Are These Three Penny Stocks The Best To Buy Or Avoid Before Next Month?
Over the years, penny stocks have been one of the most popular classes of stocks among active investors. However, the biggest reason behind the popularity lies in the fact that a penny stock can often generate substantial gains within a relatively short period of time.
That being said, there are associated risks as well. Therefore, an investor needs to do his research diligently when he is thinking about buying these cheap stocks. One needs to analyze the market closely and identify some penny stocks which might be making moves. Here are three penny stocks that could find themselves on watch lists before next month.
Penny Stocks To Buy Or Watch #1: KushCo Holdings (KSHB)
The first penny stock to watch is KushCo Holdings Inc (KSHB Stock Report). This is a cannabis company based out of California. The stock had a rough time last week after it was downgraded by Benchmark analyst Mike Hickey. Hickey downgraded the stock from buy to speculative buy and blamed the 33 unexplained deaths from vape-related lung conditions on the downgrade.
The analysts also cut the target price from $7 to $5. Naturally, KushCo stock fell. However, this week the stock has turned around and recovered by roundabout 9.5% so far. This is an interesting situation for the pot stock. As most names have fallen in recent weeks, KSHB stock is seeing more bullish momentum. Could this mark a turnaround for small-cap marijuana stocks?
Penny Stocks To Buy Or Watch #2: The Flowr Corp (FLWR) (FLWPF)
The other pot penny stock that has made significant gains over the course of the past two weeks is The Flowr Corp (FLWPF Stock Report) (FLWR). This cannabis company is based out of Canada and has made a foray into Europe. Bill Kirk, an analyst at MKM Partners believes that its European operations should benefit the company significantly.
MKM initiated coverage on the penny stock and stated that the company’s EU GMP certified operation in Portugal should work as a pivot for further growth. Over the past two weeks, Flowr Corp stock has jumped by as much as 50%. Will this take a place on your penny stocks watch list this week?
Penny Stocks To Buy Or Watch #3: J C Penney Company (JCP)
Lastly, it is time to have a look at the stock of department store company J C Penney Company Inc (JCP Stock Report). The company has been in the doldrums for quite some time due to the challenge posed by online shopping counterparts. Furthermore, analysts believe that it is one of the reasons why the penny stock may be unlikely to bounce back from its present lows.
On the other hand, the company has also been making massive losses. JC Penney also has a debt burden worth billions of dollars. In such a situation, is it still unlikely that the stock is going to make a comeback? That’s a tough question to answer right now seeing that JCP stock has held an uptrend since mid-August.
Despite pulling back from period highs of $1.26, shares continue to head higher. This week, JCP stock hit highs of $1.08 marking a move of more than 100% from August 13th. Furthermore, the company has appointed key executives this month. These include a senior VP of communications as well as another SVP of planning, allocation, and pricing. Could these latest appointments help the company better streamline its operations?
