Does Your List Of Robinhood Penny Stocks Have These On It?
Penny stocks are some of the highest risk investment classes in the stock market today. Yet they remain sought after by day traders and investors alike. The short-term prospects entail high-flying shares, turning a big profit quickly. On the longer-term side, getting in early, investing in an early-stage company, then seeing that position grow exponentially entices the diamond hands of the market.
No matter which side you’re on, you can’t forget the risk. Since penny stocks are so cheap, sometimes it’s easy to overlook things. One of these is that many of these cheap stocks are cheap because they haven’t turned a profit. Others may have once been market leaders but have fallen into tough times.
Take a look at companies like Hertz (OTC: HTZGQ), which has been trying to work its way out of bankruptcy for months. Its shares trade for less than $2 right now. Had you pulled up the Hertz stock symbol in 2019 before the pandemic, you would’ve seen it trading above $15 per share.
Penny Stocks Gain Popularity On Robinhood, Webull, & More
The pandemic created a whole new batch of traders that flooded the market. Thanks to lockdowns and stay-at-home orders, many sought out stocks to make money from home. This is where apps like Robinhood, Webull, Fidelity, & others gained popularity.
In particular, Robinhood was the broker of choice for millions of traders thanks to its ease of use. It does have some shortcomings. Aside from slower trade executions, it doesn’t allow most OTC penny stocks. Therefore the bulk of these stocks will be traded on the Nasdaq or NYSE.
No matter your platform, research is key when it comes to finding the best penny stocks to buy. Some will rely on things like news and filings. Other traders tend to follow social media sites like Reddit to get their information. Meanwhile, you’ve got an audience fixated on what analysts have to say. Some analysts have gotten bullish on a few of these lower-priced names in light of recent market trends.
Penny Stocks On Robinhood To Watch In April
- GT Biopharma (NASDAQ: GTBP)
- PAVMed Inc. (NASDAQ: PAVM)
- Mustang Bio Inc. (NASDAQ: MBIO)
- Seelos Therapeutics Inc. (NASDAQ: SEEL)
1. GT Biopharma Inc. (NASDAQ: GTBP)
First on this list of “Robinhood penny stocks” is the immunotherapy company, GT Biopharma. It’s a company that has made big progress in advancing its pipeline treatment, including its lead therapy, GTB-3550. Based on its novel TriKE platform technology, GTB-3550 has already shown favorably in its ongoing clinical trials.
The initial target of the treatment is in myelodysplastic syndromes and refractory/relapsed acute myeloid leukemia. Essentially, by utilizing the TriKE platform, GTB-3550 can increase the number of natural killer cells within the tumor’s own microenvironment to beef up tumor cell killing activity
In an update this week, GT Biopharma gave interim results in its Phase I/II trial. There was up to 63.7% reduction in bone marrow blast levels. It also restored patient’s endogenous NK cell function, proliferation, and immune surveillance. What’s more, there were no adverse impacts like cytokine release syndrome observed.
In response to these strong results, Anthony Cataldo, the Chairman and Chief Executive Officer of GT Biopharma said, “This data indicates GTB-3550 therapy demonstrates significant bone marrow blast level reductions in AML and MDS patients without the need for expensive progenitor-derived or autologous/allogenic cell therapies… TriKE’s ability to work in the patient without outside supplemental engineered NK cells or the need for any combination drugs, sets TriKE apart from other cancer therapies.”
It’s progress like this which seems to have grabbed the attention of analysts like Roth Capital. A few weeks back, the firm issued a Buy rating on GTBP. It also gave it a $25 price target.
2. PAVMed Inc. (NASDAQ: PAVM)
PAVMed is another biotechnology company with keen interest from analysts. In fact, this week, Cantor Fitzgerald’s Kyle Mikson initiated coverage on PAVMed. He gave the biotech penny stock an Overweight rating as well as an $8 price target. Cantor joins other firms, including Lake Street Capital and Ascendiant Capital Markets, both of which have Buy ratings on PAVM stock and price targets of $9 and $5, respectively.
But there are obvious reasons why analysts might be so bullish on PAVM. One of the main points of focus has been the company’s CarpX device. It was used in the first patient in the U.S. for carpal tunnel release. The device is patented and FDA 510(k) cleared. The single-use device can actually mimic the anatomic results of more invasive surgery.
There are also a few other things going on “under the hood” that traders should know. The company’s Lucid Diagnostics subsidiary will be spinning off into a separate public company. Lucid is set to launch a new commercialization initiative for its EsoGuard Esophageal DNA test.
With PAVmed remaining Lucid’s largest shareholder following any spin-off transaction, this could be a big opportunity for the company. PAVmed explained in the update that it anticipates a return to accelerating EsoGuard testing volume growth in the coming quarter. All things considered, PAVM stock could be one to have on your list going into April.
3. Mustang Bio Inc. (NASDAQ: MBIO)
Sticking with the biotech trend, Mustang Bio has trying to hold its own in the stock market this week. After coming back down from 2021 highs, it looks like shares have settled around the $3 level. Bullish momentum in biotech on Tuesday has helped give sector stocks a little bit of a boost as well.
In line with the other biotechs on this list, Mustang has also attracted interest from analysts. Late last week, Oppenheimer updated its price target on the penny stock from. Analysts increased the $11 target to $13 and maintained their Outperform rating.
This move came just after Mustang reported its earnings for 22020 showing year-over-year EPS growth and a cash position of nearly $100 million. The company focuses on gene and cell therapies for hematologic cancers. In its earnings update, Mustang highlighted key milestones, including ones with its MB-106 compound.
It showed an 89% favorable overall response rate in those with relapsed or refractory B-cell non-Hodgkin lymphomas. Mustang is also planning to start two pivotal MB-107 and MB-207 clinical trials for X-linked severe combined immunodeficiency (XSCID). This is an inherited immune system disorder making those with it prone to recurrent and persistent infections.
Due to all of these factors, it will be interesting to see if MBIO stock can rebound next quarter.
4. Seelos Therapeutics Inc. (NASDAQ: SEEL)
Big news struck SEEL on Tuesday as analyst group B. Riley FBR added a buy rating and a price target of $15 per share for SEEL. The firm argues that Seelos’ neuroscience pipeline could provide high value for the company as it moves forward. While $15 is a lofty goal, SEEL has been making some big moves in the past few months.
Earlier in the month, Seelos completed the open-label enrollment of its proof of concept study for SLS-002. This compound is used to treat Acute Suicidal Ideation and Behavior in those with depressive disorders. SLS-002 is intranasal racemic ketamine, which can be used as a fast-acting method to stop suicidal ideation in patients.
Raj Mehra Ph.D., the CEO of Seelos, stated that “our first look at the potential efficacy of SLS-002 in depressed and imminently suicidal patients should provide valuable insight in this large unmet need. We look forward to initiating Part 2 of this study and are continuing to identify more trial sites.”
More broadly, Seelos develops and advances novel therapeutics for patients with CNS or central nervous system disorders. This includes those with ASIB, PTSD, Sanfilippo Syndrome, Parkinson’s, and more. Its vast pipeline is one of many reasons why investors have a focus on SEEL stock right now. The SLS-002 program is ongoing and has seen a lot of progress in the past two years. While widespread approval is not yet on the table, SLS-002 is showing high efficacy in early tests. This could put SEEL stock on the Robinhood watch list in April.