Invest in 5 Small-Cap Stocks During the 2025 Rally for Increased Profits in 2026
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Dec 08 2025
0mins
Should l Buy ALLT?
Source: NASDAQ.COM
Small-Cap Stock Performance: Small-cap stocks have seen a rebound in 2024, supported by a low-interest-rate environment, with the Russell 2000 and S&P 600 indices up 13% and 5.3% year-to-date, respectively.
Growth Potential of Small Businesses: Small businesses, reliant on affordable credit, benefit from declining interest rates, which can enhance their profitability and market capitalization, despite being more volatile than larger companies.
Highlighted Small-Cap Stocks: Five small-cap stocks recommended for growth in 2026 include Allot Ltd., Seanergy Maritime Holdings Corp., Isabella Bank Corp., Owlet Inc., and Intellicheck Inc., all holding a Zacks Rank #1 (Strong Buy).
Future Stock Recommendations: Zacks Investment Research plans to release its top 10 stock picks for 2026 on January 5, following a history of significant gains, with the previous top stocks outperforming the S&P 500 substantially.
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Analyst Views on ALLT
Wall Street analysts forecast ALLT stock price to rise
5 Analyst Rating
5 Buy
0 Hold
0 Sell
Strong Buy
Current: 10.210
Low
12.50
Averages
14.63
High
18.00
Current: 10.210
Low
12.50
Averages
14.63
High
18.00
About ALLT
Allot Ltd is an Israel-based company engaged primarily in the software solutions for the communication sector. The Company is a provider of security solutions and network intelligence solutions for mobile, fixed and cloud service providers as well as enterprises worldwide. The Company's solutions are deployed globally for network-based security, including mobile security, distributed denial of service (DDoS) protection and Internet of Things (IoT) security, network and application analytics, traffic control and shaping, and more. The Company delivers a unified security service for individual consumers and small and medium-sized businesses (SMBs), at home, at work and on the go, with the Allot Secure product family.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Kanen Wealth Management Acquires Stake in Trex
- New Investment Update: Kanen Wealth Management LLC reported a new stake in Trex (TREX) of 250,000 shares in its SEC filing on February 18, 2026, with an estimated transaction value of $8.83 million, marking a new addition to the fund's portfolio and enhancing its investment diversity.
- Ownership Proportion Analysis: This acquisition gives Trex a 2.68% share of Kanen's reportable U.S. equity assets, indicating the fund's confidence in the company's growth potential, particularly amid the current sluggish housing market.
- Market Performance Assessment: As of February 18, 2026, Trex's share price stood at $41.89, reflecting a 37.3% decline over the past year, significantly trailing the S&P 500 by 49.6 percentage points, which highlights market caution regarding its future performance.
- Growth Potential Outlook: Despite a weak housing market, Trex's 25% sales contribution from new products and a 22% year-over-year growth rate demonstrate strong market adaptability, suggesting that Kanen's investment may signal optimism for future market recovery.
See More
Kanen Wealth Management Initiates Position in Trex
- New Investment Move: Kanen Wealth Management LLC reported a new stake in Trex (NYSE:TREX) of 250,000 shares in its SEC filing on February 18, 2026, with an estimated transaction value of $8.83 million, indicating confidence in the company.
- Asset Allocation Impact: This transaction positions Trex to represent 2.68% of Kanen's reportable 13F assets, although it does not make the top five holdings, it still signifies its importance within the portfolio.
- Market Performance Analysis: As of February 18, 2026, Trex's stock price stood at $41.89, down 37.3% over the past year, significantly trailing the S&P 500 by 49.6 percentage points, reflecting market caution regarding its future performance.
- Growth Potential Outlook: Despite a subdued housing market, Trex's 25% sales contribution from new products and a 22% year-over-year growth rate demonstrate its potential for benefiting from a housing recovery, suggesting Kanen's investment may be a strategic bet on this trend.
See More
Compax Venture Launches First MVNO with Allot NetworkSecure Services
- Innovative Cybersecurity Services: Compax Venture partners with Allot to launch the first MVNO offering cybersecurity services based on Allot NetworkSecure, enhancing the value proposition for brand communities and ensuring users enjoy a secure digital experience.
- Comprehensive Managed Services: Compax provides fully managed MVNO services through its BSS/OSS software suite, enabling brands to quickly go to market and meet user demands for cybersecurity, thereby enhancing customer loyalty.
- Zero-Touch Operation Model: Allot's NetworkSecure platform offers zero-touch, clientless operation, allowing users to enjoy cybersecurity protection without needing to install applications, simplifying user experience and lowering technical barriers.
- Expanded Protection Scope: OffNetSecure provides seamless cybersecurity protection for users when not connected to the provider's network, addressing a service provider's connectivity blind spot and enhancing interaction channels between brands and users.
See More
Allot to Present New Strategies at Needham Growth Conference on January 14, 2026
- Investor Conference: Allot Ltd. will present at the Needham Growth Conference in New York on January 14, 2026, which is expected to attract significant investor interest in its innovative Security-as-a-Service solutions.
- CEO Presentation: CEO Eyal Harari will deliver a live presentation at 11:00 a.m. ET, which will be webcast, enhancing the company's visibility among investors.
- One-on-One Meetings: Management will engage in one-on-one meetings with institutional investors during the conference, aiming to strengthen relationships with potential investors and drive future funding opportunities.
- Global Impact: Allot's network-native security solutions are deployed by over 500 service providers and more than 1,000 enterprises worldwide, showcasing its leadership in network intelligence and cybersecurity sectors.
See More
Allot to Present New Strategies at Needham Growth Conference on January 14, 2026
- Investor Conference: Allot will present at the Needham Growth Conference in New York on January 14, 2026, with CEO Eyal Harari scheduled to speak live at 11:00 AM ET, which is expected to draw significant investor interest.
- Cybersecurity Solutions: Allot's network-native security-as-a-service solutions are utilized by millions globally, enhancing the company's competitive edge in the cybersecurity market, particularly among service providers and enterprise clients.
- Customer Base Expansion: Currently, Allot's multi-service platforms are deployed by over 500 mobile, fixed, and cloud service providers and more than 1,000 enterprises, demonstrating its extensive influence and customer trust in the global market.
- Risk Factors Disclosure: The company highlighted various risk factors in its release, including customer attrition and technological competition, which could impact future financial performance and market position, necessitating careful evaluation by investors.
See More
Wall Street Analysts Forecast a 54.99% Increase for Allot Communications (ALLT): Key Insights to Consider
Stock Performance and Price Targets: Allot Communications (ALLT) closed at $8.71, with a mean price target of $13.5 suggesting a potential upside of 55%. Analysts' estimates range from $12.50 to $15.00, indicating varying levels of optimism about the stock's future.
Analyst Consensus and Earnings Revisions: There is a strong consensus among analysts regarding improved earnings estimates for ALLT, with a Zacks Consensus Estimate increasing by 140% over the past month, contributing to a Zacks Rank #1 (Strong Buy) for the stock.
Skepticism Towards Price Targets: Despite the consensus price target, analysts' price targets are often viewed with skepticism due to potential biases and inflated estimates driven by business relationships, making them unreliable for investment decisions.
Investment Strategy Considerations: Investors are advised to treat price targets cautiously and consider them as one of many factors in their research, as trends in earnings estimate revisions have shown a strong correlation with stock price movements.
See More
Kanen Wealth Management Acquires Stake in Trex
- New Investment Update: Kanen Wealth Management LLC reported a new stake in Trex (TREX) of 250,000 shares in its SEC filing on February 18, 2026, with an estimated transaction value of $8.83 million, marking a new addition to the fund's portfolio and enhancing its investment diversity.
- Ownership Proportion Analysis: This acquisition gives Trex a 2.68% share of Kanen's reportable U.S. equity assets, indicating the fund's confidence in the company's growth potential, particularly amid the current sluggish housing market.
- Market Performance Assessment: As of February 18, 2026, Trex's share price stood at $41.89, reflecting a 37.3% decline over the past year, significantly trailing the S&P 500 by 49.6 percentage points, which highlights market caution regarding its future performance.
- Growth Potential Outlook: Despite a weak housing market, Trex's 25% sales contribution from new products and a 22% year-over-year growth rate demonstrate strong market adaptability, suggesting that Kanen's investment may signal optimism for future market recovery.
See More
Kanen Wealth Management Initiates Position in Trex
- New Investment Move: Kanen Wealth Management LLC reported a new stake in Trex (NYSE:TREX) of 250,000 shares in its SEC filing on February 18, 2026, with an estimated transaction value of $8.83 million, indicating confidence in the company.
- Asset Allocation Impact: This transaction positions Trex to represent 2.68% of Kanen's reportable 13F assets, although it does not make the top five holdings, it still signifies its importance within the portfolio.
- Market Performance Analysis: As of February 18, 2026, Trex's stock price stood at $41.89, down 37.3% over the past year, significantly trailing the S&P 500 by 49.6 percentage points, reflecting market caution regarding its future performance.
- Growth Potential Outlook: Despite a subdued housing market, Trex's 25% sales contribution from new products and a 22% year-over-year growth rate demonstrate its potential for benefiting from a housing recovery, suggesting Kanen's investment may be a strategic bet on this trend.
See More
Compax Venture Launches First MVNO with Allot NetworkSecure Services
- Innovative Cybersecurity Services: Compax Venture partners with Allot to launch the first MVNO offering cybersecurity services based on Allot NetworkSecure, enhancing the value proposition for brand communities and ensuring users enjoy a secure digital experience.
- Comprehensive Managed Services: Compax provides fully managed MVNO services through its BSS/OSS software suite, enabling brands to quickly go to market and meet user demands for cybersecurity, thereby enhancing customer loyalty.
- Zero-Touch Operation Model: Allot's NetworkSecure platform offers zero-touch, clientless operation, allowing users to enjoy cybersecurity protection without needing to install applications, simplifying user experience and lowering technical barriers.
- Expanded Protection Scope: OffNetSecure provides seamless cybersecurity protection for users when not connected to the provider's network, addressing a service provider's connectivity blind spot and enhancing interaction channels between brands and users.
See More
Allot to Present New Strategies at Needham Growth Conference on January 14, 2026
- Investor Conference: Allot Ltd. will present at the Needham Growth Conference in New York on January 14, 2026, which is expected to attract significant investor interest in its innovative Security-as-a-Service solutions.
- CEO Presentation: CEO Eyal Harari will deliver a live presentation at 11:00 a.m. ET, which will be webcast, enhancing the company's visibility among investors.
- One-on-One Meetings: Management will engage in one-on-one meetings with institutional investors during the conference, aiming to strengthen relationships with potential investors and drive future funding opportunities.
- Global Impact: Allot's network-native security solutions are deployed by over 500 service providers and more than 1,000 enterprises worldwide, showcasing its leadership in network intelligence and cybersecurity sectors.
See More
Allot to Present New Strategies at Needham Growth Conference on January 14, 2026
- Investor Conference: Allot will present at the Needham Growth Conference in New York on January 14, 2026, with CEO Eyal Harari scheduled to speak live at 11:00 AM ET, which is expected to draw significant investor interest.
- Cybersecurity Solutions: Allot's network-native security-as-a-service solutions are utilized by millions globally, enhancing the company's competitive edge in the cybersecurity market, particularly among service providers and enterprise clients.
- Customer Base Expansion: Currently, Allot's multi-service platforms are deployed by over 500 mobile, fixed, and cloud service providers and more than 1,000 enterprises, demonstrating its extensive influence and customer trust in the global market.
- Risk Factors Disclosure: The company highlighted various risk factors in its release, including customer attrition and technological competition, which could impact future financial performance and market position, necessitating careful evaluation by investors.
See More
Wall Street Analysts Forecast a 54.99% Increase for Allot Communications (ALLT): Key Insights to Consider
Stock Performance and Price Targets: Allot Communications (ALLT) closed at $8.71, with a mean price target of $13.5 suggesting a potential upside of 55%. Analysts' estimates range from $12.50 to $15.00, indicating varying levels of optimism about the stock's future.
Analyst Consensus and Earnings Revisions: There is a strong consensus among analysts regarding improved earnings estimates for ALLT, with a Zacks Consensus Estimate increasing by 140% over the past month, contributing to a Zacks Rank #1 (Strong Buy) for the stock.
Skepticism Towards Price Targets: Despite the consensus price target, analysts' price targets are often viewed with skepticism due to potential biases and inflated estimates driven by business relationships, making them unreliable for investment decisions.
Investment Strategy Considerations: Investors are advised to treat price targets cautiously and consider them as one of many factors in their research, as trends in earnings estimate revisions have shown a strong correlation with stock price movements.
See More
