operate their supply chains. The firm reported a strong set of earnings report for its Q3 2024 in February 2024 which saw it grow operating income despite an annual revenue drop.

54 out of the 933 hedge funds profiled by Insider Monkey during Q4 2023 had bought and owned Flex Ltd. (NASDAQ:FLEX)’s shares. Andrew Wellington and Jeff Keswin’s Lyrical Asset Management was the firm’s largest stakeholder courtesy of its $209 million investment.

1. Neurocrine Biosciences, Inc. (NASDAQ:NBIX)

Number of Hedge Fund Investors As Of Q4 2023 end: 55

Neurocrine Biosciences, Inc. (NASDAQ:NBIX) is yet another healthcare company. It develops treatments for ailments such as Parkinson’s disease and adrenal system disorders. The shares are rated Strong Buy on average, and the average analyst share price target is $148.54.

For their December quarter of 2023 shareholdings, 55 out of the 933 hedge funds covered by Insider Monkey had invested in the company. Neurocrine Biosciences, Inc. (NASDAQ:NBIX)’s biggest investor among these is Jim Simons’s Renaissance Technologies due to its $262 million stake.

Disclosure: None. You can also take a look at 13 Best Consumer Staples Dividend Stocks To Buy Now and 15 Best Long Term Care Insurance Companies Heading into 2024.

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