Shares of Citius Pharmaceuticals, a small company developing critical care products, <a href="https://www.marketwatch.com/investing/stock/ctxr?utm_source=in_materials">plunged</a> nearly 40% to an all-time low on Friday, November 15. The trigger was an announced direct offering at $0.25 per share.

Citius Pharmaceuticals plunges to all-time low after direct offering announced

Analysts at Freedom Finance Global have spotlighted four smaller companies that stand to benefit from policies put forward by U.S. President-elect Donald Trump. Three of them operate in the financial sector, while the fourth is a developer and supplier of avionics technology for the civil and military markets.

Freedom spotlights small caps poised to rally on Trump second term

Shares of Envoy Medical, a hearing implant maker, <a href="https://www.marketwatch.com/investing/stock/coch?utm_source=in_materials">rose</a> nearly 9% on Thursday, November 14, buoyed by earnings for the first nine months of the year. While the top line declined over 17% year over year, the company’s loss per share narrowed almost 60%. Earlier, Envoy Medical had <a href="https://www.globenewswire.com/news-release/2024/11/14/2981221/0/en/Envoy-Medical-Reports-Third-Quarter-2024-Results-and-Other-Exciting-Events.html?utm_source=in_materials">announced</a> U.S. regulatory approval to start trials on one of its hearing implants and CPT codes for another. The latter development paves the way for potential insurance coverage for the device.

Hearing implant maker Envoy Medical rises on nine-month earnings

TSS, a small company that provides data center services, might replace the embattled server maker Super Micro Computer as an investor favorite in the AI segment, <a href="https://www.barrons.com/articles/ai-stocks-smci-delisting-dell-tss-f2161b42?utm_source=in_materials">writes</a>. While Supermicro may be <a href="https://kz.kursiv.media/2024-11-06/vlds-supermicro-8/?utm_source=in_materials">delisted</a> soon, TSS has <a href="https://s3.amazonaws.com/b2icontent.irpass.cc/2488/rl140205.pdf?utm_source=in_materials">surged</a> 4,000% this year and has just gained entry to the Nasdaq. cautions, however, that investing in TSS comes with risks.

Surging TSS seen as alternative to Super Micro as new hot AI stock

The portfolio managers of three micro-cap Royce funds have <a href="https://www.royceinvest.com/insights/2024/4Q24/two-high-conviction-micro-cap-holdings?utm_source=in_materials">highlighted</a> two high-conviction small-cap stocks: Transcat, a company specializing in equipment calibration, and Applied Optoelectronics, a provider of optical components. They stand out not only on fundamental metrics but also for features that cannot be quantified, such as customer-centricity and value chain analysis.

Royce spotlights a pair of high-conviction small-cap stocks

Freedom Broker has raised its target price for Viemed Healthcare, a smaller company that provides in-home respiratory support, by more than 18% to $11 per share. The upgrade is attributable to the company’s third-quarter financial results, which beat expectations amid robust demand in the sleep therapy segment. Viemed links this growth to the rising popularity of weight-loss drugs.

Freedom Broker raises Viemed target price amid growing sleep therapy market

Sidus Space, a small space services company, <a href="https://www.marketwatch.com/investing/stock/sidu?utm_source=in_materials">plunged</a> over 40% in premarket trading today, November 13, after the company <a href="https://investors.sidusspace.com/news-events/press-releases/detail/208/sidus-space-announces-pricing-of-public-offering?utm_source=in_materials">announced</a> it would sell 5.6 million new shares at $1.25 each. This is the lowest price Sidus shares have ever been offered to investors.

Sidus Space shares plummet after share offer with 45% discount announced

Founded in the late 1980s, the IT services provider Innodata remained under the radar of investors and major companies for a long time. However, that all changed after it pivoted to large language models (LLMs) and generative AI five years ago. Since then, it has scooped up almost all of the Magnificent Seven companies as clients, while its share price has soared over 3,000% in five years.

How the small IT services provider Innodata soared 3,000% over five years

Shares of low-cost carrier Spirit Airlines dropped over 60% in <a href="https://www.marketwatch.com/investing/stock/save?utm_source=in_materials">premarket trading</a> today, November 13, after the news broke that the company is preparing to file for bankruptcy following failed merger talks with Frontier Airlines, as <a href="https://www.wsj.com/business/airlines/spirit-airlines-moves-toward-bankruptcy-filing-after-frontier-drops-merger-bid-5d492e80?utm_source=in_materials">reported</a> by the .

Spirit Airlines shares plunge 60% after Frontier merger talks break down

The personal genomics company 23andMe is further <a href="https://investors.23andme.com/news-releases/news-release-details/23andme-announces-business-restructuring-streamline-operations?utm_source=in_materials">cutting</a> costs: It will lay off 40% of its workforce and shut down all clinical research programs. These measures are expected to save the company $35 million annually as it explores strategic options, including a partial sale of the business. Following this news, 23andMe shares rose nearly 3%.

Former unicorn 23andMe announces mass layoffs and closes research programs

Small caps might not have much further to run in the postelection rally, as they are at risk from higher interest rates, <a href="https://www.marketwatch.com/story/the-post-election-rally-should-continue-except-this-one-part-says-morgan-stanleys-mike-wilson-bfc49971?mod=bulletin_ribbon&amp;utm_source=in_materials">warns</a> Morgan Stanley’s chief U.S. equities strategist Mike Wilson. He recalls that after Donald Trump’s previous election win in 2016, their relative performance peaked in early December.

Morgan Stanley: Postelection rally to continue, but without small caps

Inuvo, a provider of AI-driven marketing technology, saw its stock <a href="https://www.nasdaq.com/market-activity/stocks/inuv?utm_source=in_materials">fall</a> 3.5% after releasing its third-quarter earnings on Friday, November 8. Revenue <a href="https://inuvo.com/inuvo-reports-23-sequential-revenue-growth-to-22-4-million-for-the-third-quarter-of-2024/?utm_source=in_materials">grew</a> 23% quarter over quarter but <a href="https://s3.amazonaws.com/sec.irpass.cc/2758/0001654954-24-013980.htm?utm_source=in_materials#inuvo_ex991.htm">declined</a> about 9% year over year.