This week has gotten off to a rocky start, thanks to the news over the weekend. The latest on the Ukraine-Russia crisis has some fearing for an international conflict. Sources have cited that Russian troops poured into Ukraine’s “breakaway” region, leading to global powers moving for sanctions. Germany has already suspended its Nord Stream 2 gas pipeline, helping boost energy stocks. Meanwhile, retail investors continue to hunt for volatility in a sea of red to start the short week.
This brings us to the topic of meme stocks and other popular penny stocks on Reddit. The discussion board site and other social media platforms like Facebook and Twitter have become hotbeds for discussion. Today we take a closer look at some of the lowest-priced names in the stock market today: stocks under $1. A move of just a few pennies can equate to significant gains (or losses) in a matter of minutes. Amid mixed messaging in broader markets, small- and micro-cap stocks can become a haven for retail traders.
Penny Stocks To Buy For Under $1
- Mullen Automotive Inc. (NASDAQ: MULN)
- Evolve Transition Infrastructure (NYSE: SNMP)
- Spectrum Pharmaceutals Inc. (NASDAQ: SPPI)
Mullen Automotive Inc. (NASDAQ: MULN)
Shares of MULN stock seem to have gained some early attention today. While the broader EV space is relatively bearish, Mullen Auto shares popped early. The company was recently touted as a potential competitor for some of the top names in the industry. A retail-centric audience helped fuel this speculation. But clearly, this is a more challenging argument to cement. Shares are trading at a fraction of the price comparatively. The 3-month chart has also made the idea harder to push for, with MULN stock dropping significantly.
So what’s happening right now that has put MULN back on the radar? Aside from its emerging model in the EV space, recent above-average trading volume seems to have attracted attention over the last week. Last week the company released a letter to shareholders outlining some of its current initiatives and goals for the upcoming quarter. In particular, Mullen said it’s on track to begin deliveries of its first EV cargo vans next quarter. The company also pointed out that it has filed over 120 patents in 24 countries for its FIVE EV Crossover.
The company also pointed out new partnerships with hofer powertrain, Comau, ARRK, Durr, and DSA systems for everything from powertrain and engineering to manufacturing and vehicle production systems. The biggest question now is, with the upcoming EV roll-out next quarter, is there hope for MULN stock to turn around?
Evolve Transition Infrastructure (NYSE: SNMP)
Sticking with the EV trend, Evolve Transition has recently gained momentum. The company targets development initiatives for energy infrastructure. In particular, its focus is on energy that will lower carbon exposure to the environment.
Toward the end of last year, Evolve completed a senior leadership transition and established a new joint-venture initiative with Nuvve, Levo Mobility. The companies signed a non-binding deal to roll out electric buses and charging stations.
Since that update, the company hasn’t discussed much. But with a resurgence in alternative energy, EV stocks seem to have gained some attention in the stock market this week. Some of the other things to note on SNMP stock is above average trading volume has sparked a bit more attention. Since there’s somewhat of a focus on low float penny stocks right now, SNMP may have also gotten wrapped into the trend.
Spectrum Pharmaceutals Inc. (NASDAQ: SPPI)
Thanks to a New Drug APplication accepted by the FDA earlier this month, Spectrum Pharmaceuticals has come back into focus. The beaten-down biotech penny stock‘s price had come under severe pressure in January following its exit from the S&P SmallCap 600.
Spectrum has since recovered, and now traders appear to be watching the progress of this NDA much closer. Spectrum’s poziotinib platform is currently in review after a positive Phase 2 study in patients with metastatic non-small cell lung cancer. It also has received Fast Track destination and was given a Prescription Drug User Fee Act date of November 24th.
Now that the timeline has been outlined, the clock is ticking. Tom Riga, President and Chief Executive Officer of Spectrum Pharmaceuticals, explained in a February 11th release, “This remains an area of high unmet medical need as there are no treatments specifically approved for these patients. We are actively working with the agency to support the review process.”
SPPI stock jumped to highs of $0.81 during the premarket session on Tuesday. Now the question is can the bullishness continue into the end of February?
Should You Buy Penny Stocks Right Now?
With the way the stock market reacts to news, is it worth the risk of trading? There are plenty of uncertainties influencing prices right now. If you aren’t equipped with the right strategy, there’s a good chance you’ll lose more money than you’ll make. What’s more, penny stocks are inherently much higher risk than most other stocks due to greater volatility and lower market volume.
In many cases, the penny stocks to buy “today” could be completely out of play “tomorrow,” and retail traders need to have a short memory at times. The good news is that if you take time to learn how to trade, you’re at a significant advantage compared to the masses. If you’re new, just getting into penny stocks are coming back into the market after a long hiatus, here are a few articles to help get you going: