3 Penny Stocks to Watch in July 2021
With July around the corner, investors are searching for the best penny stocks to buy. While this can be challenging if you don’t have the right information, we’re here to help! The key to profiting from penny stocks is a combination of research and education.
On one hand, research will be your best tool for staying ahead of the game. This is a combination of constantly scouring the news, getting a real-time news feed, and staying up to date with industry-specific and company-specific happenings.
With any stocks under $5, prices move very quickly. This is known as volatility. And, this volatility is usually a direct result of speculation. Speculation is the root cause of most movement with the entire list of penny stocks, which makes staying up to date with the news, extremely important. The next benefit to your investing in penny stocks is having a trading education. This can be done with the many services online or through an intensive look at what Google has to offer.
While finding good penny stocks to buy can be relatively easy, profiting with penny stocks is a whole other ballgame. This involves knowing how to enter and exit positions when to take profit, and what to look for in chart movement. We’ve covered this extensively in our ‘Penny Stocks for Beginners’ section, which should help to get you started. So, what are the best penny stocks to watch right now? Here are three to take a look at.
3 Penny Stocks to Watch for in July 2021
- Transocean Ltd. (NYSE: RIG)
- Citius Pharmaceuticals Inc. (NASDAQ: CTXR)
- Luokung Technology Corp. (NASDAQ: LKCO)
Transocean Ltd. (NYSE: RIG)
Transocean Ltd. is a penny stock we’ve discussed numerous times in the past few months, and there are a few reasons why that is the case. For one, it is the world’s largest offshore drilling contractor and provider of drilling management services. It offers rigs to companies that wish to produce oil in offshore environments.
This includes drilling rigs, equipment, services, and more. As the pandemic comes to an end, many investors believe that energy penny stocks could benefit. With more people traveling than in almost a year and a half, there’s no doubt that oil and gas consumption will go up. When and how this will affect RIG stock, however, remains unknown.
Today on June 18th, Transocean announced that it had secured several drilling rig contracts, totaling $116 million for two of its semisubmersible harsh environment drilling rigs. The first contract was granted to begin in February 2022 and will provide $60 million to its contract backlog. The second should begin sometime by March of next year and will add $56 million to its backlog. This is exciting news and could be reflected in the company’s next balance sheet report.
It’s worth noting that RIG is a meme penny stock, which means that it is highly popular on social media. This is one of the main reasons that shares of RIG have jumped so much in the past few months. As a meme stock, RIG recently announced its plans to capitalize on its share gains by raising $400 million in a share sale. With a total of over $7 billion in backlog, Transocean looks like it is more than well-capitalized to execute on the increased oil demand globally. Considering this, will it be on your penny stocks watchlist?
Citius Pharmaceuticals Inc. (NASDAQ: CTXR)
Up by a solid 4% by midday on June 18th, in the past six months, shares of CTXR stock have risen by over 230%. This staggering rise in value is due to a few reasons in particular. To understand it, let’s talk about what CTXR does.
Citius is a late-stage biopharmaceutical company working on developing and commercializing critical care products. Its lead candidate is known as Mino-Lok, which is an antibiotic lock solution for those with catheter-related bloodstream infections or CRBSIs. The company is actively enrolling patients in a Phase 3 pivotal trial to determine the efficacy of this compound.
However, it’s worth noting that Mino-Lok already holds Fast Track Designation from the FDA. Additionally, Citius’ subsidiary, NoveCite Inc., is developing novel proprietary mesenchymal stem cell treatments derived from induced pluripotent stem cells.
These can be in use for acute respiratory conditions such as ARDS associated with Covid-19. This is a big deal, despite case numbers for Covid dwindling in recent weeks. However, many believe that Covid could remain around as a less-lethal virus such as the flu. One of the reasons that CTXR could be gaining so much is due to a correlative rise from the biotech industry.
During the pandemic, companies that are both involved in treating Covid and those that are not, have both risen in value substantially. Obviously, it depends on the compounds that the company produces and how far along they are in the trial stages. But, the sentiment remains. So, while it is difficult to pinpoint one reason, in particular, CTXR stock could be worth keeping an eye on.
Luokung Technology Corp. (NASDAQ: LKCO)
Up by a solid 8% at midday are shares of Luokung Technology Corp. Today, the company announced that its subsidiary, eMapgo, secured a contract for new generation traffic control and smart highway demonstration for the Changjiu Expressway in the Jiangxi Province of China. eMapgo will develop a 3D model for this highway project, which could provide real-time road information and operational support management systems.
“We are excited about EMG’s selection as the provider for this innovative smart highway project in Jiangxi, which we believe is a testament to our leading position in Spatial-Temporal data processing technology and high-precision map data service capabilities.
This is a new generation traffic control network and smart highway demonstration project, and Changjui Expressway would be China’s first highway that is based on this new intelligent management system, which supports road coordination and a V2X operating system.”Mr. Xuesong Song, the CEO of Luokung
For those unfamiliar, Luokung is a tech penny stock that provides location services for mapping in China. These are in use for in-car navigation as well as a variety of other purposes. As a cutting-edge tech company, Luokung has a unique position in the Chinese mapping industry. For these reasons, will LKCO be on your penny stocks watchlist?
2021 is An Exciting Year for Penny Stocks
It’s clear that the momentum we’re witnessing this year is not going anywhere anytime soon. With the exception of low volume and mostly sideways trading in the past two months or so, the majority of 2021 has been filled with bullish sentiment.
Considering that the pandemic is vastly declining in severity around the world, many believe that we could come out of Covid even stronger than before. And with so many potential-filled penny stocks right now, 2021 remains an exciting year for small-caps through and through.