3 Penny Stocks to Add to Your 2022 Watchlist
With penny stocks and blue chips climbing today, there is a lot for investors to be excited about. Now, to understand how to make money with penny stocks right now, we have to have a thorough understanding of what is going on in the stock market.
And in 2022, there are three factors at play. This includes the pandemic, inflation/interest rates, and more recently, geopolitical tensions between Ukraine and Russia. These three events have brought with them more volatility than we’ve seen in many months. And, while volatility can lead to large losses, it can be responsible for large gains as well.
So, if we know what is going on with penny stocks, we can begin to think outside of the box, and use these factors as an advantage. While trading right now is challenging, it is no where near impossible to see profitability in your portfolio. Because of that, the best course of action is to have a consistent trading strategy and use it to your advantage. Considering this, let’s take a look at three penny stocks that exploded during trading today.
3 Penny Stocks to Watch That Exploded During Trading
- Vinco Ventures Inc. (NASDAQ: BBIG)
- Cinedigm Corp. (NASDAQ: CIDM)
- TAL Education Group Inc. (NYSE: TAL)
Vinco Ventures Inc. (NASDAQ: BBIG)
One of the biggest gainers of the day so far is BBIG stock. By midday, shares of BBIG had climbed by over 10%, bringing its five day again to more than 13% with over 23% in gains in the past six months. Now, we’ve covered BBIG stock numerous times in the past few weeks and there is plenty of good reason for that.
While Vinco Ventures stock is climbing, it is also a trending penny stock across many different social media platforms. To understand why, we have to take a look at the latest news from the company. On January 27th, Vinco announced that it’s subsidiary, Cryptyde, had entered into an agreement to raise $42 million through common equity and convertible debt.
“We are thrilled to have secured this commitment for financing. We believe the capital will allow the company, after its expected spin-off, to scale its business model at an expedited pace without sacrificing shareholder value.
We are focused on executing on our vision to become a leader in the blockchain and web3 space. We are actively pursuing growth opportunities and looking to collaborate with partners.”The CEO of Cryptyde, Brian McFadden
This is great news for both Cryptyde and Vinco Ventures and shows that the company is working hard to grow. While BBIG stock is highly volatile, it is also trending heavily right now. For these reasons, do you think BBIG stock is worth buying or not?
Cinedigm Corp. (NASDAQ: CIDM)
Another major gainer of the day is CIDM stock, which pushed up by over 44% at midday. This is a major gain following months of less than stellar performance. The main reason for today’s move comes as the company reported its Q3 2022 fiscal results with record numbers.
In the results, the company reported a 42% rise in consolidated revenue coming in at $14.1 million. In addition, its streaming revenue shot up by over 104% over the previous year with ad-supported streaming revenues up around the same. And, the company brought in net income of over $4.3 million YTD which comes out to $0.03 per share.
“We had our strongest results ever in streaming this quarter, registering triple-digit growth for the fourth quarter in row. We have a unique strategy and portfolio business model in technology, content and streaming that provides multiple revenue streams to fuel this record growth and separates us from others in the space.”The Chairman and CEO of Cinedigm Corp., Chris McGurk
In the past year or so, we’ve covered CIDM stock numerous times. And due to its popularity in the market, it continues to be a highly trending penny stock. So, with this in mind, will CIDM be on your list of penny stocks to buy or not?
TAL Education Group Inc. (NYSE: TAL)
By midday, shares of TAL stock had shot up by over 21% to more than $3.78 per share. This is a substantial increase and follows other bullish sentiment that the company has seen in the past few weeks. Now, it is tough to say that TAL stock is worth buying due to issues in the Chinese education industry. However, with its beaten down value, many investors are watching it right now. Because of this, it’s worth looking into why. A few months ago, China essentially banned for-profit tutoring nationwide.
This resulted in the destruction of an almost $100 billion private education industry. The government of China has stated that the industry as a whole is detrimental to parents, children, and the budget of families as a whole. And because of this, the entire private education industry in China has had to find new ways to bring in revenue. This includes building upon, non-academic related tutoring, laying off tens of thousands of workers and more.
With this industry, it is important to pay attention to companies specifically as well as the education market at large. This will help to show where it is headed and whether or not there is money to be made right now. Considering this, do you think TAL stock is worth buying in February 2022?
Are Penny Stocks Worth Buying Right Now?
Right now is a hard time to be a penny stocks or blue chips investor. While investing in the stock market is never easy, the sheer amount of volatility we’re witnessing right now is making it even more challenging.
However, because there is so much movement in the stock market right now, there is also a large amount of potential to make money with penny stocks in 2022. But, this involves knowing not only how to trade penny stocks, but also exactly what is going on in the stock market. Considering this, do you think that penny stocks are worth buying in 2022 or not?