Prospects for interest rate cuts are fueling speculations about which small-cap stocks will be winners when they hit. Because smaller companies don’t have the same financial access as larger stocks, they are forced to borrow money at higher cost, which impacts their ability to grow.
Although it is difficult to predict how these companies would respond to rate cuts, it could unleash a torrent of growth. Particularly with undiscovered small-cap stocks that have yet to strike a chord with investors, this could be the moment these unheralded stocks return to the forefront.
Here are three small-cap stocks that could soar to the top of the market. They posses strong tailwinds that an improved economy will reveal as hidden treasures hiding in plain sight.
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