4 Small-Cap Healthcare Stocks Heading Higher

Shares of Cynosure (CYNO) are up 20 percent so far in 2016, but the cosmetic treatment maker's chart could look even prettier by year end, said David Swank, portfolio manager for the Hood River Small-Cap Growth Fund (HRSMX) - Get Report . 'Their new fat production product should drive better than expected growth,' said Swank. 'Plus it is still cheap even after the stock's tremendous run-up this year due to its growth rate and margin expansion.' Last week the Westford, Massachusetts-based company said it had adjusted earnings of $0.35 a share, topping Wall Street expectations by six cents. Cynosure posted revenue of $110.3 million in the period, also exceeding Street forecasts. The Hood River Small-Cap Growth Fund is up 3.9 percent thus far in 2016, according to Morningstar. The $143 million fund has returned an average of 8.9 percent annually over the past three years, outpacing 86 percent of its rivals in Morningstar's small-cap growth category.