Goldman Sachs <a href="https://www.cnbc.com/2025/01/28/buy-this-biotech-stock-that-can-rally-more-than-65percent-goldman-says.html?utm_source=in_materials">values</a> the small-cap biotech company Vera Therapeutics at $58.00 per share, more than 60% above the current market price, as Vera’s drug candidate for autoimmune kidney diseases has shown promising results in clinical trials and is likely to hit the market next year.

Goldman Sachs sees over 60% upside in small-cap biotech Vera Therapeutics

Insider Monkey <a href="https://www.insidermonkey.com/blog/achieve-life-sciences-inc-achv-a-bull-case-theory-1431549/?utm_source=in_materials">believes</a> that now might be the best time to buy shares of smoking cessation therapy maker Achieve Life Sciences, as the stock is trading near one-year lows. That is despite the fact that the company has recently completed clinical trials for its nicotine addiction treatment and may now file for regulatory approval. It could be on its way to capturing a significant share of a $1 billion market.

Insider Monkey makes bull case for Achieve Life Sciences, maker of smoking cessation therapy 

Noble Capital Markets has <a href="https://www.channelchek.com/news-channel/positive-market-sentiment-brings-opportunity-to-small-and-micro-cap-investors?utm_source=in_materials">identified</a> three key factors that should buoy small-cap stocks moving forward. While the broader market reacts to macroeconomic developments like tariffs and trade policy, the small- and micro-cap space stands apart as a unique opportunity for investors, in the investment bank’s view. Recently, the Russell 2000 index, which tracks small- and mid-cap stocks, has given up more than 5% since peaking on November 25, while the S&amp;P 500 reached new highs in January.

Noble Capital Markets says positive market sentiment 'brings opportunity to small-cap investors'

In 2025, makers of drugs for Alzheimer’s disease are poised to see more interest from investors, Bloomberg reports. The number of Alzheimer’s cases is growing worldwide, and more than 160 clinical trials for Alzheimer’s treatments are currently underway. What are the most promising small caps in this niche?

Five promising small-cap pharmaceutical companies taking on Alzheimer’s

Ensysce Biosciences has upside of more than 250%, based on the $29.50 per share <a href="https://s27.q4cdn.com/906368049/files/News/2025/Zacks_SCR_Research_01222025_ENSC_Sorensen.pdf?utm_source=in_materials">valuation</a> of Zacks Small-Cap Research (Zacks SCR). The company is developing treatments for severe pain relief that have the power of opioids but do not carry the risk of abuse. Its products could help to put an end to the opioid crisis in the U.S., Zacks SCR explains. 

Zacks SCR sees over 250% upside in pain therapy maker Ensysce Biosciences

The investment bank Goldman Sachs has <a href="https://www.cnbc.com/2025/01/17/this-little-known-biotech-stock-is-a-buy-thats-primed-to-double-in-price-goldman-says.html?utm_source=in_materials">raised</a> its target price for the smaller biotech company MoonLake Immunotherapeutics by 32% to $82 per share, double the <a href="https://www.marketwatch.com/investing/stock/mltx/analystestimates?mod=mw_quote_tab&amp;utm_source=in_materials">closing price</a> on Friday, January 17. Promising results from studies of MoonLake’s drug for skin inflammation led Goldman Sachs to believe that it could become a benchmark therapy.

Goldman Sachs raises target price for dermatological drug maker MoonLake by 32%

Managers of the Royce Small-Cap Total Return Fund have <a href="https://www.royceinvest.com/insights/2025/1Q25/royce-small-cap-total-return-4q24-update-and-outlook?utm_source=in_materials">revealed</a> which holdings added the most to and subtracted the most from the portfolio’s performance in the 2024 fourth quarter and full year. Royce Investment Partners, founded by <a href="https://kz.kursiv.media/2024-08-15/mrdr-royce/?utm_source=in_materials">Wall Street legend</a><strong> Chuck Royce</strong>, generally focuses on small-cap investments, while the Royce Small-Cap Total Return Fund <a href="https://www.royceinvest.com/funds/royce-small-cap-total-return-fund/rytrx?utm_source=in_materials">invests</a> in small caps that pay dividends.

Royce Small-Cap Total Return Fund reveals biggest contributing and detracting holdings

Zacks Small-Cap Research (Zacks SCR) has <a href="https://scr.zacks.com/news/news-details/2025/PERF-Perfect-Corp-Closes-Acquisition-of-Wannaby/default.aspx?utm_source=in_materials">raised</a> its target price for Perfect Corp., a smaller company that develops AI solutions for the beauty and fashion industries, by almost 15% as it believes the company's recent <a href="https://www.perfectcorp.com/business/news/wannaby-acquisition-perfect-corp?utm_source=in_materials">acquisition</a> of a competitor significantly expands its capabilities. The acquired company is Wannaby, a virtual try-on platform previously owned by luxury online retailer Farfetch. Wannaby's clients include such names as Lululemon, Dolce &amp; Gabbana, and Diesel.

AI beauty solutions developer Perfect Corp. sees target price upgraded after acquisition of competitor

The Motley Fool has <a href="https://www.fool.com/investing/2025/01/05/got-8000-3-top-growth-stocks-to-buy-that-could-dou/?utm_source=in_materials">highlighted</a> three stocks that investors should keep an eye on: two large caps and one small cap. It believes that all three have the potential to double investors’ money over the next decade but might appeal more to those willing to take on higher risk.

The Motley Fool highlights three stocks that could double returns for investors

Freedom Broker has highlighted three small-cap companies worth investors' attention. While operating across different industries, these companies share one common trait: their stock has a projected growth potential of at least 20% in 2025.

Freedom Broker highlights three small-cap companies with high growth potential in 2025

The S&amp;P 600 index, which tracks small- and mid-cap companies, is expected to rise nearly 25% in 2025, outperforming the S&amp;P 500, which represents the largest issuers, according to Freedom Broker. Analysts attribute this to increased appetite for riskier assets, including small-cap stocks, under <strong>Donald Trump</strong>’s presidency.

Small-cap index to surge nearly 25% in 2025 — Freedom Broker

has <a href="https://www.bloomberg.com/features/companies-to-watch-2025/?srnd=homepage-americas&amp;sref=Y0jVLcFo&amp;utm_source=in_materials">identified</a> ten small- and mid-cap companies to watch carefully in 2025. These companies are poised for potential transformation, driven by catalysts such as leadership changes, asset sales or acquisitions, and plans for new products or services. The list also considers the potential impact of the incoming U.S. administration's policies, ongoing geopolitical conflicts, and technological advancements. Here are the small-cap stocks analysts recommend keeping an eye on:

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