5 Small-Cap S&P Stocks To Buy With The Most Upside

The S&P 500 is one of the most popular U.S. stock indices and is often what investors and experts are referring to when they mention the "stock market." However, there's more to the market than large-cap stocks.

The lesser-known S&P 600 index is another index established by Standard & Poors that consists of 600 of the best small-cap U.S. stocks with market caps ranging from $850 million to about $3.6 billion.

Here are the five buy-rated S&P 600 stocks with the most potential upside, according to Bank of America analysts.

Lendingtree Inc TREE
LendingTree is an online marketplace that provides consumers with comparison shopping for loan products, including mortgage loans, home equity, reverse mortgages, auto loans and other products.

Analyst Nat Schindler says LendingTree will benefit from the growing trends in comparison shopping for loans and credit. Bank of America has a Buy rating and $190 price target for TREE stock.

Regenxbio Inc RGNX
Regenxbio is a mid-stage clinical development company devoted to the development of gene therapies.

Analyst Alec Stranahan says the stock has a positive setup ahead of upcoming data readouts on high-dose '314 treatments, and delay concerns over '202 are overblown. Bank of America has a Buy rating and $60 price target for RGNX stock.

Related Link: 7 Dividend Stocks To Buy That Analysts Love: AT&T, Best Buy And More

Community Health Systems Inc CYH
Community Health Systems operates acute care hospitals in non-urban U.S. markets.

Analyst Kevin Fischbeck says Community Health's labor shortage situation is improving, the company is anticipating between 2% and 3% annual long-term demand growth and its recent margin improvements are sustainable. Bank of America has a Buy rating and $16 price target for CYH stock.

American Axle & Manufact. Holdings, Inc. AXL
American Axle is a North American auto supplier and specializes in driveline products, especially axles and driveshafts.

For AXL stock, implying 52.4% upside from current levels. Analyst John Murphy says the stock has a compelling value and a micro and macro improvement in auto industry earnings will help expand American Axle's earnings multiple. Bank of America has a Buy rating and $15 price target for AXL stock.

Triumph Group Inc TGI
Triumph Group is an aerospace and defense company that manufactures, repairs and overhauls components for the aviation industry.

Analyst Ronald Epstein says he expects the company's restructured business will benefit from the ongoing post-pandemic recovery in the aerospace industry. Bank of America has a Buy rating and $30 price target for TGI stock.