3 Hot Penny Stocks to Add to Your Watchlist This Week
While markets ended on Wednesday, May 25th with some gains, there is still a lot left to be desired with penny stocks and blue chips. Right now, we are seeing major volatility across the board. And this volatility is characterized by major daily swings in both directions.
While the bulk of this has been bearish, there have been a few days such as May 25th, where sentiment is bullish. With penny stocks, we tend to use volatility to our advantage. And while we all like to see bull patterns, there is money to be made in both directions.
The key to trading penny stocks is to find those with the most potential for price movement. And this can be done by looking at factors such as recent news, price action, and volume. When we see penny stocks with high potential, we want to get in early and ride the momentum. This is how traders make money in both bull and bear markets.
As always, we know that penny stocks are notoriously volatile and speculative. So, be sure to do your own research before trading. The bottom line is that penny stocks are risky, but with the right trading strategy, they can be very profitable. Considering this, let’s take a look at three hot penny stocks to add to your watchlist right now.
3 Penny Stocks to Add to Your Watchlist Right Now
- Happiness Development Group Ltd. (NASDAQ: HAPP)
- DiDi Global Inc. (NYSE: DIDI)
- Catalyst Biosciences Inc. (NASDAQ: CBIO)
Happiness Development Group Ltd. (NASDAQ: HAPP)
On May 25th, shares of HAPP stock managed to push up by over 30% before gaining another 3.4% in after hours trading. This comes after a one month drop of over 4.8%, which makes this recent gain more exciting. While we do see gains like this without news to back it, the company made an exciting announcement on May 25th.
On the 25th, the company stated that it entered into a strategic cooperation agreement with Fujian Yiluba Automotive Service Consulting Co. The deal states that the company will sell 2,000 new energy vehicles over the course of the next three years. If you’re not familiar, HAPP offers nutritional products, and it offers cars through its subsidiary, Taochejun.
“Taochejun’s brand and its distribution ability are being recognized by a number of car manufacturers, large auto trading companies, and now a large auto service company. We believe that with the increasing orders, HAPP’s automobile business will achieve optimistic results for the following years.”The CEO of Happiness Development, Xuezhu Wang
While this is a highly volatile gain, it’s clear that the company is popular right now. With this in mind, will HAPP be on your list of penny stocks to watch or not?
DiDi Global Inc. (NYSE: DIDI)
Another major gainer on May 25th is DIDI stock. At EOD, shares of DIDI stock shot up by over 18%. And in the past five days, shares of DIDI stock have climbed by over 15%. This comes after a six month drop of over 75%. In that time, DIDI has seen a sizable amount of volatility which is worth considering.
To understand whether or not DIDI is a buy or not we have to look at the most recent announcements from the company. On May 23rd, the company announced that it provided notification to delist its American Depository Shares from the NYSE.
For some context, DiDi Global offers ride-based services in regions such as Asia Pacific, Latin America, and more. This has brought it a large amount of attention in the market in the past few months. With this considered, does DIDI belong on your penny stocks watchlist?
Catalyst Biosciences Inc. (NASDAQ: CBIO)
With over 6.7% in gains at EOD on May 25th, Catalyst Biosciences is another penny stock to watch right now. In the past five days, CBIO stock has seen an incredible 292% in gains. During that time, we’ve covered it extensively. The big news for the company came as it announced that it sold off a portion of its protease medicines to Vertex Pharmaceuticals Inc. (NASDAQ: VRTX). This sale, worth $60 million, will fund a sizable amount of business initiatives moving into the future.
“This sale is part of the ongoing strategic process that we announced in February to explore alternatives and create value for shareholders. We have significantly reduced our cash burn and continue to work with our advisors to evaluate additional strategic alternatives for Catalyst.”e CEO of CBIO, Nassim Usman
As stated earlier, we have seen a major amount of bullish sentiment with biotech penny stocks. And as a result, CBIO and other biotech companies are climbing right now. While CBIO is seeing increased volatility, it is an interesting company to keep an eye on.
Which Penny Stocks Are You Watching Right Now?
If you’re looking for penny stocks to buy, there are plenty of options to choose from. But, finding penny stocks that are worth buying can be a difficult prospect. To find the best penny stocks to buy, investors need to do their research.
There are a few things to look for when searching for penny stocks to buy. First, investors need to find companies that have strong financials. Second, investors need to find companies with solid future prospects. Third, investors need to consider what is going on in the stock market and how to take advantage. With all of this in mind, which penny stocks are you watching right now?