Buying Penny Stocks Today? Here’s What You Need to Know
With another week of trading penny stocks and blue chips here, there is a lot for investors to know. Now, it can be challenging to make money with penny stocks in 2022 given the sheer amount of information and news that is flooding the market.
However, with a lot of bullish potential for the future, investors remain excited about what could happen in the coming months. With this in mind, let’s take a look at what you need to know about trading penny stocks today.
What to Know About Trading Penny Stocks Today
Many believe that this week could be another volatile one for both penny stocks and blue chips. With rising geopolitical tensions in Ukraine, there are concerns that conflict and an invasion of Ukraine by Russia could occur within only a few days.
In addition to this, investors are awaiting Fed money tightening policies that could go into place within the next few weeks in an effort to curb inflation. When the Consumer Price Index report for January came out last week, we saw a 7.5% increase over the previous years same period which is the largest jump in 40 years.
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While many expect the Fed to raise rates in March, the group also stated that it could impose emergency rate hikes prior to the next meeting. So, with all of this in mind, we should be in for another potentially choppy day of trading. Considering that, let’s take a look at three penny stocks that are climbing during premarket right now.
3 Penny Stocks Climbing During Premarket Right Now
- BioDelivery Sciences International Inc. (NASDAQ: BDSI)
- Kaival Brands Innovations Group Inc. (NASDAQ: KAVL)
- Motus GI Holdings Inc. (NASDAQ: MOTS)
BioDelivery Sciences International Inc. (NASDAQ: BDSI)
During premarket, shares of BDSI stock exploded by over 50% to north of $5.53 per share. This is a staggering gain and one that reflects big news that dropped recently. A few hours ago, the company announced that it has entered into a definitive merger agreement for Collegium Pharmaceutical Inc. (NASDAQ: COLL) to purchase all of its outstanding shares at $5.60 per share.
This on a fully diluted basis will value BDSI at roughly $604 million. The merger has already been approved by all directors and should go into place shortly. This is major news and represents a 50% premium to BDSI’s stock price as of only a few days ago. With that in mind, will it be on your list of penny stocks to watch?
Kaival Brands Innovations Group Inc. (NASDAQ: KAVL)
Kaival Brands Innovations Group is a penny stock that we have covered numerous times in the past few months. Today, shares of KAVL stock shot up by over 7% during premarket trading. In the past five days, shares have shot up by over 103%, which is no small feat whatsoever. For those who don’t know, Kaival is a distributor of vaporizer products including the Bidi Vapor e-cigarettes.
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Recently, the U.S. Court of Appeals for the Eleventh Circuit granted Bidi Vapor a judicial stay following the FDA issuing a marketing denial order last year. This was and is big news and continues to be the main reason that shares of KAVL stock are climbing. Considering that, will KAVL be on your penny stocks watchlist?
Motus GI Holdings Inc. (NASDAQ: MOTS)
Another major premarket gainer is MOTS stock. During premarket, shares of MOTS stock shot up by over 40% to $0.60 per share. The main news comes as the company received FDA clearance to market its Pure-Vu EVS system.
“We believe our Pure-Vu EVS system now offers physicians the right tool to help address challenging colonoscopy procedures. The development and innovation we’ve implemented in Pure-Vu EVS is the result of listening to valuable feedback from leading physicians and clinical staff that have utilized our Pure-Vu platform.”The CEO of Motus GI, Tim Moran
FDA clearance is always big news when it comes to penny stocks and this is no exception. With this in mind, do you think MOTS stock is worth watching?
Are Penny Stocks Worth Buying Today?
With so many penny stocks to choose from, finding the best ones for your list can be challenging. However, because there is such a broad array of penny stocks out there, making money with small caps can be entirely possible. Considering this, do you think penny stocks are worth buying today?