Penny Stocks To Watch To Start The Week
Penny stocks represent a high risk and high reward investment option for people. Though these stocks are volatile by nature. That’s initially based on the fact that they trade for less than $5. So, there is always the possibility of making significant profits from an investment in one of these stocks. There are also factors that involve big risk. Just as quickly as these can rise, they can also fall.
The biggest piece of advice I can give you is to do your research. Be thorough and understand why or what can make a stock move the way it is. Be aware of corporate filing dates. One example is understanding when a company will report earnings. Other factors involve companies reporting data. We’ll see the latter, frequently with biotech stocks. Furthermore, speculation is a big driver for penny stocks.
The latest focus on coronavirus stocks has investors taking a stab at every and any company remotely associated with vaccines or treatments for viruses. With this in mind, let’s take a look at a few penny stocks to watch at the start of the week.
Penny Stocks To Watch #1:
BOQI International
The breakout of the coronavirus has been one of the biggest medical scares in recent years. That has also resulted in a lot of action in the markets. BOQI International Medical (BIMI Free Report) is a pharmacy operator and medicine distributor based in China. Last week the company announced that it has enough in its inventory to meet the demand for medicines.
Based on this it didn’t come as a surprise when BIMI stock attracted investors this past week. The penny stock rallied by as much as 97% at the end of the week. “Through our supply chain and customer information management, we are contacting more pharmaceutical companies and preparing for the current epidemic and future outbreak risks,” the company said in a statement on Thursday.
Read More
- Best Penny Stocks To Trade Or Ignore This Week?
- 6 Penny Stocks to Buy Or Sell Before February; 1 Up 560% This Year
- 5 Penny Stocks On Robinhood Making New Highs Right Now
This week, BIMI already managed to jump to highs of $6.20 during premarket trading on Monday. Will this trend continue as more coronavirus cases are confirmed?
Penny Stocks To Watch #2:
Lianluo Smart
The other penny stock that made gains on Friday was that of Lianluo Smart Limited (LLIT Free Report). The stock had been in the middle of a strong rally for most of January and signed off the month with gains of 789% since January 2.
Earlier on in the month, the company had received a letter from NASDAQ with regards to non-compliance with listing standards. Since it did not have $2.5 million in shareholders’ equity it was at risk of losing its listing on NASDAQ. But this may not be the real reason we’ve seen this penny stock explode this year.
The company provides smart services and products for the medical industry. The company has a product designed for respiratory solutions. So the obvious reaction could be bullish based on the coronavirus’ impact in China, specifically. Similar to BOQI, Lianluo may have benefited greatly from the growing concern of this latest epidemic.
Penny Stocks To Watch #3:
Vaxart Inc.
Vaxart (VXRT Free Report) continues to trend amid coronavirus fears. As we discussed last month, this may be one of the few companies with an actual application specific to the virus.
Earlier this month, the company reported results from an H1 influenza oral tablet vaccine challenge study. Vaxart’s oral tablet was well-tolerated and “provided statistically significant protection against H1 influenza infection.”
[Read More] Are Penny Stocks Worth It? 5 Names To Track Right Now
Stanley Plotkin, MD, said, “If the results of the oral H1N1 influenza vaccine in this clinical trial can be reproduced with a quadrivalent mixture of strains this would revolutionize immunization against influenza, which after all is a mucosal disease.”
Late last week the company further reported that it began a program to develop a coronavirus vaccine. The company plans to create vaccine candidates and evaluate preclinical models. “We believe our oral tablet vaccines provide substantial potential advantages, especially when targeting mucosal pathogens such as flu, norovirus, RSV and the recently emerged coronavirus,” said Wouter Latour, MBA, MD. Shares are up more than 300% this year.
Penny Stocks To Watch #4:
Selecta Biosciences
Positive updates from brokerage houses are almost always a positive trigger for companies. That is what happened with Selecta Biosciences (SELB Free Report) last week. It emerged that Cantor Fitzgerald initiated coverage on the stock and revealed that it is overweight on the penny stock.
That is not all; it also set the target price to $10. That represents a premium of as much as 250%. Once the news emerged, investors piled on to the stock. During the past two trading sessions alone, SELB stock rose by 32%. Similar to the other two mentioned, Selecta also has immune-related drug platforms. Though it hasn’t been as explosive as the others, SELB stock has climbed more than 60% during 2020 so far.
Penny Stocks To Watch #5:
H2C Holdings
Last but not least, investors could also consider H2C Holdings (HCHC Free Report). It made an important announcement last week. The company reported that it had sold its entire stake in the offshore engineering company Global Marina Group to a private equity company. H2C sold its stake for $250 million, and the development resulted in a rally in the stock. HCHC stock rose by to highs of $3.38.
“We are energized to start off 2020 with the completion of the sale process, and there is no question that our patience and persistence has been rewarded with a very strong outcome for HC2 stakeholders,” said Philip Falcone, Chairman, President and Chief Executive Officer of HC2. “Over the last five years, we have built a tremendous leading company in the marine services industry, led by Ian Douglas and his GMG team, and we know they will continue to build on their success while under the JFLCO umbrella.”
