Why Arrowhead Pharmaceuticals, Inc. (ARWR) is Among the Best Small Cap Stocks to Buy with the Biggest Upside Potential

From Yahoo Finance: 2025-05-05 07:49:00

Arrowhead Pharmaceuticals, Inc. (NASDAQ:ARWR) is analyzed against other top small cap stocks for upside potential. Small/mid-cap strategy head discusses tariffs’ impact on small caps, noting negative earnings revisions. Selectivity is key in small caps amid tariff uncertainty. Analyst bullish on ARWR due to promising drug trials. Pipeline strength and competitive advantage support buy rating.

Analyst highlights Arrowhead Pharmaceuticals, Inc. (NASDAQ:ARWR)’s Phase 1/2 trial success in treating complement-mediated renal diseases. Positive results and competitive advantage with less frequent dosing show blockbuster therapy potential. Company’s robust pipeline and strategic approach support buy rating. ARWR ranks 6th on top small cap stocks list. AI stocks may offer higher returns in shorter time frame.

Hedge funds’ interest in small cap stocks can lead to market outperformance. Quarterly newsletter strategy based on hedge funds’ top stock picks has returned 363.5% since May 2014. Arrowhead Pharmaceuticals, Inc. (NASDAQ:ARWR) focuses on developing medicines to treat intractable diseases by silencing disease-causing genes. Market cap: $1.93 billion, Analyst upside: 198.78%, Hedge fund holders: 34.

Investors interested in small caps should focus on quality stocks with strong margins amid tariff uncertainty. Selectivity is crucial, with emphasis on high-quality domestic stocks. Mid-caps show better revision trends and fewer risks from potential earnings hits from tariffs. Utilities screen well for defensive plays in small and large caps.

Read more: Why Arrowhead Pharmaceuticals, Inc. (ARWR) is Among the Best Small Cap Stocks to Buy with the Biggest Upside Potential