You might’ve heard something about this year’s Academy Awards, and it had little to do with the awards. In tense moments following a Chris Rock joke about Jada Pinkett Smith, husband Will Smith walked up on the Oscars stage and slapped Rock across the face. While Rock didn’t move forward with charges, the Will Smith slap at the Oscars is captivating headlines.
So, why not find some stocks that are “slapping” traders in the face (in a good way)?
Today we’re taking the topic of popular penny stocks on Reddit and turning it into a new category: Penny Stocks That Slap. The focus will be on social sentiment and market momentum heavily fueled by retail speculation.
Reddit Penny Stocks To Watch
- Mullen Automotive Inc. (NASDAQ: MULN)
- DatChat Inc. (NASDAQ: DATS)
- WiMi Hologram Cloud Inc. (NASDAQ: WIMI)
- Bitfarms Ltd. (NASDAQ: BITF)
- Hycroft Mining Holding Corporation (NASDAQ: HYMC)
Penny Stocks to Buy Now
Penny stocks are some of the most volatile, and as a result, they can return some of the most significant gains in short periods. It’s important to understand that when you’re discussing any stock fueled by retail speculation, the big market swings can happen within moments. If you’re looking for the best penny stocks to buy now and using social sentiment as a guide, keep that in mind. Here are a handful of penny stocks growing in popularity among retail traders this week. (Note: none of them slapped Chris Rock at the Oscars).
1. Mullen Automotive Inc. (NASDAQ: MULN)
One of the most popular meme stocks of the month has been Mullen Automotive. Thanks to upbeat sentiment in the EV space, in addition to the excitement for things like short squeeze penny stocks and stocks with unusual options activity, MULN shares are benefiting from multiple trends. However, the latest saw shares pulling back for the better part of the last week thanks to a mix of profit-taking and market uncertainty.
This week, however, bullishness on EV stocks, thanks to a proposed Tesla (NASDAQ: TSLA) stock split, Mullen, and other industry names are rising. What’s more, the company has also released another update that has stuck with traders. It’s expecting to report in excess of $65 million in cash and cash equivalents when it files its quarterly update. Commenting on the milestone, David Michery, CEO and chairman of Mullen Automotive, explained, “With the financing we received, we now have more than enough capital to execute on our commitments for 2022, including the start of the Mullen FIVE EV Crossover program and continued development on the Mullen ONE EV Cargo Van program. The Company’s balance sheet is the strongest it has ever been in our history.”
With its Mullen ONE coming to market next quarter, MULN stock could remain a focus of traders during the first half of the year.
2. DatChat Inc. (NASDAQ: DATS)
This week, the popular social media and encrypted messaging app company, DatChat is back in the spotlight. The company gained meme stock status during the second half of 2021, shortly after making its public debut. Via deals with notable names, including BarStool, DatChat’s platform has been introduced to the masses, but for 2022, that hasn’t necessarily resonated with the market (so far).
This week, however, things a more upbeat. DatChat reported that it’s launching metaverse advertising and an NFT monetization platform. Its VenVūū brand will become the lead on this initiative. DatChat CEO Darin Myman explained, “Each VenVūū Dynamic NFT is a unique NFT like owning your own multi-media outlet that you own and control in ‘Your World’. Not only will this create unique opportunities for supporters of DatChat, but will also be a significant contributor to our Company’s ability to grow our top-line.”
Since minting on the platform begins next month, anticipation has already started building. In addition, you’ve also got prospects of expanding into other media formats for advertising, including 3D images, virtual product placements, and wearables that DatChat says could come later this year.
3. WiMi Hologram Cloud Inc. (NASDAQ: WIMI)
Another metaverse and VR technology stock slapping this morning is WiMi Hologram. The China-based company has become well-known among retail traders for its sporadic breakouts and breakdowns over the last few months. Its most recent move saw WIMI stock surge from lows of $1.68 to highs of over $2.80 last week.
Monday morning was yet another early session of bullishness with more news that continued a string of updates this month. WiMi announced that its Holovr was approved by the Federal Communications Commission to enter the U.S. market. This platform was designed as a VR device supporting double-clicking SEe-Through in China. Everything from spacial positioning to gesture recognition is capable with the device according to WiMi. The news also comes after WIMI stock was added to the Proshares Metaverse ETF (NYSE: VERS) last week.
Given the heightened interest in cryptocurrency, metaverse, and DeFi at the start of the week, WIMI stock is on the watch list among the retail crowd.
4. Bitfarms Ltd. (NASDAQ: BITF)
Sticking with the crypto trend, Bitfarms has also gained some “slap appeal” as far ass social sentiment is concerned. The company’s shares surged during premarket trading thanks to solid Bitcoin price performance over the weekend and a new update from Bitfarms.
In this case, the Bitcoin mining company reported its financial results for Q4 2021, which demonstrated strong growth for the company. Bitfarms said it mined 3,453 Bitcoin last year at an average cost of $8,100/BTC. In addition, net income grew to $10 million during Q4, with revenues hitting $60 million. That was good for an increase of 426% for Q4 with full-year revenues of $169 million, up 388% compared to 2020. Bitfarms also has high hopes for this year based on comments made by COO Geoff Morphy, “As of March 25 th, our hashrate is 2.7 exahash per second (EH/s), up 23% for the year-to-date, and continues to outpace the BTC network’s 20% growth over the same period. With eight farms currently in production and a total of 10 planned to be operational this year, we expect to exceed 3 EH/s in early April and are continuing to work towards achieving our target of 8 EH/s by year-end 2022.”
In light of the latest excitement stemming from Bitcoin’s recent move, BITF stock could be on the watch list at the start of the week.
5. Hycroft Mining Holding Corporation (NASDAQ: HYMC)
Hycroft has now become a case of “when meme stocks collide” after one of the original memes, AMC Entertainment (NYSE: AMC), actually took a position in the popular retail penny stock. What do gold mining and movies have in common? According to AMC CEO Adam Aron, the main thread is the stock market. As Aron originally discussed, “AMC is playing on offense again with a bold diversification move. We just purchased 22% of Hycroft Mining of northern Nevada. It has 15 million ounces of gold resources! And 600 million ounces of silver resources! Our expertise to help them bolster their liquidity.”
Since the news began circulating, HYMC stock has continued surging. Month-to-date, the mining company’s shares are up more than 300%. On top of this, AMC’s CEO came out with another statement to Reuters explaining that the company might look to continue investing in meme stocks.
“I’d like to think there will be more third-party external M&A announcements going forward where AMC can reach for the stars and intriguing investments that have potentially attractive returns,” Aron told Reuters. With this backdrop, HYMC stock has begun trading higher to start the week.
Penny Stocks That Slap
High risk and high reward go hand-in-hand when it comes to penny stocks. With retail sentiment driving plenty of cheap stocks today, it’s about keeping your head on a swivel and putting a game plan in place.