3 Penny Stocks to Watch As Russian Invasion of Ukraine Continues
Right now, both penny stocks and blue chips are trading in a highly volatile manner. While the market is both unpredictable and reactive, there are ways to make money with penny stocks.
But to do so involves understanding everything that is going on in the stock market and knowing how to take advantage. While there are plenty of other factors impacting the stock market right now such as rising interest rates and Covid, the most impactful is the Ukraine-Russia conflict.
In a speech given by Senate Minority Leader, Mitch McConnell, McConnell stated that “What we have in Europe now is the first shooting war since World War II.” And now, President Joe Biden will deliver remarks on today’s invasion of Ukraine. This comes after the President met with G7 leaders this morning to discuss a unified response to this event.
The first sanctions from the U.S. were guided at large Russian financial institutions, Russian elites, and the sovereign debt from the country. President Biden was quoted stating that “We’ll continue to escalate sanctions if Russia escalates.” And in line with this, Germany put forth a blockade on approvals regarding the Nord Stream 2 pipeline, adding to the long list of sanctions against Russia.
Now, many believe that the next step, although potentially catastrophic, could be cutting Russia out of SWIFT. This is a banking communications platform that links the world banking system together. However, many countries are stating that this is not necessary yet. So, with all of this in mind, let’s take a look at three penny stocks that are climbing as Russia invades Ukraine.
3 Penny Stocks That Are Climbing as Russia Invades Ukraine
- Gran Tierra Energy Inc. (NYSE: GTE)
- Clover Health Investments Corp. (NASDAQ: CLOV)
- FuelCell Energy Inc. (NASDAQ: FCEL)
Gran Tierra Energy Inc. (NYSE: GTE)
One of the bigger gainers of the day so far is GTE stock. By midday, shares of GRE had climbed by over 7% to more than $1.40 per share. This brings its five day gain to over 10%, which is no small feat. And, in the past month, shares of GTE stock have shot up by over 69%, which is a very explosive gain. Lastly, in the past six months, we’ve seen GTE stock push up by more than 186%.
All of these gains illustrate both the potential of Gran Tierra and the energy industry as a whole. The big news for GTE stock came yesterday, when the company reported outstanding financial results for its fourth quarter and full year 2021. In the results, it increased production by over 17% from 2021 alongside a 150% adjusted EBITDA increase YoY. In addition, it posted its highest free cash flow since 2012.
“After the many challenges in 2020 that the world faced, 2021 was a year of strong recovery for the energy industry and Gran Tierra.
Our top tier, low-decline, onshore, conventional asset base continued to prove its high quality as the Company returned to strong growth in 2021 in production, reserves, funds flow from operations, free cash flow, and after tax NAV per share.
We achieved strong reserve replacement ratios on both a PDP and 1P basis, driven by our successful, on-budget development programs and waterflood initiatives.”The CEO of Gran Tierra, Gary Guidry
With all of this exciting news in mind, do you think GTE is worth adding to your list of penny stocks to watch?
Clover Health Investments Corp. (NASDAQ: CLOV)
Another big gainer so far today is CLOV stock. At midday, shares of CLOV had shot up by over 15% to more than $2.30 per share. This is a substantial increase and one that comes after a few weeks of less than stellar performance. So, why are shares of CLOV stock skyrocketing right now? Similarly to GTE, Clover Health announced its Q4 2021 financial results only a day ago.
In the results, CLOV posted some outstanding updates. The company stated that fourth quarter revenue came in at over $432 million, which is a 160% YoY jump. In addition, the company stated that it should see $3 billion total revenue in 2022 with major growth occurring across its business.
“We are really excited about where Clover sits today and our prospects in the future. We are enabling physicians to provide great healthcare to all, especially those in underserved communities, and are pleased to see increasing focus from CMS on health equity.
This year, we are expecting significant growth in revenue and lives under management while at the same time we believe we are driving operating efficiencies and improved MCRs.”CEO of Clover Health, Vivek Garipalli
The company states that the fourth quarter is the culmination of several steps that it took to improve its overall standing in the market. And while it still has a way to go, these numbers are without a doubt, encouraging for investors to consider. With that considered, will CLOV be on your penny stocks watchlist next month?
FuelCell Energy Inc. (NASDAQ: FCEL)
As the price of energy skyrockets, companies involved in the sector are pushing up as well. This includes FCEL stock, which shot up by over 4.5% at midday. The latest news from the company came as its project received funding from Canada’s clean resource innovation network program.
“To demonstrate the power of our carbonate fuel cell technology, and for the project to receive this funding from CRIN, is an honor. We are confident that the pilot will deliver the significant environmental benefits that the Canadian government is looking for, while helping to decarbonize its oil and gas industry and increase its competitiveness in the global market.”The CEO of FuelCell, Jason Few
As a major player in the clean energy tech industry, FCEL stock has seen sizable hype in the past few weeks. And with the emphasis on energy stocks only continuing to increase, it’s clear that FCEL stock could be worth watching.
Which Penny Stocks Are You Watching Right Now?
While it is tough to say which penny stocks are worth watching right now, there are plenty that are making gains. As a result of the high volatility in the stock market, we are seeing plenty of opportunities for swing traders to make a profit.
Considering that there are so many factors impacting penny stocks, investors need to stay on their toes right now. With that in mind, which penny stocks are you watching as February comes to an end?