Shares of gold exploration and mining company Contango ORE <a href="https://www.marketwatch.com/investing/stock/ctgo?utm_source=in_materials">dropped</a> nearly 22% on Friday, November 29, after the company <a href="https://www.contangoore.com/press-release/contango-reaffirms-and-updates-2025-manh-choh-guidance?utm_source=in_materials">announced</a> higher than expected production costs at its Manh Choh mine, which it is developing in partnership with Canadian mining giant Kinross Gold.

Shares of gold miner Contango ORE plummet amid rising costs at Alaskan mine

Zacks has recently <a href="https://finance.yahoo.com/news/small-caps-winners-2024-5-124700447.html?utm_source=in_materials">put out</a> a fresh batch of small-cap recommendations. While the five companies operate in different sectors, they have one thing in common — solid short-term upside, backed up by a favorable Zacks Rank.

Zacks spotlights five small caps with 'solid' short-term upside

On Friday, November 29, shares of the small-cap biopharmaceutical company Applied Therapeutics plummeted 76% after the FDA declined to approve its drug to treat a rare genetic metabolic disease, jeopardizing its plans to launch its first commercial product. Applied Therapeutics, which is also pursuing drug approval in Europe, says it is considering appealing the FDA's decision or resubmitting its application.

Applied Therapeutics plummets 76% after FDA declines to approve drug

Zacks Small-Cap Research (Zacks SCR) sees MediciNova, which develops treatments for amyotrophic lateral sclerosis (ALS) and pulmonary fibrosis, as significantly undervalued. In a recent Zacks SCR note,  the stock's fair value is <a href="https://s27.q4cdn.com/906368049/files/News/2024/Zacks_SCR_Research_11252024_MNOV_Bautz.pdf?utm_source=in_materials">estimated</a> at $10 per share — five times its current price. MediciNova is set to receive compensation from pharmaceutical giant Novartis, which was found to have <a href="https://investors.medicinova.com/news-releases/news-release-details/medicinova-given-notice-monetary-damages-due-under-patent?utm_source=in_materials">infringed</a> on MediciNova patents with its drug Zolgensma, one of the most expensive in the world.

Zacks sees 400% upside for MediciNova amid incoming damages from Sanofi/Novartis dispute

Small-cap stocks typically outperform the broader market from the Tuesday before Thanksgiving until the second trading day of the new year, <a href="https://www.cnbc.com/2024/11/26/small-caps-historically-outperform-even-the-santa-claus-rally-starting-now.html?utm_source=in_materials">points out</a> Jeffrey Hirsch of Stock Trader’s Almanac. Historically, they have delivered stronger returns than their large-cap peers during this period, even with the so-called Santa Claus rally.

Stock Trader’s Almanac sees jollier than usual Santa Claus rally for small caps

Shares of U.S. drone manufacturer Unusual Machines, with a market capitalization of $75 million, more than doubled on Wednesday, November 27. The catalyst was the announcement that Donald Trump Jr., the son of the U.S. president-elect, had joined the company’s advisory board. Trump Jr. expressed his support for Unusual Machines’ efforts to manufacture drones domestically and said the U.S. must stop buying Chinese-made drones, CNBC <a href="https://www.cnbc.com/2024/11/27/unusual-machines-shares-soar-donald-trump-jr-joins-advisory-board.html?utm_source=in_materials">reports</a>.

Stock price of small drone maker Unusual Machines doubles after Trump son joins board

The Motley Fool has <a href="https://www.fool.com/investing/2024/11/22/nvidia-71-million-invested-smaller-ai-stocks/?utm_source=in_materials">highlighted</a> two small-cap investments of the world's second-most valuable company, the chipmaker Nvidia. According to Nvidia’s financials, it holds shares of voice assistant developer SoundHound AI and Applied Digital, a builder of data centers. The Motley Fool encourages investors to follow Nvidia’s lead.

The Motley Fool spotlights two small caps whose shares are held by Nvidia

Shares of Poseida Therapeutics, which develops cell and gene therapies for cancers and genetic diseases, skyrocketed nearly 230% on Tuesday, November 26. The surge came after the <a href="https://investors.poseida.com/news-releases/news-release-details/poseida-therapeutics-inc-announces-agreement-be-acquired-roche?utm_source=in_materials">announcement</a> of its acquisition by pharmaceutical giant Roche, with the deal valuing Poseida at $1.5 billion — triple its highest market value in the last year.

Poseida Therapeutics, cell therapy maker, triples on Nasdaq after being acquired by Roche

On Monday, November 25, quotes on the small-cap biotech company Cassava Sciences <a href="https://www.marketwatch.com/investing/stock/sava?utm_source=in_materials">plunged</a> almost 84% after the company <a href="https://www.cassavasciences.com/news-releases/news-release-details/cassava-sciences-topline-phase-3-data-did-not-meet-co-primary?utm_source=in_materials">reported</a> that its Alzheimer’s treatment had failed in a clinical trial.

Cassava Sciences plummets after its Alzheimer’s drug fails in trials

Thomas Yeung, an analyst at InvestorPlace Markets, <a href="https://investorplace.com/2024/11/5-moonshot-stocks-to-buy-for-2025/?utm_source=in_materials">has named</a> three retreating small-cap stocks that he believes are poised for a turnaround in 2025. Two of the companies could benefit from the new administration of President-elect Donald Trump, while the third stands to gain from the trend of automation.

InvestorPlace Markets analyst highlights three small caps poised for a comeback in 2025

"There’s no doubt: the higher the levels of crime and violence, the greater the demand for our services," says Eyal Sheratzky, co-CEO of Ituran, in an exclusive interview with Kursiv.Investments.

'The higher the crime rate, the higher the demand for our services': An interview with Ituran's CEO

Shares of small-cap biopharmaceutical company Citius Pharmaceuticals <a href="https://www.marketwatch.com/investing/stock/ctxr?utm_source=in_materials">plummeted</a> nearly 19% on Friday, November 22, hitting an all-time low after the company <a href="https://citiuspharma.com/investors/news-media/news/release-details/2024/Citius-Pharmaceuticals-Inc.-Announces-1-for-25-Reverse-Stock-Split/default.aspx?utm_source=in_materials">announced</a> a reverse stock split to regain compliance with listing requirements.

Small caps