Freedom Named Four Small-Cap Companies With Growth Potential of Up to 40%

Analysts at Freedom Broker believe investors should take a closer look at the stocks of four small-cap companies. These companies operate in various industries, ranging from fertilizers to the aerospace sector, and their stocks have growth potential ranging from 15% to 40%.

Shares of TAT Technologies, a supplier of solutions for the aerospace industry, are attractive due to sustained demand for the company’s products, a record order backlog, and the recovery of supply chains, according to Freedom. At the end of the second quarter, the company’s order backlog grew by 6% compared to January–March, reaching $615 million. This allows TAT Technologies to forecast revenue for many years to come, Freedom noted. Among the risks, Freedom cites supply constraints for certain components, increased working capital requirements, and currency fluctuations.

The company's analysts set a target price of $54 for TAT Technologies shares, which is 40% higher than their closing price on August 19.

Freedom believes that Sarepta’s stock is attractive due to its portfolio of already commercialized drugs, as well as the potential for a recovery in demand for its gene therapy, Elevidys. This therapy is intended to treat Duchenne muscular dystrophy, which leads to muscle weakness and eventually death. In the summer of 2025, following the deaths of two patients receiving Elevidys, the company suspended shipments of the drug to the U.S., and in November of that year, the U.S. Food and Drug Administration (FDA) revoked its approval for use in non-ambulatory patients. However, 80% of ambulatory people with Duchenne muscular dystrophy still do not receive treatment, which will help restore sales of Elevidys in the second half of 2026, investment bank Jeffries wrote in March.

Freedom believes that Sarepta’s core drug portfolio will ensure the company’s financial stability over the next two years, after which its prospects will strengthen thanks to new gene therapy approaches the company is currently developing. Its analysts have set a price target of $25 for the company’s stock, which is 27% above the latest closing price.

Intrepid Potash is the only producer of potash fertilizers in the U.S. Limited supply coupled with high demand is precisely what makes its stock attractive, according to Freedom. In addition, following the April sale of a non-core asset for $70 million, the company has a significant amount of cash on hand and minimal debt, which allows it to expand production without taking on large loans, analysts note.

They attribute the main risks to the cyclical nature of potash fertilizer prices and foreign trade policy.

Freedom has set a target price of $45 for the company's shares, which is nearly 22% higher than their closing price on August 19.

The appeal of the real estate investment fund (REIT) Piedmont Realty Trust, which specializes in investments in Class A office properties, is driven by its extensive portfolio, rising rental rates, and limited supply of high-quality real estate, according to Freedom. The company’s short-term financial risks are low—it has no major debt maturities until 2028, analysts add.

They note that Piedmont Realty Trust's stock price has risen significantly recently (+15% year-to-date), which limits its further upside potential. Freedom has set a price target of $11 for the company's stock, which is 15% higher than its price on August 19.