Shares of Health In Tech, whose AI-based platform helps create personalized health insurance programs, <a href="https://www.marketwatch.com/investing/stock/hit?utm_source=in_materials">surged</a> to $5.50 per share on their first trading day on the Nasdaq, rising to 37.5% above the <a href="https://healthintech.investorroom.com/2024-12-24-Health-In-Tech-Announces-Closing-of-Initial-Public-Offering?utm_source=in_materials">IPO price</a>.

Insurtech player Health In Tech pops after IPO

CNBC has <a href="https://www.cnbc.com/2024/12/25/cheap-small-cap-stocks-for-your-stocking-heading-into-2025.html?utm_source=in_materials">put forward</a> four small-cap stocks "for the stocking" going into 2025. These companies operate in different sectors but have a couple things in common: their shares have risen over 5% in the last month, yet they remain undervalued compared to their peers and have further upside, according to CNBC.

CNBC picks four small caps primed for growth next year

The head of Ark Invest, Cathie Wood, has recently increased her stake in 10x Genomics, among other small-cap names, <a href="https://www.fool.com/investing/2024/12/24/cathie-wood-goes-bargain-hunting-3-stocks-she-just/?utm_source=in_materials#:~:text=3.-,10x%20%D0%93%D0%B5%D0%BD%D0%BE%D0%BC%D0%B8%D0%BA%D0%B0,%D0%B0%D0%BA%D1%86%D0%B8%D1%8F%D1%85%2C%20%D0%BA%D0%BE%D1%82%D0%BE%D1%80%D1%8B%D0%B5%20%D0%BF%D0%BE%D1%82%D0%B5%D1%80%D1%8F%D0%BB%D0%B8%20%D0%BF%D0%BE%D1%87%D1%82%D0%B8%20%D1%82%D1%80%D0%B8%20%D1%87%D0%B5%D1%82%D0%B2%D0%B5%D1%80%D1%82%D0%B8%20%D1%81%D0%B2%D0%BE%D0%B5%D0%B9%20%D1%81%D1%82%D0%BE%D0%B8%D0%BC%D0%BE%D1%81%D1%82%D0%B8%20%D0%B2%20%D1%8D%D1%82%D0%BE%D0%BC%20%D0%B3%D0%BE%D0%B4%D1%83.,-%D0%93%D0%BB%D0%B0%D0%B2%D0%BD%D1%8B%D0%BC%20%D0%BF%D0%BE%D0%B1%D0%B5%D0%B4%D0%B8%D1%82%D0%B5%D0%BB%D0%B5%D0%BC%20%D0%B2">reports</a> the Motley Fool, which said the company has been "going in the wrong direction." 10x Genomics, with a market capitalization of $1.78 billion, designs and manufactures gene sequencing technology.

Cathie Wood builds up her stake in 'disappointing' 10x Genomics — The Motley Fool

Fund managers at Royce, founded by <a href="https://kz.kursiv.media/2024-08-15/mrdr-royce/?utm_source=in_materials">Wall Street legend</a> Chuck Royce and known for specializing in small- and mid-cap stocks, have <a href="https://www.royceinvest.com/insights/2024/4Q24/whats-in-store-for-small-caps-in-2025?utm_source=in_materials">shared</a> investment ideas for 2025, including consumer durable names and discounters.

Royce reveals top small-cap investment ideas for 2025

Shares of Canada’s Gatekeeper Systems, which offers intelligent video solutions designed to provide a safer transportation environment, <a href="https://finance.yahoo.com/quote/GSI.V/?utm_source=in_materials">plunged</a> nearly 17% on Friday, December 20. While it <a href="https://www.gatekeeper-systems.com/news/gatekeeper-reports-37-8m-revenue-4-2m-operating-profit-36-yoy-growth-in-fy-2024/?utm_source=in_materials">reported</a> record revenue for the 2024 fiscal year, the company also revealed a 34% decline in total comprehensive income.

Smart city video company Gatekeeper Systems plummets after annual earnings

Shares of AtlasClear, a micro-cap company <a href="https://www.atlasclear.com/?utm_source=in_materials">building</a> a platform to offer financial services to smaller and medium-sized businesses, fell almost 10% in after-hours trading on Friday, December 20, following the <a href="https://investors.atlasclear.com/news/news-details/2024/AtlasClear-Holdings-Announces-Intent-to-Effect-Reverse-Stock-Split/default.aspx?utm_source=in_materials">announcement</a> of a 1-for-60 reverse stock split.

Fintech AtlasClear plummets after reverse stock split announced

Wedbush has initiated coverage of the "under-the-radar AI name" Innodata, rating it a "buy" with a target price 40% above the current market price. This gave a boost to Innodata stock, which jumped 16% before dropping almost 5% in premarket trading today, Friday, December 20.

Wedbush expects ‘under-the-radar AI name’ Innodata to surge 40% in 2025

Starting in 2035, the EU and several U.S. states <a href="https://www.nytimes.com/2024/12/13/climate/california-ban-gas-cars-electric-biden-trump.html?utm_source=in_materials">plan to ban</a> sales of new internal combustion engine vehicles — those powered by gasoline or diesel. This plays directly into the hands of Beam Global, a small company creating EV charging infrastructure and serving clients such as Google and the U.S. government. Beam's solutions require no wires or trenching, can be quickly deployed and scaled, and are portable. The company believes these features will make its products the top choice for customers. Analysts <a href="https://www.marketwatch.com/investing/stock/beem/analystestimates?mod=mw_quote_tab&amp;utm_source=in_materials">expect</a> that Beam Global’s stock, with a current market capitalization on the Nasdaq of <a href="https://www.marketwatch.com/investing/stock/beem?utm_source=in_materials">just over</a> $44 million, could grow nearly threefold.

'A kind of Apple looking product': The EV charging company Beam and how it will gain from ban on gas-powered car sales

Now might be the best time to buy small-cap stocks, <a href="https://www.cnbc.com/2024/12/16/tis-the-season-for-small-caps-starting-right-now-says-btig.html?utm_source=in_materials">according</a> to the investment firm BTIG. In December, the Russell 2000 index, which tracks this segment of the market, <a href="https://finance.yahoo.com/chart/%5ERUT?utm_source=in_materials#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">dropped</a> more than 8%. BTIG points out that historically the index tends to decline in the final month of the year before regaining momentum by mid-February.

BTIG says now is the time to buy small caps

Freedom Broker analysts have highlighted three small-cap stocks to watch as the so-called Santa Claus rally approaches. This is the <a href="https://get.investors.com/infographics/santa-claus-rally/?utm_source=in_materials">traditional rise</a> in stock prices before Christmas and into the early days of January. Among the highlighted companies is Perfect Corp., which is making AI solutions for the fashion and beauty sector.

Freedom Broker spotlights three small caps ahead of Santa Claus rally 

JPMorgan has revealed its top internet picks for 2025, which include both Big Tech names and small-cap stocks. As <a href="https://www.benzinga.com/analyst-ratings/analyst-color/24/12/42561047/amazon-meta-alphabet-spotify-lead-jpmorgans-2025-tech-picks-for-ai-potential?utm_source=in_materials">reported</a> in Benzinga, the bank believes that enhanced engineering efficiency, billions in AI revenue for Amazon Web Services and Google Cloud, and accelerated ad and search growth for Meta and Google, along with a pro-business political climate and stabilization of the economy, will bolster growth in the internet sector.

JPMorgan reveals top large- and small-cap internet picks for 2025

Shares of less-lethal weapons manufacturer Byrna Technologies <a href="https://www.marketwatch.com/investing/stock/byrn?utm_source=in_materials">advanced</a> nearly 5% on Tuesday, December 17, to three-year highs. The company <a href="https://ir.byrna.com/news-events/press-releases/detail/208/byrna-increases-launcher-production-by-33-to-24000-units?utm_source=in_materials">announced</a> plans to boost U.S. production by 33% and open a new facility. Byrna also committed to exiting China and sourcing all the components for its flagship product domestically by the end of 2025, a decision accelerated by Donald Trump’s election as U.S. president.

Small caps