Penny Stocks To Watch Today After Big Updates
When it comes to finding some of the top penny stocks today, what are you looking for? Some might search for premarket momentum while others take a different approach. These traders look at certain fundamental catalysts. Whether it’s a corporate filing or a fresh company update, events tend to spark interest in certain penny stocks. One of the main things to understand is that there’s more to new than just the headline.
I know we’ve said it before. When it comes to a company announcement, it’s important to sift through the fine details. Just reading a headline can do more harm than good sometimes. Earlier this year I remember seeing one of the biotech penny stocks make an explosive run.
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I’m talking a move of over 100% even before the opening bell. That same stock continued higher into the mid-morning session. When I pulled up the newsfeed, I saw a headline that included phrases like “FDA Approves” and “COVID-19”.
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Of course, by any stretch of the imagination, the knee-jerk reaction was that this company just got FDA approval for something related to COVID. But herein lies my point. If you pulled up the press release and actually read the details, all the company did was obtain a go-ahead to submit an application for potential emergency use of a proposed COVID test.
It was nothing short of a “pending letter of intent to maybe do something soon”. But those who read the headline-only were caught in the hype. By the time people actually digested the info, the resulting vacuum created in the market was undeniable. That same high-flying penny stock saw all of its morning gains evaporate. So, if you’re looking for top penny stocks today, please do more than read headlines. With this in mind, here’s a quick list of names with new updates on Tuesday.
Penny Stocks To Watch: Freeman Gold Corp.
Shares of Freeman Gold Corp. (CSE: FMAN Stock Report) (OTC:FMANF)have been holding a level of support around $0.50 recently. The company’s stock has moved with the price of gold, in general. However, this week could be an important one to have junior gold penny stock like FMAN on the radar. Freeman’s main focus is on its Lemhi Gold property in Idaho. It comprises 30 square kilometers of highly prospective land. Its biggest initiative has been on de-risking the asset. In this instance, the company’s latest update has moved the company in that direction in a big way.
The company acquired and extinguished a back-in right from Yamana Gold Inc. (AUY Stock Report) over Freeman’s Lemhi Project. The consideration to Yamana ended up being a 5% of Freeman’s issued and outstanding shares. In short, the transaction removes the existing back-in agreement on five of Freeman’s patented claims. This results in further de-risking of the Lemhi project.
But it isn’t just the deal with Yamana alone as there are moving parts surrounding this current relationship. Yamana has already been positioning itself in this prolific region of Idaho in previous deals. For instance, its Meridian Gold subsidiary holds a 6% stake* in Revival.
Considering the hot climate for roll-ups within the arena, it begs the question of the full potential of this recent move between Freeman and Yamana. Furthermore, This summer, Freeman began a 5,000-meter diamond drill program at Lemhi. This is intended to confirm historical data and allow the use of over 355 historical drill holes in a National Instrument resource estimate.
Some of the historical drill hole results are detailed below in Table 1 and include results such as 1.80 grams per tonne gold over 193 metres, 3.94 gpt Au over 56 meters, and 1.81 gpt Au over 179.83 meters. Major Drilling America Inc has been awarded the diamond drill contract. This latest development with Yamana has sparked further attention on Freeman this week as gold prices try to push higher this month.
Penny Stocks to Watch: Basanite Inc.
Another one of the materials stocks we’ve watched this month is Basanite Inc. (BASA Stock Report). While we rarely cover OTC penny stocks, BASA shares have experienced considerably higher volume and price movement this month. When we first came across the company, BASA stock was trading around $0.54 and saw it’s first big trading day of the month. The penny stock ended up running to a high of $0.685, which has snowballed on Tuesday. BASA jumped to highs of nearly $1 and it came after the company’s premarket update.
The company announced that Adam Falkoff has joined the Company’s Board of Directors. Michael V. Barbera, Basanite’s Chairman explained, “As a member of the Power 100 list (the 100 most powerful people in Washington), Mr. Falkoff is an extremely well-connected professional advisor, who we believe will make a major contribution towards Basanite achieving its goal of becoming a major supplier to federal, state and local governments as they move forward with infrastructure construction and repair projects.”
The company has gained attention during the shift in focus toward infrastructure and construction growth. Basanite produces basalt fiber reinforced polymer – BFRP – products. These can replace steel products used for reinforcing concrete, such as rebar. The company’s product includes BasaFlex; BasaMix and BasaMesh. In July the company signed a deal with MEP® Consulting Engineers, Inc. MEP will be the exclusive provider of BFRP Reinforcing Bar and other BFRP products to the Florida-based construction community.
Penny Stocks to Watch: PolarityTE Inc.
PolarityTE Inc. (PTE Stock Report) also released big news before the opening bell on Tuesday. The company announced that its Arches Research subsidiary entered into a strategic partnership with Co-Diagnostics (CODX Stock Report). The two will look to expand Arches’ COVID-19 testing platform.
Under the agreement, Arches will provide COVID-19 testing for customers referred by Co-Diagnostics and, to support additional demand, Co-Diagnostics will provide to Arches testing equipment in exchange for Arches’ commitment to use only Co-Diagnostics tests on the equipment. Arches has previously been performing COVID-19 testing for its customers using Co-Diagnostics’ Logix Smart™ COVID-19 test kit.
Following this news, both PTE stock and CODX stock took off. Shares of PTE reached early highs of $1.27 while CODX hit $11.55 before the lunch hour. This is the first big move either of these stocks have had in weeks. Considering that COVI-19 is still, very much prevalent in the U.S. this is a key update for PolarityTE. Furthermore, PolarityTE’s CEO, David Seaburg also expressed interest in potentially including additional diagnostic testing opportunities in the future, with Co-Diagnostics.