4 Penny Stocks To Watch At The Start Of The Week
This week is a short one but penny stocks are already off to a wild start. During premarket trading, headlines were flying and this time it wasn’t all about coronavirus. That is, at least, from a medical perspective. The pandemic has caused thousands of businesses to shut their doors; some maybe for good. But as it takes its toll on things like restaurants and entertainment venues, other businesses are benefiting.
Over the last few months, we’ve seen the emergence of innovation. This has come from the likes of delivery companies, car companies, and even technology companies all adjusting to help with the impact of this virus. As far as opportunity goes, many investors are flocking to the market right now.
The economic implications of this virus have seen record unemployment numbers and plenty of economic uncertainty ahead. So the name of the game is protecting profits at all times and striking when the iron is hot. Industries like biotechnology, metals and mining, as well as tech could be in play this week. With that in mind, there are a few stocks to watch right now. But will they be the best penny stocks to buy this week?
Best Penny Stocks To Buy [or sell]: XpresSpa
XpresSpa (XSPA – Free Report) has been on the list of penny stocks to watch this month. The company’s probably a bit of a familiar name if you’re a traveler. XpresSpa has those kiosks offering massage services and basic spa services in airport terminals. But the latest surge comes as XpresSpa has dipped its toes into the coronavirus arena.
XpresSpa announced on April 4 that it has advanced discussions with healthcare partners to develop its COVID-19 screening model in U.S. airports. While there weren’t any new updates this week, the momentum from last week seems to have persisted on Monday. A big focus for the country lately has been on testing for the COVID-19 virus.
- Penny Stocks On Robinhood To Watch Before Next Week
- Do These Penny Stocks Have More Upside? 2 Up Big This Week
- Best Penny Stocks To Watch Right Now? 1 Up Over 80% This Month
According to XSPA, the company said it also filed paperwork to form a new business unit to administer the screening. However, nothing definitive has been finalized. So as the company pursues options, it’s important to understand this point.
Best Penny Stocks To Buy [or sell]: Amarin Corp
Amarin Corp (AMRN – Free Report) was one of the penny stocks we discussed last week. If you’re familiar with Amarin right now and wondering why it’s one of the “penny stocks” to watch, that’s because shares got destroyed last week. This came as the company lost a battle for a patent on its lead drug, Vascepa. We watched as its share price dropped from over $13.70 to as low as $3.95 on the news. At that point was where we began to take a closer look.
But according to one analyst, Cantor Fitzerald’s Louise Chen, the decision won’t affect patent rights overseas. He says “It’s not game over yet.” Furthermore, Amarin said that it would appeal the ruling as well. The company expressed that the FDA hasn’t signed off on either of the generic companies’ applications for approval of the generic versions of Vascepa.
“Amarin strongly disagrees with the ruling and will vigorously pursue all available remedies, including an appeal of the Court’s decision and a preliminary injunction pending appeal to, if an [abbreviated new drug application] is approved by FDA, prevent launch of generic versions of VASCEPA in the United States,” said Amarin’s president and CEO, John Thero. Since these developments, AMRN stock has been steadily creeping higher. The big focus right now will be on two things. First, the overseas implications of the patents and second, the response from the FDA and it granting or not granting approval for the generic drug companies.
Best Penny Stocks To Buy [or sell]: Atossa Therapeutics
Atossa Therapeutics (ATOS – Free Report) started seeing momentum push shares higher on Monday. Over the last few weeks, shares of ATOS stock have been steadily climbing higher. Though it pulled back at the end of the week last week, the markets were eyeing the company after it released some COVID-19 related news earlier in March.
On April 6, shares of the company were halted early on due to increased volatility. Last week the company announced recent progress with a Phase 2 study administering oral Endoxifen in what’s known as “the window of opportunity” in breast cancer patients. This “window” is the time between the diagnosis of breast cancer and surgery.
Dr. Steven Quay, Atossa’s President, and Chief Executive Officer said, “Once a patient is diagnosed with early-stage breast cancer, it typically takes two to three weeks for surgery. During that time, the tumor continues to grow and we believe there is a compelling opportunity to treat these women during this ‘window of opportunity’ to reduce the tumor growth activity. Now that we have completed the treatment on a sufficient number of patients in the WOO study, we look forward to reporting initial study results.”
While this is no follow-up to previous COVID news, it does show new progress being made for its pipeline in general. Should the coronavirus disappear overnight, Atossa would still have a full business operating on other treatments.
Penny Stocks To Buy [or sell]: Digital Ally, Inc.
Shares of Digital Ally (DGLY – Free Report) also got off to a running start on April 6. The company came out with news, premarket, related to coronavirus. Specifically, the company announced it has partnered with Trust Think Products, LLC, the exclusive distributor of the Danolyte® disinfectant. Danolyte is a one-step disinfectant cleaner designed for cleaning and disinfecting hard, non-porous environmental surfaces in health-care facilities. It has also demonstrated effectiveness against viruses similar to SARS-CoV-2.
Stan Ross, CEO of Digital Ally, Inc., stated: “Amid the coronavirus pandemic, we have partnered with Trust Think Products to provide first responders with vital disinfecting products that they can trust to provide defenses against the spread of the coronavirus disease as well as many others.”
This is obviously a positive headline especially if it helps first-responders. However, it should also be pointed out that Digital Ally’s business model has everything to do with video recording products for law enforcement, emergency management, and the like. It’s not a disinfectant company or one with a publicly discussed model director at healthcare products. While volume has come into the penny stock on this headline, keep that in mind. During hype phases like we’ve seen with pot, the internet, bitcoin, etc. companies tend to lean on headlines to help build attention around them. In this case, we’ve got a video hardware and software company selling disinfectant via a partnership deal.