3 Penny Stocks That Investors Are Watching in May 2022
With so many penny stocks to choose from in 2022, it can be tough to figure out which ones are worth investing in. However, by doing your research and due diligence on different penny stocks, you can find the best companies that have the potential to make you money.
When it comes to penny stocks, there are a few things you should look at before making an investment. First, you want to make sure that the company is financially stable and has a good business model. Second, you want to look at the company’s growth potential. And lastly, you want to make sure that the company’s stock is trading at a reasonable price.
In 2022 and over the past few years, we’ve seen a rise in the amount of speculation in the stock market. This can be taken advantage of if used properly. One key takeaway is to understand the effects of social media on penny stocks. A lot of times, penny stocks will climb or fall based on what’s being said online. So it’s important to be aware of this and to do your own research before making any investment decisions.
Penny stocks can be a great way to make money, but you need to be careful and do your homework before investing. By taking the time to research different penny stocks, you can find the ones that have the potential to bring in consistent profits. With that in mind, let’s take a look at three penny stocks to add to your watchlist in 2022.
3 Penny Stocks to Add to Your Watchlist This Month
Fubotv Inc. (NYSE: FUBO)
By EOD on May 10th, shares of FUBO stock had shot up by over 15%. This is a substantial gain for the company and comes after a five day drop of more than 19%. In the past month, we’ve seen shares of FUBO stock fall by over 40%, which shows that today’s bullish move is important to consider. The big news for FUBO comes as the company’s CFO John Janedis, announced that he had purchased 233% more shares in the company.
Over the last year, Janedis had purchased 10.00k shares at an average price of $4.47 per share. While shares of FUBO stock have not had the best performance recently, it’s clear that some investors are trading the stock due to its high volatility. In its recently reported Q1 2022 earnings, the company posted solid revenue growth of $242 million, which is up by 102% YoY. Despite this major number, the company has still seen mostly bearish sentiment aside from trading today. So, with that in mind, will FUBO be on your penny stocks watchlist or not?
Bitnile Holdings Inc. (NYSE: NILE)
Another decent gainer of the day and a penny stock that we have discussed multiple times in the past few months is NILE stock. By EOD on May 10th, shares of NILE had climbed by over 2.2%. This comes after a one month drop of over 50%.
The main reason for the bear moves with NILE stock comes as the company has a very large correlation to cryptocurrency. And, because cryptocurrency has been very much on the decline as of late, shares of NILE have fallen suit. Only a day ago however, the company reported very solid Q1 2022 financial numbers, with revenue up by 142% over the previous years first quarter.
“We are encouraged by the Company’s momentum across its business segments. The first-quarter results represent a strong start to the year. We reaffirm our expectation to almost triple our top-line results in 2022 from 2021, growing revenue to more than $155 million in 2022.”The Chairman of Bitnile, Milton “Todd” Ault, III
This is great news for the company despite its recent less-than-stellar performance. Considering that, do you think NILE stock is worth adding to your penny stocks watchlist?
Party City Holdco Inc. (NYSE: PRTY)
At EOD on May 10th, shares of PRTY stock had climbed by over 12% to more than $1.32 per share. Similar to the other stocks on this list, PRTY stock’s fall comes after shares of the company have dropped by over 60% in the past month period. While today’s gain is encouraging, it is likely that PRTY stock will not be able to sustain this due to its most recent losses. In its Q1 2022 report posted yesterday, the company announced a net loss totaling around $26.9 million.
This comes out to $0.24 per share, which is much greater than anticipated. Despite sales climbing to $433 million over $426.8 million, the company has seen this bearish momentum due to its poor fundamentals. Although PRTY stock does look like an interesting company to keep an eye on, investors should be careful considering these financials. With that in mind, do you think PRTY is a worthwhile addition to your list of penny stocks to buy?
Are Penny Stocks Worth Trading in 2022?
Considering the sheer amount of volatility in the stock market over the past few months, there is a lot for investors to understand about trading right now.
And, with so much going on in the U.S. such as inflation, rising interest rates, and more, investors need to know exactly what trading strategy they are utilizing. This is the best and only way to ensure a high chance of profitability when it comes to trading penny stocks in 2022. So, with that in mind, do you think penny stocks are worth buying this year?