The Russell 2000 Index (RUT) is a small-cap stock market index that includes companies with market capitalizations ranging from $250 million to around $2 billion. While the RUT got caught up in the recent bout of broad-market volatility, many analysts see more upside in store for small-caps, particularly with Fed rate cuts on the docket for next month's meeting.
Three small-cap stocks with the potential to generate significant gains are Viking Therapeutics (VKTX), Arcutis Biotherapeutics (ARQT), and Longboard Pharmaceuticals (LBPH). Wall Street rates all three of these stocks a “strong buy,” and analysts expect them to soar between 54% and 110% over the next 12 months, on average.
