3 Hot Penny Stocks to Add to Your Watchlist Right Now
Recently, we’ve seen major volatility with both penny stocks and blue chips. While volatility can be used as an advantage, for those without a well-thought-out trading strategy, it can be detrimental.
If you’re interested in investing in penny stocks, it’s important to understand some key concepts and principles. For one, you need to be familiar with what is affecting the stock market on both a short and long-term basis. You should also have a solid understanding of broader market trends so that you can anticipate changes before they happen and make smart investments accordingly.
Additionally, many investors will trade with emotion, as information is always coming out and new penny stocks will always be trending. However, the most important thing is to have a strategy and not to let emotions get in the way of making sound investment decisions. So, as we are only a few days into the month, there are many days left to see if May will turn bullish. With that in mind, let’s take a look at three penny stocks that are climbing during trading right now.
3 Penny Stocks That Are Climbing During Trading
- Clarus Therapeutics Holdings Inc. (NASDAQ: CRXT)
- DBV Technologies SA (NASDAQ: DBVT)
- Transocean Ltd. (NYSE: RIG)
Clarus Therapeutics Holdings Inc. (NASDAQ: CRXT)
One of the largest gainers of the day on May 4th is CRXT stock. By midday, shares of CRXT stock had shot up by over 17% to more than $0.83 per share. This is a sizable gain that reflects recent positivity with the company. To understand why shares of CRXT stock are moving right now, we can look at its most recent announcement. On April 28th, the company announced a notice of allowance for patent claims regarding its Jatenzo compound. For those unfamiliar, Jatenzo is the first FDA-approved oral soft gel that to be used as a testosterone replacement therapy in adult men.
“As we continue to grow the JATENZO brand, we are extremely pleased that we can further reinforce its robust intellectual property portfolio. Once issued, this new patent will be listed in FDA’s Orange Book, thus bringing the total number of patents covering JATENZO in the United States to eight.”The CEO of Clarus Therapeutics, Dr. Robert Dudley
Only a few days before this, the company announced the closing of an upsized $30 million underwritten public offering. The company states that it will use the proceeds from this offering combined with its existing cash for working capital and general corporate purposes. Considering all of this exciting news and its big gain today, will CRXT be on your penny stocks watchlist?
DBV Technologies SA (NASDAQ: DBVT)
While DBV Technologies 3.1% gain is nothing to write home about, it is substantial enough to take a closer look at. And with high volume during trading on May 4th, this bullish move could be a turnaround from its six month drop of over 56%.
The most recent news from the company came on May 2nd, when it reported its recent business developments as well as its Q1 2022 financial results. As far as updates go, the company announced that the FDA had granted it a Type C meeting regarding its new Viaskin Phase 3 study protocol. With over $74 million in cash, the company looks like it is in a decent place to continue growing its business. On May 12th, the company will host an ordinary and extraordinary meeting. And, this is the newest update that we will likely see for DBV Technologies.
If you’re not familiar, DBV is currently developing Viaskin, which is a proprietary tech platform that could have major implications for use in immunotherapy. As a leading biotech penny stock, the company is working hard to get this product approved. Although it is highly volatile, its recent volume shows that DBVT stock could be worth keeping an eye on.
Transocean Ltd. (NYSE: RIG)
RIG stock is a penny stock that we have covered numerous times in the past few months. And today, shares of RIG stock are up by over 5.7%. This adds to a five day gain of more than 8.3% and a six month uptick of over 15%. If all that isn’t enough, shares of RIG stock have also climbed by more than 35% YTD.
Aside from the recent bullish momentum in the energy sector, there is a lot to consider with Transocean itself. On May 2nd, the company reported its Q1 2022 financial results. In the results, the company posted contract drilling revenue of $586 million. This is less than the $621 million it reported during the fourth quarter of 2021. Despite this, it did see its revenue efficiency increase by around 0.4%.
“The Transocean team continued to provide safe, reliable and efficient operations for our customers during the first quarter, resulting in approximately 98% uptime performance across our global fleet.
With this consistently dependable performance, our industry-leading fleet of high-specification, ultra-deepwater and harsh-environment floaters and the continued deployment of new technologies, we are well-positioned to capitalize on the ongoing recovery in the offshore drilling market.”Jeremy Thigpen, the CEO of Transocean Ltd.
While it is tough to justify the long term future of fossil fuels, there is a lot of interesting action occurring with RIG stock right now. Whether this makes it worth buying or not however, is up to you.
Can Penny Stocks Make Gains in May?
In the past few weeks, both penny stocks and blue chips have been prohibitively volatile. And, this massive volatility has meant that investing in penny stocks is not easy. But, if we look at what is going on in the world, we can begin to find ways to take advantage of these trading patterns.
And, because there is so much movement with small caps, there are also a sizable amount of fluctuations to use to profit. So, with all of this in mind, do you think that penny stocks can make gains in May or not?