3 Penny Stocks to Add to Your Watchlist With 2022 On The Way
With such a long list of penny stocks to watch, how can investors understand which small-caps are the best? Well, there are a handful of penny stocks that traders are watching right now. If you’ve invested in either blue chips or penny stocks in the past few weeks, you’re likely familiar with the fact that the Omicron variant of Covid is the main driver of price action right now.
Because of this, it’s crucial to stay up to date with everything that is going on in the world. In addition, having a proper trading strategy will also help to increase your chances of profitability. Considering all of that, let’s take a look at three penny stocks to watch.
3 Penny Stocks to Watch With the Market Taking a Bullish Turn
Acasti Pharma Inc. (NASDAQ: ACST)
One of the biggest gainers of the day so far is ACST stock, which shot up by around 48% to north of $1.65. This is a substantial gain and reflects the news that dropped earlier in the day. Before we get into it, it’s worth looking into what the company does.
As you may have inferred from its name, Acasti is a pharmaceutical company working on new drug delivery capabilities to address both rare and orphan diseases. The company states that its technology has the goal of improving current drugs performance as well as increasing efficacy/reducing side effects. To date, its three leading clinical assets all have Orphan Drug Designation by the FDA. In addition, the company holds over 40 granted and pending patents. Only a few weeks ago, the company announced that interim data for its PL study of GTX-104 met all primary endpoints for the trial. This compound is a formulation of nimodipine, for those suffering from Subarachnoid Hemorrhage.
Today, the reason behind ACST stocks gain comes as the analyst firm, Oppenheimer, initiated coverage of the company with an Outperform rating and a $6 price target. At under $2 per share, this is a major jump and shows that there is institutional bullish sentiment behind ACST stock. While analyst ratings are nothing to live or die by, they are worth keeping in mind. Whether this makes ACST stock worth adding to your list of penny stocks to watch, is up to you.
IAMGOLD Corp. (NYSE: IAG)
Another decent gainer of the day is IAG stock, which pushed up by around 2% at midday. This brings IAG stock’s five-day gain to almost 6%. While this may sound small, it is quite substantial for a mining stock, as they don’t tend to move frequently. And after months of less than stellar trading, this recent bullish sentiment is an interesting move in the right direction. There are a few reasons why IAG stock is seeing these gains right now.
For starters, many investors are focused on mining penny stocks right now as they present an opportunity to avoid the overall volatility of the stock market. Additionally, IAG has put out several press releases detailing results from its recent mine studies. This includes one announced last week when it stated that results from its Nelligan Gold Project confirm continuity of mineralization.
“The results of the 2021 Nelligan drill program continue to confirm the continuity of mineralization in the resource area at similar observed grades and widths as we work to improve resource classification. Importantly, our drill program continues to confirm the extension of mineralization along strike to the west – well beyond the area of the currently defined mineral resources.”The Vice President of IAMGOLD, Craig Macdougall
This is exciting news for the company and shows that its mining operations could continue to be beneficial to investors moving forward. While it is hard to say what the future of the mining industry will look like, there’s no doubt that traders are interested. Considering this, does IAG deserve a spot on your penny stocks watchlist right now?
Meten Holding Group Ltd. (NASDAQ: METX)
If you’re not familiar with Meten Holding Group, it is a popular penny stock that has been in the public eye over the past few months. While shares of METX stock are very volatile, the company has made some exciting gains during that period. Today, shares of METX stock managed to climb by over 15% before dropping to a 3% or so gain at midday. In the past six months, shares of the Chinese education stock have fallen by over 70%, which reflects new legislation put in place during that time.
For context, Meten offers a wide range of tutoring and education services in China. But, a few months ago, the Chinese government banned for-profit tutoring in place, resulting in vastly decreased revenues for METX and other similar companies. Since then, Meten has worked to find a new and potentially profitable business model that could be future-proof. And today, the company announced that it has established a joint venture with industry experts to begin developing and producing cryptocurrency mining equipment. In the beginning, the company will put in roughly $3 million into the venture for a 21% equity stake.
“We believe that the cryptocurrency and blockchain industry expertise brought by Mr. Zhijun Liu, Ms. Yunning Li, and Mr. Manning Liao will be highly complementary to our new business. We believe this joint venture will enable the Company not only to have a complete R&D, manufacturing and sales capabilities of mining equipment.”The CEO of Meten, Alan Peng
Because cryptocurrency is all the rage right now, this could be the boost that METX stock needs to see more bullish sentiment. However, it remains a highly volatile company through and through. With that in mind, will METX be on your penny stocks watchlist?
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. As a result of the sheer number of factors that are impacting the stock market right now, there is also a lot of movement to take advantage of.
As we continue to move toward the end of 2021, it’s critical to stay as up-to-date as possible with everything going on in the stock market. Considering that, which penny stocks are you watching right now?