Penny stocks aren’t for everyone. Unless you can handle risk, the micro-cap stock and small-cap stock arena may not be for you. But for those who like to walk on the wild side, the jaw-dropping gains continue to be the goal at the end of the day.
There are always a few stocks that make big moves daily. Most of the time, these are the best penny stocks to buy. So what’s trending today and are these 5 penny stocks worth buying in 2019? You be the judge.
Penny Stock #5: ATA Inc. (ATAI)
With only 23 million shares outstanding, ATA Inc. (ATAI Report) appears to be trading aggressively on April 15. Even though it’s tax day, the momentum isn’t taxing investors who are buying this penny stock. In fact, since April 8th this stock has been running hard. Just about a week ago, ATAI stock traded as low as $0.98. Fresh highs show it trading as high as $4.50.
Why is ATAI stock moving so fast? As we reported on April 9, the company is on the verge of a potential acquisition of a China-based educational services company. Added excitement around China trade talks has also helped boost attention on ATAI and other Chinese ADRs*.
Penny Stock #4: Flex Pharma, Inc. (FLKS)
Flex Pharma (FLKS Report) is another company with a low number of outstanding shares (16.07 million). There isn’t much penny stock news out on the company and no new reports out on April 15th, but the trading volume and stock price are well above average. Besides there being a bunch of chatter on penny stock message boards, the most recent news was about the company’s financial results. One highlight of note is the company’s continued efforts toward a merger with Salarius
“We continue to believe that a merger with Salarius is the best opportunity for significant near- and long-term value creation for Flex stockholders.William McVicar, Ph.D., Flex Pharma’s President, and Chief Executive Officer.
Salarius’ lead compound, Seclidemstat, is currently enrolling patients in an open-label Phase 1 dose escalation/dose expansion study in Ewing sarcoma and Salariusis also preparing to initiate additional studies in advanced solid tumors, including prostate, breast, and ovarian cancers.”
Penny Stock #3: Amyris Inc (AMRS)
In a continuation from last week, Amyris (AMRS Report) has remained bullish. AMRS stock has been in decline recently, but last week, that changed.
As we highlighted in our article, the company ran into accounting errors for its financial statements. This caused a sell-off in the company’s stock. On April 15, the company announced that it is working to pay back its convertible notes with cash from its business operations.
“It’s important to know what could be helping bolster market momentum for AMRS. A few weeks back, the company put out marijuana news. The company hit its first milestone for its cannabinoid partner, LAVVAN. They brought in the first payment of $10 million, which is part of a $300 million collaboration before future royalty payments. In March, Amyris finalized the $300 million agreement with LAVVAN back in March.”D. Marie, PennyStocks.com
Penny Stock #2: Precipio Inc. (PRPO)
This penny stock has been one that we’ve continued to follow over the last week. Precipio Inc. (PRPO Report) stock jumped again on April 15th. Once again this came after the penny stock released news before the opening bell. Precipio will be hosting a 2018 year-end conference call on May 6 after the close of trading. The company is set to file its full year, form 10-K on April 16.
This will show the financial results for fiscal 2018 ended on December 31, 2018. There will also be a compliance hearing with NASDAQ on May 2nd to discuss listing requirements for the company. Being that it is under $1 per share, Precipio is at risk of being delisted from the primary exchange.
Penny Stock #1: Fibrocell Science, Inc. (FCSC)
Shares of Fibrocell Science (FCSC Report) skyrocketed on Monday. Why did FCSC stock rise today? Before the opening bell, the company announced a collaboration agreement. Fibrocell and Castle Creek Pharmaceuticals will develop and commercialize FCX-007. This is Fibrocell’s lead gene therapy candidate. The treatment is for “recessive dystrophic epidermolysis bullosa or “RDEB.” This is a rare genetic disorder diagnosed at infancy. Since there is no known cure or treatment approved by the US FDA, there is likely an opportunity for Fibrocell to progress.
The agreement calls for Castle Creek to provide up to $20 million before the Biologics License Application gets filed with the FDA. Also, if spending for the project goes beyond $20 million, Castle Creek will need to bust out 70% of the excess costs.
Additionally, Fibrocell gets $7.5 million upfront, $2.5 million for the first patient enrolled in Phase 3 trials and $30 million after obtaining approval of the Biologics License App, with commercial readiness. There are many key milestones along the way that could see Fibrocell receiving up to $75 million.
*An “ADR” refers to a company that is foreign but