Are These Penny Stocks Worth Watching in June 2021?
Looking for the best penny stocks to buy in 2021? There are a few things to consider when making a watchlist right now. In late June, one of the bigger impacting factors aside from Covid-19 is cryptocurrency. Yesterday on June 22nd, we witnessed both Bitcoin price and Dogecoin price drop substantially during the trading day. At one point, Bitcoin dipped below $30,000, while albeit climbing back up only a few hours later. And today on June 23rd, the complete opposite is occurring.
As of mid-morning, DOGE is up by around 13% and BTC is sitting comfortably at around $34,000 per coin. While this is not a full rebound to its previous highs, it is a great sign for bullish crypto and penny stocks investors. And while cryptocurrency and penny stocks are very different assets, they can at times trade in tandem with one another.
Additionally, today the Supreme Court ruled against the private shareholders of Freddie Mae and Fannie Mac (FNMA stock and FMCC stock), who argued to allow for the privatization of the business. This comes after a years long battle following the mortgage crisis when the Federal Government took over ownership of the agencies to avoid a further housing market crash.
In return for a major $100 billion investment into FNMA and FMCC stock, the companies would pay all profits to the Feds for the foreseeable future. And today, the Supreme Court upheld that ruling, resulting in a solid bearish drop for both these companies. So, with all of this in mind, let’s take a look at seven must-watch penny stocks right now.
7 Penny Stocks to Watch Right Now
- BEST Inc. (NYSE: BEST)
- Farmmi Inc. (NASDAQ: FAMI)
- Enzolytics Inc. (OTC: ENZC)
- Ashford Hospitality Trust Inc. (NYSE: AHT)
- Ideanomics Inc. (NASDAQ: IDEX)
- Vinco Ventures Inc. (NASDAQ: BBIG)
- Acasti Pharma Inc. (NASDAQ: ACST)
BEST Inc. (NYSE: BEST)
BEST Inc. is a penny stock we’ve been covering for quite some time now. For some context, it is a smart supply chain solutions company and logistics provider based in China. It operates proprietary technology and extensive networks to deliver both logistics and value-added services. Today, shares of BEST stock pushed up by a staggering 28% at midday, indicating solid bullish sentiment.
In China, inter-country commerce is a major industry. For that reason, the need for trucking services is always extremely high. BEST offers last-mile services, truckload brokerage, and much more, which place it as one of the most prominent logistics companies in the Chinese delivery market.
In its unaudited financial results for the first quarter of 2021, the company managed to increase its revenue YoY by more than 29% to $991 million. While it did pull in a net loss of $92 million, its EBITDA managed to remain relatively stable. This report is a reflection of both the pandemic and the end of the pandemic, which means that the negative could be taken with a grain of salt. Considering this, will it be on your watchlist?
Farmmi Inc. (NASDAQ: FAMI)
Today, exciting news dropped for FAMI as it announced a strategic investment and cooperation agreement. Before we get into it, let’s talk about what Farmmi does. Farmmi is a provider of agricultural products such as Shiitake mushrooms, Mu Er mushrooms, edible fungi, and much more. This allows it to be a major supplier of these products in China, which are in very high demand. Additionally, it exports its fungi products internationally, which has become a major market in the past few years.
Today, the company announced a strategic investment and cooperation agreement with its subsidiary Farmmi Enterprise Management Co. Ltd. and Sigma Holding Co. Ltd./Hangzhou Xuyue Interactive Culture and Media Co. Ltd. This will allow for a major expansion of its distribution network. The companies will together build a new company which will be part of a 50-year agreement to provide community group purchasing options for Farmmi’s products.
“We are partnering with two strong companies, which will give the new company the financial resources and expertise critical to a successful launch. We have conducted extensive market research and have a plan in place to ensure we move quickly and begin capturing our share of the large distribution opportunity.”CEO of Farmmi Inc., Ms. Yefang Zhang
With this big news in mind, will FAMI stock be on your watchlist moving forward?
Enzolytics Inc. (OTC: ENZC)
Up by a solid 7%, or so at midday are shares of ENZC stock. Enzolytics is a biotech penny stock that is developing and commercializing therapeutics for the treatment of infectious diseases. This includes ITV-1, a treatment for HIV/AIDS, and more. Only a few weeks ago, it announced definitive plans to advance its ITV-1 anti-HIV therapeutic in clinical trials throughout Europe. This will hopefully bring in a new and major revenue stream for the company as well as help the patients suffering from this terrible ailment worldwide.
It recently formed International Medical Partners Ltd. in partnership with several major European companies. This will help the distribution of ITV-1 in more than 27 countries across Europe. And it recently engaged Contract Research Organization Clinical Design Ltd. to establish a new drug program for human clinical trials regarding ITV-1. This is all big news and shows that ENZC is making sizable progress in the biotech industry. Whether it’s enough to consider ENZC for your list of penny stocks to watch, is up to you.
Ashford Hospitality Trust (NYSE: AHT)
AHT is another penny stock that we have discussed frequently in the past few months. After making a sizable dip yesterday, shares of AHT are correcting upward today. Ashford Hospitality is a REIT focused on the upscale hospitality market. Its investments include hotels, resorts, and more. The reason for the sizable drop yesterday came as a regulatory filing showed that a company called Seven Knots had purchased around 40 million new shares of AHT. The entity will sell shares ‘from time to time’, and its total purchase price comes out to roughly $217 million in proceeds for AHT.
While this seems like a positive announcement, the issue comes with share dilution. Of its total outstanding 200 million shares before this, 40 million more is a sizable number. This means that those 200 million shares may have just become around 20% more diluted. While this is not a huge deal in the short term, investors are waiting to see the longer-term implications of this share purchase. Considering this, is AHT worth watching or not?
Ideanomics Inc. (NASDAQ: IDEX)
Up by a solid 6%, or so at midday is IDEX stock. While big news dropped today, it’s worth understanding what IDEX does before we get into it. Ideanomics works in two main divisions; Ideanomics Mobility and Ideanomics Capital. The first is its investment into the electric car and vehicle industry, and the second contains its investments in the growing fintech market. While IDEX has a lot to offer on its own, it is also widely regarded as a meme stock that is highly popular on Reddit and Twitter.
Very recently, it announced the purchase of Soletrac, an electric tractor company based in Santa-Rosa California, for around $20 million. Last year, it provided a $1.3 million investment into the company, which we see has evolved into a complete purchase of the company. This aligns with its strategy of working to boost the EV infrastructure market.
While the electric automobile market is relatively saturated, there is a massive unmet need in agriculture. Agriculture amounts to an incredibly high demand for fossil fuels, and fuel is one of the main costs associated with producing food. For this reason, Ideanomics sees a massive opportunity here to get in early. This is big news and should be taken into consideration when looking at IDEX stock.
Vinco Ventures Inc. (NASDAQ: BBIG)
Vinco Ventures is another meme penny stock that is highly discussed across social media. While shares are down slightly today, in the past month, BBIG stock has shot up by over 35% and in the past six months by over 250%. This is a staggering gain and is reflective of both its status as a trending penny stock and its business model. Aside from the acquisition of Lomotif which we’ve discussed frequently in the past few weeks, Vinco Ventures works in the digital media and entertainment industry.
It provides investments for companies looking to grow in this market, and utilities its Buy. Innovate. Grow. Or B.I.G. strategy. After investing in these companies, it works to both scale and improve the underlying business models. Given that the demand for digital entertainment has increased substantially during the pandemic, many investors are focused on BBIG stock. With the recent aforementioned acquisition, it’s no wonder that so many traders consider it a penny stock to watch.
Acasti Pharma Inc. (NASDAQ: ACST)
Acasti Pharma Inc. is another trending penny stock and one that has posted substantial gains in the past few months. Up by around 10% today, shares have pushed up by around 45% since mid-April of this year. While ACST stock did push up by around 35% in pre-market, shares quickly corrected as soon as trading commenced. This rise follows the company’s recent plans to acquire Grace Therapeutics as well as its fast-paced development of the compound CaPre.
The company states that this acquisition will provide both revenue and a new method of drug delivery technology for treating both rare and orphan diseases. And, Grace’s most developed compound already has a clear and concise track to gaining approval from the FDA. With an approved drug, Grace could be well on the way to the commercialization phase, which is always the best aspect for investors to hear. Considering this, will ACST stock be on your list of penny stocks to watch?
Why Penny Stocks Are so Popular Right Now
Penny stocks remain some of the most popular securities for investors to buy right now. This is due to their low price and the large intraday moves we see throughout the list of penny stocks. While prices move fast and volatility is often extremely high, the opportunities here are almost unparalleled.
Considering this, there are hundreds of penny stocks showing potential right now. Utilizing research and information will help to separate the winners from the losers. With all of this in mind, it’s no wonder that penny stocks are so popular right now.