Under-the-Radar Biotech and Tech Stocks with High Growth Potential in 2026

In the ever-evolving landscape of high-need therapeutic and technological sectors, investors are increasingly seeking undervalued innovators poised to disrupt markets. Three companies-Axsome Therapeutics, Exelixis, and Axon Enterprise-stand out as compelling candidates for 2026, driven by robust pipelines, strategic expansions, and strong analyst sentiment. Below, we dissect their market positions, growth catalysts, and upside potential.

Axsome Therapeutics: A Biotech Powerhouse with a CNS Focus

Axsome Therapeutics (AXSM) has emerged as a formidable player in central nervous system (CNS) therapies, leveraging its commercial infrastructure and late-stage pipeline to drive revenue growth. In Q3 2025, the company reported $171.0 million in net product revenue, a 63% year-over-year increase, fueled by its flagship product AUVELITY (major depressive disorder) and the launch of SYMBRAVO (migraine treatment) according to the company's Q3 2025 financial results. AUVELITY alone generated $136.1 million in net sales for the quarter, reflecting a 69% YoY surge according to the same report.

The company's pipeline is equally promising. A supplemental New Drug Application (sNDA) for AXS-05 in Alzheimer's disease agitation has been submitted, addressing a high-unmet-need condition affecting millions of U.S. patients according to the company's announcement. Meanwhile, AXS-12 is in late-stage trials for narcolepsy, with a $16 billion peak sales potential across its portfolio according to a 2025 investment analysis. Analysts project Axsome's Free Cash Flow could soar to $950.49 million by 2029, underscoring its long-term financial resilience according to financial data from Yahoo Finance.

Investor sentiment is overwhelmingly bullish. With 18 Wall Street analysts issuing a "Moderate Buy" consensus and a median price target of $183.00 (a 59.6% upside from its current price of $114.10), Axsome's commercial infrastructure-300 sales reps and 42,000 prescriber access-positions it to capitalize on its expanding indications according to market analysis.

Exelixis: Leveraging Cabozantinib's Dominance and Pipeline Diversification

Exelixis has long relied on Cabozantinib (CABOMETYX) for the majority of its revenue, but its 2026 outlook remains strong. CABOMETYX is gaining traction in advanced neuroendocrine tumors and maintaining leadership in renal cell carcinoma (RCC), with 80%+ of net product revenues tied to this franchise according to the company's Q3 2025 earnings report. The company has also extended Cabozantinib's patent protection through 2030, shielding it from near-term generic competition according to the same announcement.

However, Exelixis is not resting on its laurels. Its pipeline includes zanzalintinib, a next-generation tyrosine kinase inhibitor, which is in pivotal trials for colorectal cancer (STELLAR-303) and non-clear cell RCC (STELLAR-304). Top-line results are expected in H1 2026, offering a critical inflection point for the company's diversification according to the company's earnings call. Analysts note that while Cabozantinib remains dominant, zanzalintinib and other early-stage candidates could reduce reliance on a single product according to a market analysis of Exelixis' earnings.

Despite its heavy dependence on one drug, Exelixis' strategic patent extensions and pipeline advancements make it a compelling bet for investors seeking exposure to oncology innovation.

Axon Enterprise: Revolutionizing Public Safety with AI and Expansion

Axon Enterprise (AXON) is redefining public safety through its AI-driven solutions and product diversification. In Q3 2025, the company reported $711 million in revenue, a 31% YoY increase, with full-year 2025 guidance of $2.74 billion (31% annual growth) according to Q3 earnings analysis. Its 2026 roadmap includes the launch of the Axon Body Workforce Mini, a compact body camera designed for retail environments to combat staff assault and theft. Early interest from major retailers highlights its market potential according to the same analysis.

Axon's acquisition of Carbyne in early 2026 further amplifies its AI capabilities, integrating Carbyne's cloud-native emergency response platform with Axon's AI-driven insights to create a next-generation system according to financial reporting. This move is expected to boost U.S. state and local bookings, which have already grown by 10% due to AI tools like AI Aeroplan according to market commentary.

Analysts are optimistic. RBC Capital initiated an "Outperform" rating, while CFRA upgraded Axon to "Strong Buy," citing momentum in counter-drone systems, virtual reality training, and international expansion according to analyst reports. Despite challenges like margin compression from tariffs, Axon's nine-figure European cloud deal and AI-driven innovation position it as a leader in the public safety tech sector.

Conclusion: Undervalued Innovators with 2026 Catalysts

Axsome Therapeutics, Exelixis, and Axon Enterprise represent a rare trifecta of high-need sector focus, robust pipelines, and bullish analyst sentiment. Axsome's CNS therapies and Alzheimer's pipeline, Exelixis' Cabozantinib dominance and zanzalintinib trials, and Axon's AI-driven public safety solutions all align with long-term growth trends. For investors seeking under-the-radar opportunities, these stocks offer a compelling mix of innovation and financial upside.

As 2026 unfolds, the key will be monitoring regulatory milestones (e.g., Axsome's sNDA approval, Exelixis' zanzalintinib data) and Axon's execution on its AI and product expansion strategies. With the right catalysts, these companies could outperform broader market expectations.