We recently compiled a list of the 12 Best Penny Stocks to Invest in According to the Media. In this article, we are going to take a look at where Elevation Oncology, Inc. (NASDAQ:ELEV) stands against other best penny stocks to buy according to the media.
Small-Cap Stocks Outlook for 2025
On December 24, Global Advisors’ managing partner, Tom Lee, shared his thoughts on the potential of small and mid-cap stocks in 2025. Lee pointed out that 2025 is going to be a good year for small and mid-cap stocks. Backed by interest rate cuts and the incoming administration, companies are going to be expansionary and feel confident about mergers, added Lee. Moreover, Lee has reiterated that small-cap stocks are trading at a discount with a medium P/E multiple of 10. In an interview with CNBC, Lee said:
“I think small caps could in the next couple of years outperform by more than 100%.”
New Street Advisors CEO Delano Saporu has similar thoughts and believes that small-cap stocks are well-positioned to outperform in 2025. The economy has shown resilience in 2024, especially the recovery in the last quarter has signaled a promising outlook for businesses. Donald Trump’s win has already driven significant gains in small-cap stocks amid the growing enthusiasm around the potential easing of regulations on businesses. Small-cap stocks are conventionally focused on the domestic market, with less exposure to international trade compared to large-cap counterparts. Therefore, Trump’s tariff policies will not have a major impact on small-cap stocks compared to large-cap stocks.
If you are interested in exploring the best penny stocks to buy in 2025, you can visit the 10 Best Penny Stocks to Buy for 2025.
Heading into 2025, the US stock market will deliver a second consecutive year of impressive gains. The S&P 500 index surged more than 25% in 2024. Whereas, the tech-heavy Nasdaq 100 jumped up to 28%. The Russell 2000 index, which covers small-cap companies, soared more than 15% over the last year, while the Dow Jones U.S. Small-Cap Index has risen by 18%.
Torsten Slok, economist at Apollo Global Management (APO), released his 2025 economic outlook for the U.S. According to Slok, the U.S. economy will deliver strong results with no signs of major slowing in 2025. Slok added that interest rates will likely stay ‘higher for longer’ despite the Fed’s current interest rate-cutting cycle. The US economy is expected to register GDP growth of 2.2% in 2025, signaling a modest growth, driven by less restrictive monetary policy, resilient consumer spending, and a steadying labor market.
You can also visit and see 12 Cheap Chinese Stocks to Buy According to Hedge Funds.
An oncology center with medical staff operating infusion pumps in the background.
Our Methodology
To compile our list of the best penny stocks to invest in according to the media, we gathered over 50 penny stocks from financial media websites on the internet. We then selected the top 12 penny stocks that were the most widely held by hedge funds, as of Q3 2024. The list is ranked in ascending order based on the number of hedge fund holders in each stock.
Why do we care about what hedge funds do? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 275% since May 2014, beating its benchmark by 150 percentage points (see more details here).
Elevation Oncology, Inc. (NASDAQ:ELEV)
Share Price (As of January 3): $0.66
Number of Hedge Fund Holders: 16
Elevation Oncology, Inc. (NASDAQ:ELEV) is a US-based oncology company that is engaged in the development of targeted therapeutics for cancer treatment. The company’s specialty lies in selective cancer therapies to treat patients across a range of solid tumors.
Elevation Oncology, Inc. (NASDAQ:ELEV) is currently developing its lead product known as EO-3021, which is an antibody-drug conjugate being developed to fight against specific kinds of cancer such as gastric cancer or gastroesophageal junction cancer. Furthermore, the company is advancing its pipeline with the nomination of poziotinib for FDA approval. If poziotinib advances to the FDA’s final approval, it could become a unique treatment for a specific type of bladder cancer, presenting a massive growth opportunity for the company.
Elevation Oncology’s main products have cleared initial FDA approvals and are showing promising results in their initial research phases, and the company’s next move relies on the final development of these treatments.
Overall, ELEV ranks 11th on our list of Best Penny Stocks To Invest In According to Media. While we acknowledge the potential of ELEV to grow, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than ELEV but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
READ NEXT: 8 Best Wide Moat Stocks to Buy Now and 30 Most Important AI Stocks According to BlackRock.
Disclosure: None. This article is originally published at Insider Monkey.