5 Cheap Small-Cap Stocks to Buy Before the Next Breakout

In this piece, we will take a look at five cheap small cap stocks to buy before the next breakout. If you want to take a deeper look at recent news about the small cap stocks then check out 11 Cheap Small-Cap Stocks to Buy Before the Next Breakout.

5. Inhibikase Therapeutics, Inc. (NASDAQ:IKT)

Number of Hedge Fund Investors In Q2 2023: 20

Latest Share Price: $1.97

Inhibikase Therapeutics, Inc. (NASDAQ:IKT) is a small biotechnology company developing treatments for Parkinson’s disease and other disorders. Its average share price target is $27, and the firm announced an improved version of its Parkinson’s treatment in August.

During Q2 2023, 20 out of the 910 hedge funds part of Insider Monkey’s database had invested in Inhibikase Therapeutics, Inc. (NASDAQ:IKT). Out of these, the firm’s largest shareholder is Steven Boyd’s Armistice Capital since it owns 496,547 shares that are worth $1.7 million.

4. Avidity Biosciences, Inc. (NASDAQ:RNA)

Number of Hedge Fund Investors In Q2 2023: 20

Latest Share Price: $7.97

Avidity Biosciences, Inc. (NASDAQ:RNA) makes treatments for different kinds of muscular dystrophies. Analysts have rated the Strong Buy on average, with the latest coverage coming from Credit Suisse which kept an Overweight rating for the stock in August 2023.

As of June 2023, 20 hedge funds among the 910 polled by Insider Monkey were the firm’s investors. Avidity Biosciences, Inc. (NASDAQ:RNA)’s biggest hedge fund stakeholder is Peter Kolchinsky’s RA Capital Management due to its $71 million investment.

3. AbCellera Biologics Inc. (NASDAQ:ABCL)

Number of Hedge Fund Investors In Q2 2023: 25

Latest Share Price: $7.97

AbCellera Biologics Inc. (NASDAQ:ABCL) is a rather unique biotechnology firm that seeks to develop antibodies that are produced by immune systems. The firm reported a hefty $36 million annual revenue drop in its second quarter and its net loss also significantly widened to $30.5 million.

After digging through 910 hedge funds for their second quarter of 2023 shareholdings, Insider Monkey discovered that 25 had held a stake in AbCellera Biologics Inc. (NASDAQ:ABCL). Julian Baker and Felix Baker’s Baker Bros. Advisors is the company’s largest shareholder since it owns $106 million worth of shares.

2. uniQure N.V. (NASDAQ:QURE)

Number of Hedge Fund Investors In Q2 2023: 25

Latest Share Price: $8.93

uniQure N.V. (NASDAQ:QURE) develops treatments for serious diseases such as epilepsy and sclerosis. Its shares are also rated Strong Buy on average and analysts have sent an average share price target of $36.71. However, analysts currently expect the firm to bring in $77 million in revenue for 2023, for a sizeable annual drop

By the end of this year’s June quarter, 25 out of the 910 hedge funds part of Insider Monkey’s research had bought and invested in the firm’s shares. uniQure N.V. (NASDAQ:QURE)’s biggest hedge fund investor is Wilmot B. Harkey and Daniel Mack’s Nantahala Capital Management through its $32.6 million investment.

1. Aclaris Therapeutics, Inc. (NASDAQ:ACRS)

Number of Hedge Fund Investors In Q2 2023: 30

Latest Share Price: $7.55

Aclaris Therapeutics, Inc. (NASDAQ:ACRS) develops drugs and offers research services to other companies. While analysts have continued to cut its revenue estimates following the latest earnings, the average share price target is $29.13 indicating significant long term potential.

30 out of the 910 hedge funds part of Insider Monkey’s Q2 2023 database own a stake in Aclaris Therapeutics, Inc. (NASDAQ:ACRS). Peter Kolchinsky’s RA Capital Management is the company’s largest stakeholder since it owns 4.3 million shares that are worth $45.6 million.

Disclosure: None.  You can also take a look at Billionaire Chris Rokos is Selling These 12 Stocks in 2023 and 12 Stocks That Will Always Grow.

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