3 Penny Stocks to Watch in December 2021
With a highly volatile stock market, how can we make money with penny stocks in 2021? Well, the short answer is that there are plenty of ways to do just that. But, to truly take advantage of current market momentum, investors need to have a thorough understanding of what is causing the movement.
For starters, we have the newly announced Omicron variant. In only a few days, this variant has caused major concern globally and has sparked several sizable market drops. However, we have also seen plenty of days where the market takes a bullish turn, rebounding from previous bearish momentum.
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Of course, we also have the other effects of the pandemic, such as inflation, and a general uncertainty about the future. As a result of all of this, the stock market is more volatile right now than it has been in years. So, with all of that in mind, let’s take a look at three penny stocks that could be worth watching in 2021.
3 Penny Stocks For Your Early December Watchlist
- Federal National Mortgage Association (OTC: FNMA)
- Sphere 3D Corp. (NASDAQ: ANY)
- IAMGOLD Corp. (NYSE: IAG)
Federal National Mortgage Association (OTC: FNMA)
Federal National Mortgage Association is a penny stock that is up by more than 14% in the past five days plus a 7% gain during premarket today. This is a corporation that offers mortgage funding. It provides mortgage-related products for both single-family and multifamily properties. Furthermore, the company provides credit risk and loss control services. Its primary goal is to securitize lender-originating mortgage loans into Fannie Mae mortgage-backed securities.
The business executed its first Credit Insurance Risk Transfer transaction of the year on November 3rd. This CIRT covers the outstanding principal amount of $31.7 billion in typical 30-year original term, fixed-rate loans obtained earlier this year. This transaction transferred $1 billion in mortgage credit risk. Fannie Mae has obtained about $13.9 billion in insurance coverage on $506 billion in single-family loans under the CIRT program.
The VP of Credit Enhancement Strategy & Management, Rob Schaefer said, “We are pleased with the execution of CIRT 2021-1 and appreciate our partnership with the 20 insurers and reinsurers that wrote coverage for this deal”. In other recent news, the company just posted its October 2021 monthly summary with a lot of positive information in it.
Right now, as you may know, the real estate market is on fire. And while we don’t know how long this will last, low-interest rates and a seller’s market mean that FNMA is seeing increased attention. Noting these advancements, will FNMA be on your list of penny stocks to watch?
Sphere 3D Corp. (NASDAQ: ANY)
Sphere 3D Corp. is a penny stock that has skyrocketed by over 150% in the past six months. This company develops virtualization solutions for a variety of technology companies. In addition, Sphere 3D recently entered the cryptocurrency mining industry and purchased its first 60,000 miners. These miners are capable of producing 6 exahash of capacity. Cloud methods, virtual storage, and other features are also available through the company with its HVE-STACK, HVE 3DGFX, and HVE-VELOCITY products.
On November 15th, the company reported its third-quarter financial results for 2021. During this period, its revenue totaled $1 million, $0.1 million higher than the previous year. Its gross margin for this period was 46.6% compared to 60% last year. Sphere 3D Corp. also experienced higher operating expenses as well as higher depreciation and amortization for this period. For the first nine months of the year, the company’s revenue increased year over year. These numbers are very positive and show solid growth for the company.
“This year has also seen us complete financings in the first nine months of this year that have bolstered our balance sheet by providing in excess of $200 million of cash and a significantly increased financial flexibility to grow our business. We also sponsored our first SPAC, Minority Equality Opportunities Acquisition which successfully closed on an upsized $126.5 million IPO during the quarter.”
The CEO of Sphere 3D, Peter Tassiopoulos
Based on this new info, will ANY stock be on your penny stocks watchlist this month?
IAMGOLD Corporation (NYSE: IAG)
IAMGOLD Corporation is a gold mining corporation that has increased in value by over 7% in the last 30 trading days. While this may not seem like a lot, we don’t often see gold stocks push up this substantially. For some context, this company searches for, develops, and operates land for the purpose of producing and selling gold in several nations. IAMGOLD conducts business in North America, South America, and West Africa. The Westwood mine, the Boto gold project, and many other projects are located in these areas and provide a vast amount of resources for the company to work with.
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On November 3rd, IAMGOLD revealed its third-quarter results for 2021. On November 3rd, the company stated its third-quarter results for 2021. The mine-site free cash flow for IAMGOLD was $121.6 million, while the adjusted EBTIDA was $265.7 million. IAMGOLD also had a total net loss of $20.1 million, or $0.04 per share, during the same period. Despite certain shortcomings in its financial outcomes, IAMGOLD has seen multiple periods of high performance during this year.
“The third quarter of 2021 saw improvement in our operating performance supported by the continued strong results at Essakane. Rosebel performed in line with the revised plan. Construction activities at Côté continue to proceed well, reaching 36% project completion at quarter-end.”
The CEO and President of IAMGOLD, Gordon Stothart
With all of this in mind, will IAG stock be on your list of penny stocks to watch in December 2021?
Which Penny Stocks Are You Watching Right Now?
If you’re looking for the best penny stocks to buy, there are hundreds of options to choose from. However, it takes a keen eye and a considerable amount of research to find small caps that could be profitable.
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Considering that there is so much going on in the world, there are a lot of opportunities to make money with penny stocks. With all of that in mind, which penny stocks are you watching right now?
