secunet Security Networks Aktiengesellschaft

Mobilicom Limited

Allot Ltd.

In 2025, cybersecurity remains one of the most dynamic areas of high tech. Insight Partners <a href="https://www.theinsightpartners.com/reports/cyber-security-market#:~:text=The%2520Cybersecurity%2520Market%2520size%2520is%2520projected%2520to%2520reach%2520US%2524%2520228.33%2520billion%2520in%25202024%2520and%2520is%2520projected%2520to%2520reach%2520US%2524%2520552.35%2520billion%2520by%25202031%253B%2520it%2520is%2520expected%2520to%2520register%2520a%2520CAGR%2520of%252013.8%2525%2520during%25202025%25E2%2580%25932031.">estimates</a>&nbsp;that the market for data and network security solutions will almost double between 2024 and 2031 to reach $552.4 billion. Growth in the sector is being driven by increasing cyberattacks, more stringent data-processing requirements, the shift to cloud services, and the rapid adoption of AI.

With cyberattacks and AI crime on the rise, these small caps are poised to benefit

Energy Vault Holdings, Inc.

Microvast Holdings, Inc.

Eos Energy Enterprises, Inc.

The global clean energy sector is significantly outperforming the broader market in 2025, with the S&amp;P Global Clean Energy Transition Index <a href="https://www.hanwha.com/newsroom/news/feature-stories/iea-world-energy-investment-report-2025-where-is-global-capital-flowing.do#:~:text=Clean%2520energy%2520continues%2520to%2520dominate%252C%2520attracting%2520%25242.2%2520trillion%2520in%2520global%2520investment%2520%25E2%2580%2594%2520more%2520than%2520double%2520that%2520of%2520fossil%2520fuels.">up about 39% year to date</a> as of October 1. For comparison, the MSCI World has gained about 16% over the same period.

Betting on green energy: The small caps emerging as the biggest winners

Amprius Technologies, Inc.

Ballard Power Systems Inc.

Resolute Holdings Management, Inc.

While tech giants remain at the center of market attention, another trend – the rapid rise of small-capitalization industrial stocks – has largely gone unnoticed. Take the Equal Weight Industrial Small Caps Index, compiled for <i>Oninvest </i>by analyst Aldiyar Anuarbekov: it has gained 19.6% year to date.

While tech steals the spotlight, small cap industrials outperforming in 2025

Caledonia Mining Corporation Plc

International Tower Hill Mines Ltd.

Pantoro Gold Limited

In 2025, the gold market has staged a remarkable rally. Year to date, the precious metal has gained nearly 57%, repeatedly setting new records and reaching around $4,380 per ounce. The surge was driven by geopolitical uncertainty, expectations of Fed easing, and record central-bank gold purchases. Investor interest has also spiked as gold is once again looked to as a preferred safe haven amid global economic turbulence.

Which small-caps are benefiting from gold's rise

Absci Corporation

Applied Digital Corporation

Innodata Inc.

Relay Therapeutics, Inc.

For small-cap stocks, late summer was a turning point. At Jackson Hole, Fed Chair Jerome Powell signaled that the tight monetary policy was nearing an end. For small caps, whose profitability is especially sensitive to borrowing costs, that implied a reset in expectations. Tech added fuel: a pickup in new contracts to build AI data centers and strong demand for products from leaders such as Nvidia, Oracle, and TSMC reinforced the idea that even smaller tech names can ride the ongoing AI boom.

A rising tide lifts all boats: How tech small caps gained from the AI boom in 3Q25

NANO Nuclear Energy Inc.

Silex Systems Limited

Lightbridge Corporation

Many countries are rethinking past limits on nuclear power, given its role in meeting climate targets and bolstering energy security. In the U.S., a series of <a href="https://www.whitehouse.gov/presidential-actions/2025/05/ordering-the-reform-of-the-nuclear-regulatory-commission/#:~:text=(c)%25C2%25A0%2520Facilitate%2520the%2520expansion%2520of%2520American%2520nuclear%2520energy%2520capacity%2520from%2520approximately%2520100%2520GW%2520in%25202024%2520to%2520400%2520GW%2520by%25202050%253B">executive actions</a> in May 2025 set an explicit goal to quadruple nuclear capacity to 400 gigawatts by 2050. They direct federal agencies to strip out unnecessary red tape, accelerate licensing, and spur construction of new reactors and uranium-enrichment facilities. Washington’s aim is to revive the domestic fuel cycle and curb import reliance – note the U.S. still <a href="https://www.eia.gov/uranium/marketing/pdf/2024%20UMAR.pdf">buys</a>&nbsp;roughly 20% of its enriched uranium from Russia.

Which small caps are benefitting from surging demand for nuclear power?

Archer Materials Limited

Arqit Quantum Inc.

BTQ Technologies Corp.

Modern computing is approaching the physical limits of semiconductor chips. Investors are shifting their attention to quantum technologies, which promise performance leaps beyond what classical systems can achieve. What was once a scientific abstraction is becoming a commercial market where the world’s largest tech companies and venture capital firms are competing.

As quantum computing goes mainstream, which small caps are set to benefit most?

Investors continued to favor European and Asian small-cap stocks in the third quarter. International ETFs, which had been leading since the start of the year, maintained their advantage, while U.S. small-cap funds – previously lagging – regained momentum.

Ex-U.S. small-cap ETFs continue to outperform U.S. peers in 3Q, but comeback in sight

LightPath Technologies, Inc.

SuperX AI Technology Limited

Wolfspeed, Inc.

Tech small caps were once again in the spotlight for investors as their stocks rose against the backdrop of the Fed easing. The Russell 2000 index has gained 40.6% over the last six months and is now trading near record highs. At the same time, the rally has made small-cap valuations less attractive, prompting investors to question whether these stocks have become too rich.

Aldiyar Anuarbekov

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