4 Penny Stocks Trading Higher Before The New Year; Are They Still A Buy?
Wednesday, December 30th was an overall good day for penny stocks. As we turn the corner on 2020, investors are still looking for last-minute opportunities. And with a new year ahead, we could be in store for some much needed economic recovery. One thing to keep in mind is that penny stocks are quite volatile. Given that this week ends tomorrow for markets, investors should take the time to find penny stocks that may be profitable in the foreseeable future. To do this, investors should first start considering which areas of the stock market may receive a boost in the coming weeks.
With the election of President Biden, this could be anything from cannabis penny stocks to electric vehicle and renewable energy penny stocks. In addition, the Covid pandemic continues to highlight several biotech and biopharmaceutical companies as well. While this year has not been one to remember by any means, it has shown a lot of positive sentiment for low-priced stocks.
Although we cannot predict the future, vaccine hopes show that we could be headed in the right direction. With all of this in mind, investors should make sure to stay up to date on what is occurring in the stock market. All of these factors considered, here are four penny stocks that started trending during Wednesday’s session. Will they be top penny stocks to buy now or should you avoid them before the new year?
Penny Stocks To Buy Now [or avoid entirely?], you decide:
- Qudian Inc. (QD Stock Report)
- Aikido Pharma Inc. (AIKI Stock Report)
- Canaan Inc. (CAN Stock Report)
- Boxlight Corp. (BOXL Stock Report)
Top Penny Stocks To Buy Now [or avoid]: Qudian Inc.
Qudian Inc. is a China-based consumer finance company that climbed big on December 30th. While many big price jumps go unexplained, there is an interesting reason for this price swing. On December 30th, the EU announced that it had finalized an agreement for one of the largest investments between the EU and China. This deal took seven years in the making, and should help to stimulate the economies of both regions of the world.
In the case of China, the financial sector received a big boost during the trading day. This includes companies like Qudian Inc. and others. While this is a speculative gain for the day, it seems as though there could be a positive lasting impact of this trade deal. In addition, the deal was signed, but it has not yet been fully ratified by all parties involved. This deal, however, is great news for a wide variety of Chinese and European industries.
In addition to this, Qudian Inc. announced its Q3 financial report on December 14th. In the report, the company announced that it brought in revenue north of $125.1 million. While this is a decline of around 65% over the previous year, we have to take into consideration the effects of the pandemic. In addition, EPS came in at around $0.32 which is good, but around 32% less than the same quarter of 2019. In light of the recent developments between the EU and China, will QD be one of the names on your list of penny stocks to watch heading into the New Year?
Top Penny Stocks To Buy Now [or avoid]: Aikido Pharma Inc.
Aikido Pharma Inc. is one of the biggest gainers of the day, pulling in around 53% in gains by EOD. While no news specifically came out leading to this gain, many biotech penny stocks saw bullish sentiment on December 30th. For some context, the company works as a biotechnology business specializing in anti-cancer therapies.
The company states that it is in the process of creating several novel drugs that can be used to treat various types of cancer. In addition, Aikido Pharma is currently working on an antiviral drug platform that could be useful intreating influenza as well as Covid-19. This seems to be one of the major catalysts for Aikido Pharma right now. With covid cases rising around the world, it seems as though Aikido is seeing newfound popularity.
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A few months ago, the company released a report detailing how it is utilizing AI in its drug research. The company is currently working with Cogia Biotech, to produce big-data and AI led results. Anthony Hayes, CEO of Aikido stated that “we are extremely pleased with the progress that Cogia has made in this research project, and are enthusiastic about their continued efforts to develop panels of markets that will rapidly identify patients who have initiated early events in pancreatic cancer.” While this section of its business is not receiving as much attention as its Covid work, it looks like Aikido is moving forward on several fronts.
Top Penny Stocks To Buy Now [or avoid]: Canaan Inc.
Canaan Inc. is a penny stock that we have been discussing for several months at this point. Since the beginning of the fourth quarter, shares of CAN stock have shot up by around 130%. For some background on the company, Canaan Inc. is a tech company, producing circuity and final system products for bitcoin mining and blockchain development. With the increased popularity of cryptocurrency, companies like Canaan Inc. have seen a lot of momentum this year. Canaan also states that it is working in the artificial intelligence field, with datacenter operations and more currently occurring. One of the driving factors of CAN stock’s price is the price of bitcoin.
In the past few weeks, bitcoin has shattered previous price records, hitting new all time highs. With a 5% or so gain on December 30th, it makes sense that CAN stock also saw a correlative price increase. Nangeng Zhang, CEO of Canaan recently stated that “cryptocurrencies have gradually entered mainstream consciousness, captivating institutional investors and banking institutions alike…As we enter the new year full of promise, what hen lies ahead for the future of bitcoin mining as the industry continues on its path of innovation.”
One thing to keep in mind is that bitcoin and CAN stock are both notoriously quite volatile. But, with this information considered, it’s up to investors to decide if CAN one of the top penny stocks to buy heading into 2021.
Top Penny Stocks To Buy Now [or avoid]: Boxlight Corp.
Boxlight Corp. is a company that works in the field of interactive technology. This means that it offers collaboration software, as well as other integrated communication solutions to help businesses and organizations grow. This type of technology has become increasingly important and popular during the pandemic. With so many businesses and organizations going virtual, businesses like Boxlight Corp. have been able to capitalize. The main reason for BOXL stock’s gain on December 30th deals with its subsidiary Clevertouch. On Wednesday, the company announced that Clevertouch gained a significant market share in Australia through ASI Solutions.
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The president of Boxlight, Mark Starkey, stated that “the success from the partnership between Clevertouch and ASI Solutions is staggering. Clevertouch began working exclusively with ASI Solutions in Australia about 18 months ago and has had significant success in the region, increasing market share from a rank outside to the #1 spot for Interactive Flat Panel sales in 2H 2020.”
While this is good news, the company still has a long way to go in its global markets. But, the success of this business in Australia is undoubtedly illustrating that Boxlight could be moving in the right direction. So, does this make BOXL stock a penny stock to watch?