Are These 5 Robinhood Penny Stocks on Your July Watchlist?
Finding penny stocks on Robinhood is one of the most popular trends of 2021. While most think that penny stocks only exist on OTC markets, the fact is that a penny stock is any security trading under $5 per share. This means that there are hundreds of options to choose from on Robinhood, or wherever you buy stocks.
Now, it’s worth noting that because penny stocks are under $5, volume tends to be very high. And this means that in turn, volatility is usually very high as well. But, this is one of the main reasons that so many investors like penny stocks. The potential for profits is high, but keep in mind that the potential for losses is just as high.
So, know what you’re getting yourself into, and know how to pick the best penny stocks to buy. This involves understanding what makes a stock move, and what kind of price action investors can expect in the near future.
While it can be difficult to predict, using research as a backbone will help to give you the best idea. With all of this in mind, let’s take a look at five hot penny stocks on Robinhood that you need to know about right now.
5 Robinhood Penny Stocks to Watch
- MMTec Inc. (NASDAQ: MTC)
- Digital Ally Inc. (NASDAQ: DGLY)
- MICT Inc. (NASDAQ: MICT)
- Aehr Test Systems (NASDAQ: AEHR)
- LightPath Technologies Inc. (NASDAQ: LPTH)
MMTec Inc. (NASDAQ: MTC)
A technology penny stock company worth checking out is MMTec. This company specializes is online trading services and offers internet-based technology services to its customers. Along with that, MTC also provides services such as solutions for security market transactions and settlements. Primarily, MTC’s clients include investment advisors, worldwide brokerage firms, and trading groups.
Since mid-May, shares of MTC stock have pushed up by over 15%. While its trend for the year is down slightly, many believe that MMTec could have potential in the longer term. It’s worth noting that no news has come out of MMTec in quite a long time.
Other than its 2020 financial results, there is not too much of an indication for why its price is driving down. However, given that it does trade relatively in tandem with the market, we can attribute the bearish stock market momentum of late to MTC stocks drop in price. With this in mind, do you think MTC stock is worth adding to your watchlist?
Digital Ally Inc. (NASDAQ: DGLY)
A penny stock we have covered several times in the past few months is Digital Ally. As a company that specializes in quality video recording and video analytics, DGLY is a well-known innovator in the tech industry. DGLY focuses its efforts on sectors such as law enforcement, fleet safety, event safety, and emergency management. Currently, DGLY’s product portfolio includes vehicle and body cameras, and a large variety of safety products.
Recently Digital Ally announced its new healthcare business division, Digital Healthcare. DGLY is building it off an acquired company, Nobility, LLC, that has a long record of providing revenue cycle management services (RCM). These services have been provided to over 40 physician clients, all within diverse fields of medicine.
“We are excited with our first acquisition. As we indicated in June we have capitalized our healthcare venture with $13.5 million to make strategic acquisitions of privately held RCM companies that will provide recurring revenues and consistent profits. The first acquisition is a seasoned company with a stable, diverse client portfolio and successful track record.”CEO of Digitial Ally, Stan Ross
With both its movement into healthcare, and the advancements with Nobility LLC., it looks like DGLY could be an interesting penny stock to watch.
MICT Inc. (NASDAQ: MICT)
MICT Inc. is a penny stock that has been trending heavily over the past few months. For some context, MICT serves a large number of high-growth sectors in the international fintech space. Its specialties include online brokerage for equities trading and insurance product sales.
Since mid-May, shares of MICT stock have jumped by around 50%, which is no small feat. And, as we see it is relatively similar to MMTec in terms of its business model. Only a few weeks ago, the board of MICT announced a $60m capitalization for its subsidiary, Magpie Securities. The goal with this large funding is to provide the funds for the launch of a new trading platform.
The CEO of MICT, Darren Mercer, states that “With the upcoming launch of our mobile stock trading app, the $60m investment in Magpie will properly capitalize the business to support our ambitious growth plans to provide the ability to offer competitive margin and IPO funding to our underlying customers.”
This is big news for MICT and investors alike. And while the trading platform market is highly competitive, it looks like MICT is well-positioned to take advantage moving forward. Whether this makes MICT stock worth watching right now is up to you.
Aehr Test Systems (NASDAQ: AEHR)
Another penny stock worth adding to your July watchlist is Aehr Test Systems. This technology company specializes in test systems for burning-in and testing logic, optical, and memory integrated circuits. It has over 2,500 systems installed internationally and has developed a large variety of innovative products.
If we consider that the market for computer chips is extremely in demand right now, we see just why AEHR is getting so much attention. While it is not a producer of these chips, it does work as an ancillary company in the industry. In the past six months, shares of AEHR stock have rocketed higher by around 31%. Over the past twelve months, that number shoots up to over 45%.
Only recently, Aehr Test Systems won a $2.9 million follow-on order for its FOX-XP Wafer Level Test and Burn-in system as well as multiple WaferPak Contactors from its lead silicon carbide customers. While this alone is not a be-all-end-all deal, it is a big step for the commercialization of its products. Additionally, large orders tend to help with the notoriety of a product and can lead to more orders in the future. With a strong portfolio and several long-term contracts in place, is AEHR a candidate for your July watchlist?
LightPath Technologies Inc. (NASDAQ: LPTH)
When considering tech penny stocks, it’s crucial to look at the financials it produces as well as the sector that it works in. LightPath Technologies operates in infrared photonics and optics solutions for a variety of industries. Primarily, it serves clients in the commercial, defense, industrial, medical, and telecommunications industries. LPTH produces and assembles a variety of different and specific lenses for imaging. One of the areas with increasing demand for LPTH right now is its high-precision molded glass optics.
Concerning this, LPTH announced that a $2.4 million supply agreement had just been renewed with a rise of 50% over its previous contract. This will be a multi-year agreement that requires LPTH to supply two types of glass aspheres. These aspheres will enable industrial engineering companies to manufacture precision measurement and motion control devices.
Again, this is another clear example of the adoption of a product, and the increased demand as a result. Right now, there is a lot of attention on LPTH as it continued to make big headway in the optical market. Whether this makes LPTH stock worth adding to your watchlist is up to you.
Are These Penny Stocks on Your Watchlist Right Now?
Finding the best penny stocks to buy for your watchlist can be easy with the right research on hand. But, knowing how and where to find that research is the difficult part.
With the power of the internet, anyone can be as informed as the best traders out there. And, with so many penny stocks to choose from, understanding what makes them move will be a major benefit. So, with all of this in mind, are these penny stocks on your watchlist right now?