ASX Small Cap Stocks to Buy

Investors who are in search for small cap ASX stocks to buy should closely track companies that are delivering strong results.

Here are three small cap ASX stocks to buy that have recently surged because of operational progress and promising outlooks.

Accent Group Limited (ASX: AX1)

Accent Group Limited (ASX: AX1) surged about 18% by afternoon trade on Wednesday after investors reacted positively to its H1 FY26 results announcement which lifted the market cap to $592 million.

Total sales for the half rose 2.4% to $865.2 million while retail sales increased 5.2% and wholesale sales climbed 9.4% which showed solid top line momentum despite a difficult retail environment.

EBITDA was $156.0 million and NPAT stood at $28.1 million which was affected by non-recurring items tied to the closure of the MySale and Glue businesses.

The company declared a fully franked interim dividend of 3.25 cents per share which represents about a 70% payout ratio of H1 FY26 statutory EPS and this rally has put AX1 back on the radar among small cap ASX stocks to buy for investors.

The company expanded its store network to 898 stores after it opened 27 new locations which included the launch of Sports Direct and a flagship Lacoste store in Melbourne.

Management confirmed H2 FY26 EBIT guidance in the range of $30 million to $35 million and noted that recent AUD strength should increase gross margin in the second half.

Cobre Limited (ASX: CBE)

Cobre Limited (ASX: CBE) has risen about 46% over the past month which has placed it among small cap ASX stocks to buy as interest grows around its Botswana copper projects.

The company in its December 2025 quarterly report highlighted positive diamond drilling results at the Cosmos Target within the Ngami Copper Project where step out holes confirmed laterally extensive copper silver mineralisation.

The broader Ngami Copper Project sits within an Exploration Target estimated at 205 to 308 million tonnes at 0.31 to 0.46% copper and 5.5 to 8.3 g per tonne silver which indicates significant scale potential.

Cash at the end of the quarter stood at $7.17 million and copper remains central to the global electrification and energy transition theme which means discoveries in the Kalahari Copper Belt could benefit from strong long-term demand in EVs, renewables and grid infrastructure.

Due to its expanding exploration footprint and exposure to the copper growth story, CBE is now being discussed more often among small cap ASX stocks to buy for investors who want exposure to copper.

Appen Limited (ASX: APX)

Appen Limited (ASX: APX) rose about 17% by afternoon trade on Wednesday after investors reacted positively to its FY25 results which placed it on watchlists as one of the best small cap ASX stocks to buy.

The company in FY25 reported adjusted revenue of US$230.8 million which was up 4.5% year on year while gross margin improved to 40.3% because higher priority generative AI projects formed a larger share of revenue.

Underlying EBITDA excluding FX increased to US$12.2 million which was up 251% from the prior year while cash on hand rose to US$59.8 million at year end.

Appen China recorded revenue growth of 75% to US$102.9 million and underlying EBITDA growth of 640% to US$10.6 million which was mainly due to new LLM related projects.

Appen Global gained strong traction in Q4 which produced US$10.2 million in underlying EBITDA for the quarter with a 24.6% EBITDA margin because new generative AI contracts expanded faster than expected.

Management provided FY26 revenue guidance of US$270 million to US$300 million with an underlying EBITDA margin of about 5% to 10% which is supported by steady demand for AI data services.

(Source: Company Reports)