Looking for the best cheap stocks to buy today? I’m sure penny stocks have been something you’ve thought about, and you’re not mistaken. These low-priced shares have offered plenty of opportunity for traders that know how to navigate volatility. These aren’t for every trader but if you like high-risk situations that can lead to just as high of a reward, then keep reading.
Making money in the stock market today has become easier than ever. You don’t need to sign up with a high-cost broker or have a minimum amount of tens of thousands of dollars to open an account. It’s as simple as downloading an app and transferring over a few hundred bucks. Not only that, but since most platforms offer perks like free stock just for signing up, you technically just need to open an account, claim your shares and sell them for cash. How much cash depends on the stock you “win,” but all the same, you can literally get started trading for zero money out of pocket. Robinhood and Webull are popular platforms for offering perks like these.
Now, when it comes to finding the best cheap penny stocks to buy, you’re probably talking about stocks well below $5. Maybe you’re searching for penny stocks under $1 or somewhere in between. However, before jumping head-first, I can’t stress enough the importance of knowing how to buy penny stocks and navigate the market, in general. Get the basics down first, and you’re ready to start trading.
Best Penny Stocks To Buy Today?
In today’s article, we’ll look at cheap stocks currently trading below $5. Will they be the best to buy right now, or should you avoid them entirely. I’ll leave that up to you to decide after you see what’s driving some of these popular penny stocks today.
- BEST Inc. (NYSE:BEST)
- Tuesday Morning Corp. (NASDAQ:TUEM)
- OpGen Inc. (NASDAQ:OPGN)
- Bridgeline Digital (NASDAQ:BLIN)
- Creatd Inc. (NASDAQ:CRTD)
One of the company’s that has been on our list of penny stocks to watch for weeks is BEST Inc. While you may think that a Chinese stock like this would perform the exact opposite, this has actually gone against the grain for a few weeks. Initially, it was introduced as one of the stocks with high short interest. At the time, the short float percentage was around 36%. Since then, BEST stock has managed to rally back as much as $1.77. More importantly, this move saw it test its 200 Day Moving Average (a major moving average) for the first time in over a year.
What’s been driving momentum? Upcoming earnings may have become a source of speculation for the company. This comes after a mixed quarter last quarter. However, an upbeat outlook from management shed some brighter light on the potential outcome of the year’s operations. Specifically, CEO Johnny Chou explained, “Our Global business continued its growth momentum, with parcel volume in Southeast Asia increasing 140.7% year-over-year…Given the supportive industry regulatory environment and continued strong e-commerce growth, we are optimistic that our strategic refocusing plan will position us to deliver improved operating and financial results in the coming quarters.”
With about a month left until this next round of earnings gets delivered, there’s plenty to speculate on. BEST specializes in supply chain and logistics technology solutions for its customers in China. As reopening efforts continue, related stocks, especially involved in supply chain management, could be on the watch list.
Tuesday Morning Corp.
Another one of the companies we’ve followed closely since it dropped is Tuesday Morning. It was first brought to attention after insider activity sparked momentum in the penny stock. In total, its CEO, COO, and CMO purchased more than 760,000 shares between average prices of $1.68 and $1.81.
TUEM stock subsequently dropped after reporting lackluster earnings. According to Tuesday Morning, its first-quarter fiscal 2022 comparable-store sales were up low single digits quarter-to-date compared to the similar period in fiscal 2020. The company also expects to report an Adjusted EBITDA loss for fiscal 2022.
However, on the heels of insider buying and new additions to its leadership team, the market seems to have turned bullish over the last few weeks. There are a few big questions left to answer, however. First, will insider trading continue heading into October? Furthermore, will TUEM stock sustain these higher levels that have come in such a short period of time without experiencing a pullback? The volume will likely be something to monitor closely if TUEM is on your list of penny stocks today.
Earlier this month, OpGen announced positive data from its clinical study using its Unyvero HPN panel. The data was presented at the European Respiratory Society (ERS) conference and showed that Unyvero reduced the use of inappropriate antibiotic therapy in suspected pneumonia patients by 45.1%. This was the latest milestone in a series of big developments that OpGen has reported since May.
The company continues developing solutions for helping guide clinicians with more actionable information through the use of OpGen’s products. Other than Unyvero, the company also offers various platforms for predicting potential antibiotic responses in patients with different health indications.
While this news has helped give a substantial boost since May, recent insider activity has also helped in the near term. This month, COO Johannes Bacher and CEO Oliver Schacht each picked up $15,000+ in OPGN stock. With strong progress and optimism from management, this has become one of the penny stocks to watch during the second half of the year so far.
Shares of Bridgeline Digital spiked during premarket trading on September 22nd. While there wasn’t any apparent news to point toward, tech stocks, in general, caught some momentum early. Bridgeline specializes in cloud-based marketing providing software to its clients.
Earlier this month, the company announced that TikaPac, a marketing agency in the print industry, was able to cut its prospecting time by using Bridgeline’s WooRank SEO software. In fact, Tim Roberts, President of TikaPac, said, “The payback, if used properly, is well worth the ongoing investment in WooRank…In the same workday, I can be more productive with existing clients and get the same prospecting results in half the time.”
Something else that could be helping BLIN stock right now is a higher search volume for low float stocks. If you look at some of the recent trends, you’ll see what I mean. Things like “short squeeze,” “meme stocks,” and, yes, “low float stocks” are being heavily searched by retail traders. With an outstanding share count of under 10 million shares, BLIN is certainly falling into that category. However, something to keep in mind with low float stocks is that they can be highly volatile. Since fewer shares are “floating” in the retail market, supply and demand metrics are intensified. That means quick moves can be the result.
One of the cheaper penny stocks on this list, Creatd Inc., also spiked during premarket trading hours on Wednesday. The company focuses on content creators and technology supporting creator-first services. It’s also the parent company of the Vocal platform.
One of the exciting catalysts helping drive sentiment in the market is the company’s exposure to the non-fungible token arena. In fact, this topic was the center of attention this week. Creatd announced the debut of its NFT art. The initial release will feature six works to start and will be from the OG Collection, a library of more than 150k pieces of media originating from Bob Guccione. He was former CEO of General Media and owner of publications including Penthouse, Viva, OMNI, and Longevity.
Creatd’s co-CEO and founder, Jeremy Frommer, said, “Today’s announcement is part of a strategic initiative first introduced in April of this year. We’re thrilled to feature some of the exceptional pieces from the OG Collection by bringing it into the NFT space. These pieces are showcased through OG Gallery, Inc., which maintains a licensing agreement with OG Collection, LLC.”
Sticking with this low float stocks trend, CRTD is part of the fold. With fewer than 14 million shares outstanding, this is another one of the low float stocks to watch right now.
Penny Stocks, Low Float Stocks & More
With the Fed meeting wrapping up and comments expected from Fed Chair Jerome Powell, we are sure to see some volatility in the stock market today. Whether you’re looking for cheap stocks, low float stocks, penny stocks, or otherwise, keep in mind that this volatility will likely play a broad role across myriad market segments.
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