8 Best Small-Cap Growth Stocks to Buy According to Analysts

4. Mirum Pharmaceuticals, Inc. (NASDAQ:MIRM)

Market Capitalization: $1.88 Billion

Number of Hedge Fund Holders: 29

Analyst Upside Potential: 64.64%

Next on our list of best small-cap growth stocks to buy according to analysts is Mirum Pharmaceuticals, Inc. (NASDAQ:MIRM). It is another biopharmaceutical company that focuses on developing treatments for rare diseases that affect the liver.

They have three main medications including LIVMARLI, Cholbam, and Chenodal. Management is focused on developing new treatments including Volixibat, aimed at adult patients with liver diseases related to bile flow issues.

The second quarter of fiscal 2024 was a successful year for Mirum Pharmaceuticals, Inc. (NASDAQ:MIRM). The company grew its net product sales by 139% year-over-year to reach $77.8 million. The sales growth was on the back of strong performance by all three major products. LIVMARLI sales for the quarter grew by 45%, whereas CHOLBAM and CHENODAL net sales amounted to $30.5 million.

The pipeline development also remains robust as Volixibat showed positive interim results for the VISTAS PSC and VANTAGE PBC studies. Moreover, LIVMARLI was approved in Europe for PFIC patients. The cash position of the company also improved significantly from $286.3 million in the comparable quarter of 2023 to $295.4 million in the second quarter of fiscal 2024. Looking ahead, management is on track to achieve its full-year guidance of $310 to $320 million in net sales.

ClearBridge Small Cap Growth Strategy stated the following regarding Mirum Pharmaceuticals, Inc. (NASDAQ:MIRM) in its fourth quarter 2023 investor letter:

“In the fourth quarter we initiated four new investments: Inari Medical, Blackbaud, Mirum Pharmaceuticals, Inc. (NASDAQ:MIRM) and Installed Building Products. Mirum Pharmaceuticals is a commercial stage pharmaceutical company primarily treating rare liver conditions, often in pediatric patients. With multiple approved marketed products across different indications, the company is already operating near cash[1]flow breakeven. Mirum is pursuing label indication expansions across two of its marketed products that could be materially additive to the growth trajectory, along with two promising Phase 2 candidates designed to treat several adult rare liver diseases.”