Top 10 Small Cap Stocks to Buy with the Highest Upside Potential

4. Soleno Therapeutics, Inc. (NASDAQ:SLNO)

Analyst Upside: 60.33%

Market Cap: $1.96 billion 

Number of Hedge Fund Holders: 34

Soleno Therapeutics, Inc. (NASDAQ:SLNO) is a clinical-stage biopharmaceutical company that develops and commercializes novel therapeutics to treat rare diseases. The company focuses on the treatment of neurobehavioral and metabolic disorders. Its lead candidate, Diazoxide Choline Controlled-Release (DCCR), is an oral tablet that treats Prader-Willi Syndrome (PWS).

The company attained a significant milestone in fiscal Q3 2024 with the FDA’s acceptance of its NDA seeking approval of DCCR (Diazoxide Choline) for treating PWS. Soleno Therapeutics, Inc. (NASDAQ:SLNO) is looking toward the potential approval of DCCR, and its commercial team is preparing for the planned US market launch post-approval.

The company has a strong balance sheet to support a successful launch execution and drug delivery after approval. Soleno Therapeutics, Inc.’s (NASDAQ:SLNO) current research and development efforts primarily focus on advancing its lead product candidate, DCCR, through late-stage clinical development. Analysts expect the company to break even in the coming future, reporting profits and growing exponentially. It ranks fourth on our list of the top 10 small cap stocks to buy with the highest upside potential.