3 Penny Stocks to Add to Your 2022 Watchlist
There’s no one definitive answer to whether or not investing in penny stocks is worth it. It depends on a variety of factors, including your investment goals, the time horizon you’re working with, and your tolerance for risk. Generally speaking, though, stocks are a good way to make money over time if you’re willing to put in the work. That said, there are a number of reasons why stock investing can be a smart move.
For one, stocks tend to offer a higher return than other types of investments, like bonds. In addition, stocks are a liquid investment which means you can sell them at any time. When it comes to penny stocks, they do tend to be highly volatile. This means that they can go up or down in value quickly.
If you’re thinking about investing in stocks, it’s important to do your homework first. Learn as much as you can about the stock market and the stocks you’re interested in. Make sure you understand the risks involved, and only invest money that you can afford to lose. If you’re comfortable with all of that, then stocks may be a good option for you. With that in mind, let’s take a look at three penny stocks to watch in March 2022.
3 Penny Stocks to Watch in March 2022
Camber Energy Inc. (NYSE: CEI)
One of the biggest recent gainers we’ve seen is CEI stock. In the past month, shares of CEI stock have rocketed higher by more than 73%. And, during that time we’ve covered it on numerous occasions.
While CEI stock has declined by over 30% in the past months, its recent performance has helped to bring it more popularity than usual. Now, the obvious reason for this gain is that the price of energy has continued to climb in the past few weeks. And as an energy stock, Camber has a lot to benefit from this. But, in addition to having a solid placement in the fossil fuels sector, through its subsidiary Viking Energy, Camber also has exposure to renewables.
The recent rise in the price of oil due to the conflict between Russia and Ukraine has caused many investors to look for alternative fuel investments. Because of that, Camber Energy is a popular choice for many. While it is very volatile as evidenced by its trading patterns in the past year or so, this volatility is a desirable trait for some. So, with all of that in mind, do you think that CEI stock is worth buying or not?
Denison Mines Corp. (NYSE: DNN)
Another penny stock that has been extremely popular in the past few weeks is Denison Mining Corp. For similar reasons to CEI stocks gains, DNN stock has been rising as a result of the Ukraine-Russia conflict. In the past five day and one month periods, shares of DNN stock have jumped by over 7% and in the past month by over 30%.
And, in the past twelve months, shares of DNN stock have shot up by more than 43%, which is no small feat. As many investors look for renewable energy plays, uranium continues to be a top industry. While uranium has gotten a bad wrap over the past few decades, it is a relatively safe and extremely efficient method of producing energy.
Because of this, many investors believe in its long-term future. So, as the price of oil skyrockets, some traders have turned to companies like Denison Mines to begin building out their alternative energy portfolios. Similar to CEI stock, DNN stock’s popularity means that it is highly volatile. While this can be a benefit for some, for others, it may be a reason to avoid it. Considering this, will DNN be on your list of penny stocks to buy?
Yamana Gold Inc. (NYSE: AUY)
At over $5.50 per share as of the end of the week on March 11th, AUY stock is technically no longer a penny stock. However, seeing as though it was only a few days ago, it’s worth looking into. In the past month, shares of AUY have shot up by over 20% and YTD by more than 34%.
This is the result of investors turning to gold as a way to hedge bets against larger market volatility. While AUY stock has been quite volatile, the price of gold has also jumped substantially in the last few weeks. Similar to the other stocks mentioned above, Yamana Gold is seeing a benefit from the invasion of Ukraine by Russia.
Because of the instability that this has caused to world markets, many have turned to gold as a way to safeguard their investments. While Yamana has not made any announcements recently, the company does have a lot going for itself. So whether it’s worth adding to your penny stocks watchlist or not is up to you.
Are Penny Stocks Worth It or Not?
In 2022, penny stocks have seen sizable growth, but we have also seen major volatility in the stock market as a whole. While investors do believe this year will be positive for the market, there may be some turbulence along the way.
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This means that it is important to stay informed about what is happening in the market. As long as you are aware of the risks involved, penny stocks can be a great way to make money in the stock market. But, knowing your own risk tolerance and how to trade, will continue to be a major asset. With this in mind, do you think penny stocks are worth investing in this year or not?