Are These Penny Stocks Set For New Highs This Month?
The most attractive aspect about investing in penny stocks is the fact that these cheap stocks trade below $5. As a result, it’s possible for investors to buy penny stocks in bulk. Penny stock trading is lucrative because a small rise in price can often result in big gains. These big gains tend to happen after strong penny stock news or industry events.
[Penny Stocks 101]
However, the investor needs to do research diligently and make a list of penny stocks at first. From there you can widdle down that list further by choosing a select few that meet your criteria. Keeping an eye on the market and watching the latest moves among penny stocks is also necessary.
A very good way to find those penny stocks revolves around news, mentioned earlier. After a busy week at the market, let’s take a look at 5 penny stocks to watch heading into next week.
Penny Stocks To Watch #5 Community Health Systems Inc. (CYH)
The first of the penny stocks to watch on this list is Community Health Systems Inc. (CYH Stock Report). This is a healthcare company that operates general acute care hospitals and we’ve discussed it many times before. The company owns over 103 hospitals across 18 states. On September 20th alone, the stock went up 4%. However, Community Health’s month of September, in general, has been nothing short of amazing.
The move in September started on August 28th. Since that date, the penny stock has climbed over 104% and has not shown signs of slowing down. This move was prompted by the company announcing that it had completed its divestitures for some of its hospitals. In addition, the CEO and chairman of Community Health, Wayne T Smith, bought up $2.4 million shares of its stock.
Penny Stocks To Watch #4 Akorn Inc. (AKRX)
The next penny stock making people money this week was Akorn Inc. (AKRX Stock Report). It’s a biotechnology company that specializes in difficult-to-manufacture sterile and non-sterile dosage products. The company sells both consumer and animal health products. Akorn boasts a catalog of over 150 different medical treatment products that vary in distribution method.
Since the beginning of September, Akorn’s stock has caught a strong wave of momentum. The penny stock’s price has increased over 41% going from $2.68 to $4.12. In late August the company announced that it received FDA approval for its Azelastine Hydrochloride Nasal Spray. The company had sold about $18 million worth of the product a year before the approval. This is proof that there is a strong market for its treatment product.
Penny Stocks To Watch #3 GameStop (GME)
One of the other penny stocks we’ve discussed in the past is GameStop Corp. (GME Stock Report). The company is in the consumer sector that sells video games and electronics. It is known as one of the premier walk-in stores for consumers video game needs. As Amazon grows, companies like GameStop will look for new ways to grow which could provide a good investment opportunity. But it has been a relatively volatile time for the company.
GME stock has been hammered for the last 3 years. The stock was trading at $30 and is now all the way down below $5. However, the last 30 days have been especially bright for GameStop. The stock has grown by nearly 40% and is being pushed by an influx of volume and news.
The company redid its website, announced Q2 financials, and announced its 3rd PRO DAY sale. It has also attracted interest from big-name investors as we discussed in the article, “3 Penny Stocks To Add To Your Watchlist In September.”
Penny Stocks To Watch #2 Eros International (EROS)
The other penny stock that made a significant move this week was Eros International Plc (EROS Stock Report). The company announced a landmark partnership with tech behemoth Microsoft, by way of which it is going to help the company in building its third-generation online video platform.
The product in question is meant for Microsoft Azure customers and it goes without saying that it is a massive deal for Eros. The penny stock started climbing once the news of the deal became public and on Thursday alone, the Eros stock had managed to gain as much as 38%. EROS stock has proven to be a top performer and one that has been reported on as well. We noted this company at the end of August, “5 Penny Stocks To Buy Or Avoid Next Month?” It has certainly lived up to the hype so far.
Penny Stocks To Watch #1 DURECT Corporation (DRRX)
The final penny stocks watch list company is DURECT Corporation (DRRX Stock Report). This is a biopharmaceutical company focused on treating diseases with unmet needs. More specifically, treatments for alcoholic hepatitis and non-alcoholic steatohepatitis. The company’s lead product is called Dur-928 and it is currently in its Phase 2 clinical trial. DUR-928 is designed to both of those forms of hepatitis listed earlier.
DRRX stock has been on a roll the past 3 trading sessions. This was thanks to the company announcing the positive data from DUYR-928’s Phase 2a trial. The announcement revealed that DUR-928 had a statistically significant lowering in Lille scores. Lille scores help identify the prognosis of alcoholic hepatitis patients 7 days after treatment.
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Since this news came out, the biotech penny stock is up nearly 25%. On top of that, DRRX has been one of the top penny stocks to watch all year after achieving a monstrous and steady move up of 356%. Can you believe shares were traded at only $0.48 on the first trading day of 2019?