Why These 3 Penny Stocks Are Climbing Right Now
With so many penny stocks to choose from in 2022, investors need to have a consistent and well thought-out trading strategy. This will ensure that you know everything about the stocks you’re trading and have a plan for success.
[Read More] Are Penny Stocks Good For Beginners? [Answered]
In short, penny stocks are stocks that trade for less than $5 per share. Because they are so cheap, they are often volatile and can be risky if you’re not careful. However, with proper research and careful planning, penny stocks can be profitable investments.
One strategy to consider is utilizing speculation as a way to gauge when and if certain penny stocks may climb. Speculation is defined as expecting a stocks price to rise or fall based on news or events that have not yet occurred.
Essentially, you are trying to predict what will happen in the future. When it comes to penny stocks, there is often speculation about new products, partnerships, or other business ventures that could lead to an increase in stock price. To take advantage of this, investors need to know both their trading strategy and exactly what is going on in the stock market.
Of course, penny stocks are ideal for investors with a high risk tolerance because of their volatility. So, know what type of investor you are, and use that to your advantage. With that in mind, let’s take a look at three penny stocks that are climbing right now.
3 Penny Stocks To Watch That Are Climbing Right Now
- Farmmi Inc. (NASDAQ: FAMI)
- Redbox Entertainment Inc. (NASDAQ: RDBX)
- GTY Technology Holdings Inc. (NASDAQ: GTYH)
Farmmi Inc. (NASDAQ: FAMI)
At one point in the trading day, shares of FAMI stock had shot up by over a few percent before ending the day right around where it started. Despite a 24% drop in the past month, FAMI did make an exciting announcement during trading today. To understand why shares are moving up, we have to take a closer look. The company stated that it has scored a new sales order for export to Guam. This order for black Mu Er mushrooms from a long term customer of the company.
“We are excited to be expanding our sales footprint into another new territory with our latest sales win. By working closely with our customers we continue to build our sales pipeline, brand awareness and long-term business sustainability.
We are seeing the benefits of our sales efforts, which are resulting in higher customer activity than we have previously seen. We expect this trend will continue through 2022 as we focus on accelerating growth and executing on our business strategy.”
If you’re not familiar, Farmmi is a provider of agricultural products to a variety of countries around the world. This includes a variety of mushroom products such as Shiitake’s, Mu Er mushrooms, and more. While FAMI stock is highly volatile, the company has been a favorite amongst traders for quite some time. With that in mind, will it be on your penny stocks watchlist or not?
Redbox Entertainment Inc. (NASDAQ: RDBX)
One of the largest gainers of the day on April 29th is RDBX stock. By midday, shares of RDBX had shot up by more than 60% to over $5.90 per share. At this price, it is technically no longer a penny stock. Despite this, it was only a few hours before, and for that reason, it’s worth covering.
While there is no company specific news to justify this major gain, we can look at its recent announcements to see if we can deduce a reason. Only a few days ago, Redbox announced that it has transitioned in a new CFO. Mitchell Kohen will serve as the new interim CFO, and has served in c-Level positions for quite some time.
“Kavita played an important role in Redbox’s public listing and provided the sound financial leadership required to navigate the process successfully. On behalf of the Board and executive team, I’d like to thank her for her contributions over the years. We wish her the very best in her future endeavors.”The CEO of Redbox, Galen Smith
If you’re not familiar with Redbox Entertainment, it operates a variety of media outlets. This includes entertainment platforms, physical kiosk locations and much more. With all of that considered, will RDBX be on your list of penny stocks to buy or not?
GTY Technology Holdings Inc. (NASDAQ: GTYH)
Another major gainer so far today is GTYH stock. At midday on April 29th, GTYH stock had shot up by a staggering 115% to more than $6.09 per share. At this price, it’s clear that GTYH is no longer a penny stock. However, to understand why, we have to take a closer look. Early in the trading day, the company announced that it had entered into an agreement to be acquired by GI Partners. Upon market close, GTY Technology will be a private company that will continue to focus on cloud software and solutions.
“GI Partners has an excellent track record of supporting and adding value to leading software companies, and we are delighted to bring on a partner of GI Partners’ caliber. This transaction will provide immediate and substantial value to GTY shareholders. The Company will have greater flexibility to focus on executing our strategy, and we are excited to begin our long-term partnership with GI Partners.”The CEO of GTY, TJ Parass
This is exciting news for the company and will likely continue to play out in the near future. So, will GTYH be on your buy list or not?
Which Penny Stocks Are You Watching Right Now?
If you’re looking for the best penny stocks to buy right now, there are hundreds of options to choose from. But, investors need to be selective and understand exactly what is going on in the stock market and how to take advantage. Considering that there are so many factors to consider, investors can use the news to make the best choice. With that in mind, which penny stocks are you watching right now?