Finding the best penny stocks to buy now can be an exciting and rewarding task if you know what you’re doing. Whether you’re looking at investing in penny stocks from early-stage companies or trying to rake in the dough and capitalize on speculative volatility, there are plenty of ways to make money with penny stocks. But if you’re newer to this world of cheap stocks, you might not know what to look for.
Best Penny Stocks To Buy Right Now
Unless you’re someone looking for a genuine long-term growth opportunity, you’re likely looking for penny stocks to trade. In this case, identifying different stock market trends can help. One of the recent points of interest for retail traders is penny stocks with higher short interest. The idea is that the higher the short, the bigger the bearish bet that shares will drop. Since the dynamics of shorting involve borrowing shares, “squeezing” a short targets stocks wherein a quick breakout to the upside will force short traders to “cover” and thus, buy back stock at higher prices.
This snowball effect theoretically would spark a runaway train-style move. More prominent examples of short squeezes include the jaunts made by stocks like AMC and GameStop. The first step in identifying short squeeze penny stocks is finding stocks with higher short interest. Today we look at a handful of names fitting the mold. Is a squeeze imminent?
Short Squeeze Penny Stocks To Buy Under $5
- Creative Medical Technology Holdings Inc. (NASDAQ: CELZ)
- Clever Leaves Holdings Inc. (NASDAQ: CLVR)
- Enservco Corporation (NYSE: ENSV)
- Ion Geophysical Corporation (NYSE: IO)
- Cyren (NASDAQ: CYRN)
1. Creative Medical Technology Holdings Inc. (NASDAQ: CELZ)
Like others on this list of penny stocks, Creative Medical is no stranger to volatility in the stock market. Today shares of CELZ stock popped early thanks to news of its development of a reproducible product of its ImmCelz. This is the company’s platform that uses stem cells to produce “supercharged” cells for immune treatments. In today’s announcement, the company gave guidance on its progress in developing a way that ImmCelz could be produced quickly – within 72 hours in this case.
In response, CEO Timothy Warbington explained his belief that the Immcelz® program “has enormous potential to improve outcomes for patients across multiple indications, including stroke, Type I diabetes, heart disease, liver disease, and kidney disease.”
According to data from Fintel.IO, CELZ stock may be on the list of short interest stocks right now. The current short interest % float sits just under 14%.
2. Clever Leaves Holdings Inc. (NASDAQ: CLVR)
Today is April 20th, aka 4/20, and what list of penny stocks would be complete without marijuana stocks? Clever Leaves has been in the limelight this year, especially with retail traders. Late last month, shares exploded to highs of nearly $4 thanks to speculative momentum in the cannabis industry.
This week the company announced that it boosted its position in the U.S. with a new partnership. Clever Leaves partnered with Biom Therapeutics to provide CBD isolate. The pair already have agreements where Clever Leaves provided Biom with EU GMP compliant CBD isolate. EO of Clever Leaves, Andres Fajardo, explained, “The United States market is a key focus for Clever Leaves in 2022, and partnering with strong biopharmaceutical companies like Biom Therapeutics will help us further grow our pharmaceutical presence and establish our superior standard of product quality in the United States.”
Will 420 have that big of an impact on marijuana penny stocks? This year has been very volatile for former “high” flyers. Previous market leaders like Canopy Growth (NASDAQ: CGC), Tilray (NASDAQ: TLRY), and Aurora Cannabis (NASDAQ: ACB) are at or near penny stock levels. This is a complete 180 from where many of these marijuana penny stocks traded just a few years ago. In light of the broader movement, is it surprising that CLVR stock has higher short interest? According to Fintel, the short float percentage sits at 16.48% right now.
3. Enservco Corporation (NYSE: ENSV)
With the onset of global unrest stemming from the Russia-Ukraine conflict, energy stocks have come back into focus. In fact, just a few weeks ago, oil prices broke above $100 for the first time in years, sending a clear message to the market: Get ready for higher prices. In light of this, oil and gas penny stocks have gained attention from retail investors.
Enservco provides well site services to onshore oil and gas industries. In tandem with the surge in energy prices, the company’s latest earnings suggest the trend already began in Q4. In last week’s corporate update, Enservco reported 71% growth in fourth-quarter 2021 revenue compared to Q4 2020. Gains were attributed across all service offerings in a sweeping win for the company. However, this update came with news that Enservco would be delaying its formal annual filing to restate quarterlies from last year. According to the company, the reason was to account for its utilization of deferred tax liabilities.
Is ENSV one of the short squeeze stocks to watch right now? While it isn’t the highest short on this list, Fintel shows a short float percentage for ENSV stock sitting at roughly 8.6% right now.
4. Ion Geophysical Corporation (NYSE: IO)
Penny stocks under $1 have also become a hot topic for retail traders. Over the last four months, we’ve discussed this trend numerous times as traders seek quick rips from small price action. In light of this, the daily occurrences of cheap penny stocks exploding is more frequent.
Today, Ion Geophysical has caught some attention thanks to news headlines surfacing during premarket trade. The company announced an award of a 5-year contract with Brunei Shell Petroleum. ION will offer a digital solution to manage logistics in marine settings. With a fleet of more than 70 vessels, the undertaking doesn’t appear to be a small feat by most accounts.
This hasn’t allowed investors to forget what Ion reported earlier this month despite the new win. The company filed for voluntary Chapter 11 relief in bankruptcy court. That may have also contributed to the bearish pressure seen in the market recently. According to Fintel data, IO stock’s current short float percentage sits around 14.4%.
5. Cyren (NASDAQ: CYRN)
Cyber security stocks have been in focus as the Russia-Ukraine conflict has markets on their toes. One of the new types of warfare isn’t being conducted on battlefields but online. Even global governments have warned private sector businesses to beef up their security efforts.
Cyren provides inbox protection and threat identification solutions for more than 1.3 million users, globally. In fact, in a new report, the company highlighted the massive need for more security. Its 2022 Benchmarking Survey conducted by Osterman Research looks at the most rampant security threats coming in through email systems. These include account takeover, compromise attacks, and ransomware. Findings clearly showed how bad actors are increasingly successful in launching attacks targeting Microsoft Office 365 users. Office 365 is one of the most widely used platforms by companies, and Cyren’s report shows successful breaches caused by email attacks “almost doubled from levels seen in 2019.”
Given the momentum in the stock market fueling cyber security stocks, CYRN stock has been on the radar. What about the short interest? According to data from Fintel, the short interest % float sits at just over 10%. Cyren has also shown a track record of big moves in the market. Earlier this year, CYRN stock surged from under $2 to nearly $14 within a few weeks. Following the closing of a $12 million raise, Cyren regained compliance with Nasdaq listing requirements. Paired with hype in cyber security stocks, CYRN has continued turning heads.
What Are Penny Stocks?
The definition of penny stocks is specific to shares in a company trading for less than $5. Are penny stocks a good investment? That is determined by the potential of individual companies. Something to remember when it comes to lower-priced names, volatility can play a large role. Since many are still in their start-up phases, capital raising efforts can bring even more to the table in terms of wild price movement. If you’re looking for penny stocks to buy right now, risk and reward go hand-in-hand. Here are a few articles for you to check out if this is something new that you’re looking to learn more about trading, in general:
Penny Stocks: 7 Day Trading Strategies for Beginners
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5 Easy Ways To Find Penny Stocks To Buy: A Beginner’s Guide
Many investors speculate that penny stock prices can jump 100% or more with relatively small amounts of money. That’s very true, and you can make a lot of money with penny stocks if you know what you’re doing. The first step is determining where to look and what to look for. In this article, we’ll show you five easy ways to find penny stocks to buy – Read Full Article
How to Find the Best Penny Stocks to Buy in 2022
There are a number of ways to find penny stocks to buy in 2022. But before starting that process, it’s crucial to understand exactly what you’re looking for in a penny stock to buy. There are a few key characteristics to look for in a penny stock – Continue Reading
What Is Stagflation & Why Does It Matter For Penny Stocks? [Answered]
Whether we’re talking about penny stocks or stocks over $100, inflation and stagflation matter in the longer-term. Sure, you’ve got individual companies that go against the broader trend. But when there are sweeping economic trends, if the trend is your friend, you’ll want to know the factors in play. – Click For Full Article
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