5 Most Promising Small-Cap Stocks According to Analysts

In this article, we will look at the 5 most promising small-cap stocks to buy according to analysts. If you want to explore similar stocks, you can go to 12 Most Promising Small-cap Stocks According to Analysts.

5. Vista Outdoor Inc. (NYSE:VSTO)

Number of Hedge Fund Holders: 22

Average Upside Potential as of February 10: 43.72%

Vista Outdoor Inc. (NYSE:VSTO) is a leading global manufacturer of recreational and outdoor consumer products. The company operates through two segments: Sporting Products and Outdoor Products. Vista Outdoor Inc. (NYSE:VSTO) is trading at an attractive valuation and has the potential to gain 43.72%, on average, according to analysts’ price targets. As of February 10, the stock is trading at a PE multiple of 3x and is one of the most promising small-cap stocks to buy according to analysts.

On February 3, B. Riley analyst Eric Wold revised his price target on Vista Outdoor Inc. (NYSE:VSTO) to $41 from $45 and reiterated a Buy rating on the shares. Over the past 3 months, the stock has received 2 Buy ratings from Wall Street analysts. The stock has a high price target of $41 and an average price target of $38.

At the end of Q3 2022, 22 hedge funds were long Vista Outdoor Inc. (NYSE:VSTO) and disclosed positions worth $239.5 million in the company. As of December 31, PEAK6 Capital Management is the top investor in the company and owns over 1,900 shares of the stock.

4. Earthstone Energy, Inc. (NYSE:ESTE)

Number of Hedge Fund Holders: 21

Average Upside Potential as of February 10: 45.77%

Earthstone Energy, Inc. (NYSE:ESTE) is a small-cap oil and gas company that is involved in the acquisition, exploration, development, and production of oil and natural gas properties in the United States. On January 9, Mizuho analyst Nitin Kumar took coverage of Earthstone Energy, Inc. (NYSE:ESTE) with a Neutral rating and a $19 price target.

Over the past 3 months, Earthstone Energy, Inc. (NYSE:ESTE) has received 2 Hold ratings from Wall Street analysts. The stock has a high forecast of $21 and an average forecast of $20. The stock’s average price target represents an upside of 45.77% from current levels. Earthstone Energy, Inc. (NYSE:ESTE) is placed among the most promising small-cap stocks to buy according to analysts.

At the close of Q3 2022, 21 hedge funds held stakes in Earthstone Energy, Inc. (NYSE:ESTE). The total value of these stakes amounted to $59.3 million. As of December 31, First Eagle Investment Management is the largest investor in the company and has a position worth $3.28 million.

3. Sandstorm Gold Ltd. (NYSE:SAND)

Number of Hedge Fund Holders: 15

Average Upside Potential as of February 10: 49.62%

Sandstorm Gold Ltd. (NYSE:SAND) is a North American gold royalty company, involved in acquiring royalties and gold and other metals purchase agreements from mining companies. At the end of Q3 2022, 15 hedge funds were eager on Sandstorm Gold Ltd. (NYSE:SAND) and disclosed positions worth $120.5 million in the company.

This February, CIBC analyst Cosmos Chiu updated his price target on Sandstorm Gold Ltd. (NYSE:SAND) to C$10.50 from C$12.50 and maintained an Outperform rating on the shares.

Over the past 3 months, Sandstorm Gold Ltd. (NYSE:SAND) has received 5 Buy ratings and 1 Hold rating from Wall Street analysts. The stock has a consensus Strong Buy rating among analysts and is one of the most promising small-cap stocks to buy. The stock has an average price target of $7.93 which represents an upside of 49.62% from current levels.

As of December 31, Horizon Asset Management is the top investor in the company and has a position worth $33.49 million.

2. Gogo Inc. (NASDAQ:GOGO)

Number of Hedge Fund Holders: 17

Average Upside Potential as of February 10: 58.43%

Gogo Inc. (NASDAQ:GOGO) offers aviation broadband connectivity solutions worldwide, with separate divisions for North America, International markets, and Business Aviation. The company specializes in air-to-ground networks, in-flight systems, and customizable connectivity and wireless entertainment services. Gogo Inc. (NASDAQ:GOGO) is one of the most promising small-cap stocks to buy according to analysts and has gained 22.42% over the past 12 months, as of February 10.

Over the past 3 months, Gogo Inc. (NASDAQ:GOGO) has received 3 Buy ratings from Wall Street analysts and has a consensus Strong Buy rating. The stock has an average price target of $25 which represents a potential upside of 58.43% from current levels.

At the close of Q3 2022, 17 hedge funds disclosed positions in Gogo Inc. (NASDAQ:GOGO) worth $131.8 million. As of December 31, Yarra Square Partners is the top shareholder in the company and has a position worth $7.08 million.

1. Dynavax Technologies Corporation (NASDAQ:DVAX)

Number of Hedge Fund Holders: 22

Average Upside Potential as of February 10: 126.24%

Dynavax Technologies Corporation (NASDAQ:DVAX) is an American commercial-stage biotechnology company involved in the development and commercialization of novel vaccines in the United States. On January 31, Dynavax Technologies Corporation (NASDAQ:DVAX) announced that the company has been approved for uplisting to the Nasdaq Global Select Market.

On January 9, Dynavax Technologies Corporation (NASDAQ:DVAX) announced that the company’s preliminary HEPLISAV-B revenue for fiscal 2022 amounted to $126 million, up 104% year over year. Moreover, the company also announced that as of December 31, 2022, Dynavax Technologies Corporation (NASDAQ:DVAX) holds roughly $624 million in cash and cash equivalents, and marketable securities.

Dynavax Technologies Corporation (NASDAQ:DVAX) is one of analysts’ most promising small-cap stocks to buy now. The stock has a consensus Buy rating among analysts and an average price target of $25, which represents an upside of 126.24% from current levels.

At the end of Q3 2022, 22 hedge funds were long Dynavax Technologies Corporation (NASDAQ:DVAX) and disclosed positions worth $189.3 million in the company. As of December 31, Fisher Asset Management is the top stockholder in the company and owns over 4 million shares.

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