We recently compiled a list of the 15 Small-Cap Stocks Poised to Outperform in 2025. In this article, we are going to take a look at where Clover Health Investments Corp. (NASDAQ:CLOV) stands against the other small-cap stocks.

Fifteen small-cap stocks—predominantly under the technology sector—are taking center stage this year, boasting triple- to quadruple-digit performance in their share prices, thanks to the booming Artificial Intelligence sector.

In this article, we will dive into their performance and evaluate whether these stocks are poised to become the next big winners for your portfolio.

To come up with the 15 hottest small-cap stocks, we only considered companies with more than $3 million in trading volume and less than $2 billion in market capitalization.

An older Medicare-eligible consumer smiling happily while receiving healthcare services at a clinic.

Clover Health Investments Corp. (NASDAQ:CLOV)

Clover Health saw its shares jump by 238 percent in the past year to finish at $3.38 apiece, with investor confidence boosted by the company’s 74-percent improvement in earnings performance, having narrowed its net loss to $8.8 million from $33.6 million reported in the third quarter of 2024.

Clover Health is a healthcare firm that provides Medicare Advantage plans in the United States. It operates through two segments—insurance and non-insurance.

According to the company, the rally came as investors reacted to its impressive strides towards becoming profitable.

In addition, better earnings performance can be attributed to higher revenues from its insurance business, which grew by 9 percent to $322.6 million during the period, driven by strong member retention and continued intra-year growth.

For this year, it expects its AI assistant platform to further position itself towards success.

Overall CLOV ranks 5th on our list of the small-cap stocks poised to outperform in 2025. While we acknowledge the potential of CLOV as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter timeframe. If you are looking for an AI stock that is as promising as CLOV but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

 

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Disclosure: None. This article is originally published at Insider Monkey.