4 Biotech Penny Stocks for Your June Watchlist
When considering penny stocks this upcoming month, it’s important to look at ones with recent news, upcoming products, or future growth predictions. In the past year, biotech penny stocks have continued to perform quite well. And, they also tend to release news often, meaning they can jump or fall in value frequently.
Companies that produce medical devices or drugs for humans must go through a rigorous testing and approval process. This allows investors to track the progress of a certain product through different phase trials.
Many things should be considered when looking at a biotech penny stock or any penny stocks for that matter. A few are; its implied volatility, its product pipeline, its earnings, and the speculation on upcoming rollouts.
These key factors are reported regularly and can be telling of a company’s future success or failure. When generating a report, an analyst usually bases their buy or sell recommendation on the company’s outlook, not solely on its past performance. This is called speculation, and as we all know, it is the root cause of most penny stock price movement.
Biotech penny stocks offer multiple upside opportunities for investors. The fact that they are stocks under $5 as well as the high volume they offer means that volatility and liquidity can be quite high.
Additionally, with more than 50% of the U.S. having one dose of a vaccine, a lot of attention continues to be shed on the industry. A market trend like this, especially in a more active sector such as biotech has caused the tremendous growth we have seen in the past year.
How to Invest in Biotech Penny Stocks
When investing, risk should always be considered. This is a consistent ideal to keep in mind, but it’s especially important to consider when looking at the current market. And, this is even more important when it comes to trading penny stocks, where there has been higher than normal volatility in the past two months or so.
During that time, we also have seen many large gainers with both biotech and other penny stocks to watch. Investors who understand market trends and stay up to date with current news and reports will always be more likely to see profitability in their portfolios.[Read More] Best Biotech Penny Stocks to Buy Under $5? 4 To Check Out in May
This being said, let’s take a look at four biotech stocks that continue to see solid momentum in today’s market. These companies are receiving a lot of attention, and for good reason.
Because biotech penny stocks tend to fluctuate greatly, it is extremely important to do your own research and know exactly what you’re getting into. With that in mind, here are four biotech penny stocks to watch in June 2021.
4 Biotech Penny Stocks to Watch Right Now
- Pieris Pharmaceuticals Inc. (NASDAQ: PIRS)
- T2 Biosystems Inc. (NASDAQ: TTOO)
- Sesen Bio Inc. (NASDAQ: SESN)
- Protagenic Therapeutics Inc. (NASDAQ: PTIX)
1. Pieris Pharmaceuticals Inc. (NASDAQ: PIRS)
Pieris Pharmaceuticals is a biotechnology company that develops protein-based drugs. Its clinical-stage business model is developing Anticalin to target respiratory diseases and immuno-oncology tumor growth. It does so by focusing on disease pathways in a novel and aggressive way.
This includes suppressing tumor growth and spread by tailoring preventative medicines to their microenvironment. PIRS has validated the Anticalin proteins through clinical trials and partnerships with well-known pharmaceutical companies such as AstraZeneca, Seagen, and Servier.
Today it announced a multi-program collaborative research study with a member of the Roche Group, Genentech. It plans to research and develop respiratory and ophthalmology therapies that utilize Anticalin technology. With the resources offered by a large pharmaceutical company, PIRS has an optimistic-looking future with only a stronger pipeline sure to come.
“We look forward to working closely with Genentech on the development of new inhaled and ophthalmological treatments based on the Anticalin platform.
This collaboration further expands our partnered efforts in respiratory diseases and opens a new avenue for our Anticalin technology to potentially provide patient benefit through local biological effects. This is our second respiratory alliance with a major biopharma company.”CEO of PIRS, Stephen S. Yoder
Considering this, will Pieris Pharmaceuticals be on your penny stocks watchlist?
2. T2 Biosystems Inc. (NASDAQ: TTOO)
Another biotech penny stock that has been making waves is T2 Biosystems. This company specializes in biotechnology, offering T2 Magnetic Resonance imaging to quickly and accurately help diagnose septic ailments.
Sepsis is an illness that results in high death rates and rapid diagnosis is a crucial component of patient survival. TTOO additionally has an active pipeline that includes other rapid diagnostic tests for a variety of illnesses. These include its T2Cauris panel, T2Resistance panel, and T2Lyme panel.
The first-quarter earnings of TTOO for 2021 saw revenue growth of 173%. This could most likely be attributed to its 345% Y/Y increase in product profitability or the 85% increase in its Sepsis test use by US healthcare.
This shows wider acceptance of the importance of early diagnosis using Sepsis tests and a strong product for TTOO. Its post-pandemic commercial strategy has so far been working, seeing tremendous growth throughout. With only more to come from this intriguing company, it should be considered for your June biotech penny stock watchlist.
3. Sesen Bio Inc. (NASDAQ: SESN)
The next biotech penny stock to watch is Sesen Bio. This is a pharmaceutical company that develops cancer treatments with a focus on antibody-drug conjugate therapies. Conjugate therapies are a novel method for targeting cancers, as standard methods rely on more region-specific chemo/radiation treatments.
Its current pipeline includes Vicineum, meant for bladder, neck, and other types of cancer treatment. Currently, in the later phase trials for bladder treatment, this drug is expected to be approved for use in select European countries by early 2022.[Read More] These 4 Penny Stocks Are Down Today, Time to Buy the Dip?
The high speculation that comes with clinical-stage biotech companies makes them sometimes considered riskier investments. Not knowing the data until presented to the FDA can play a key role in price movement.
Past successful trials can help to identify if investors regard a company as either positive or negative. Without a history of past successes, it’s difficult for investors to find value in a biotech company. Because of SESN’s large pipeline and various approvals underway, will it be on your list of penny stocks to watch?
4. Protagenic Therapeutics Inc. (NASDAQ: PTIX)
The last biotech penny stock we will be taking a look at is Protagenic Therapeutics. This is another pre-clinical biopharmaceutical company, that specializes in developing novel neuro-active peptides for human therapeutics. The type of peptides it develops can treat anxiety, treatment-resistant depression, addiction, and other mental disorders.
A common thing to consider when investing in biotech penny stocks is how relevant its drugs are to today’s issues. Such is the case with PTIX. There are rising cases of anxiety, depression, and addiction due to the effects of the pandemic on individuals’ mental states. Because of this, a company like Protagenic could have a higher demand for its products in the future.
In the past, typical treatments included pain killers or decades-old anti-depression medicines. But, given that biotech has developed so much in that time, there are plenty of new compounds to consider.
In current medicine, targeted therapeutics can be developed for even the rarest of conditions. This has allowed PTIX to grow rapidly, with gross proceeds of $13.2 million in its latest financial report. With all of this in mind, Protagenic Therapeutics could be an interesting addition to your June watchlist.
Which Biotech Penny Stocks Are You Watching?
With so many biotech companies on the list of penny stocks to choose from, picking the best ones for your watchlist can be a daunting task. However, using research and a determination to find valuable companies, will always be in your best interest.[Read More] 5 Penny Stocks on Reddit For Your June 2021 Watchlist
In 2021, there are a lot of opportunities with both penny stocks and blue chips. And despite poor performance in the past month or so, investors are hopeful about the future. Considering this, which biotech penny stocks are you watching?