3 Mining Penny Stocks to Add to Your June Watchlist
While finding penny stocks in the mining industry is similar to any other penny stocks, there are a few key things to keep in mind. First, mining penny stocks can move due to different reasons than other industries. This is due to the cyclical nature of the industry, as well as the large capital expenditures required to sustain operations.
Second, it is important to research the mining penny stocks on your list thoroughly before investing. While this is true for any penny stocks, when it comes to mining businesses, investors have to look for information such as the company’s production costs, as well as its plans for growth. Lastly, it is important to have a solid exit strategy in place before investing in mining penny stocks.
Right now, we are seeing some bullish sentiment in the mining industry and specifically with gold stocks. This comes as many investors are turning to precious metals stocks as a way to hedge bets against inflation. And although no stocks are immune to the ups and downs of the stock market, gold stocks have historically performed well during times of economic turmoil. So, with all of this in mind, let’s take a look at three mining penny stocks to watch right now.
3 Mining Penny Stocks to Watch Right Now
- Harmony Gold Mining Co. (NYSE: HMY)
- Aqua Metals Inc. (NASDAQ: AQMS)
- Hycroft Mining Holding Corp. (NASDAQ: HYMC)
Harmony Gold Mining Co. (NYSE: HMY)
At EOD on June 16th, shares of HMY stock had shot up by over 4.4%. This is a sizable gain for the company, especially so considering the major losses taken on in the market today. So, why is HMY stock climbing right now and is there any company-specific news to justify it?
Well, there is no reason for HMY to be climbing on its own as the company has not released any news. However, with the recent market trends and as stated earlier, we have seen an increase in interest in gold stocks. Because gold is a safeguard asset, many investors use it to hedge bets against broader market performance.
And because of that, some have turned to HMY stock and others as the market has taken some major dips throughout the past few weeks. So, while HMY and other gold penny stocks are in no way immune to the ups and downs of the stock market, they do present an interesting opportunity for investors. Considering this, will it be on your list of penny stocks to watch or not?
Aqua Metals Inc. (NASDAQ: AQMS)
One of the larger gainers on June 16th is AQMS stock which shot up by over 16% at EOD. This major gain adds to its one month uptick of over 25%, which is no small feat. The most recent news from the company came earlier this week when it announced that it has plated high purity cobalt and produced manganese dioxide from lithium batteries.
It does this via its AquaRefining platform which is a game changer in the metals recycling industry. And while AQMS is not technically a mining penny stock, it does work in the raw materials industry. Therefore, it has some exposure to the mining markets ups and downs. When it announced this, the company stated that it should be able to scale this process greatly moving into the future.
And, the raw materials it produces can then be turned directly into products used in the production of lithium ion batteries. Predictions show that around the world, there could be over 140 million electric vehicles by 2030. This would make AQMSs technically even more useful. With all of this in mind, does AQMS deserve a spot on your penny stocks watchlist or not?
Hycroft Mining Holding Corp. (NASDAQ: HYMC)
Another decent gainer on June 16th is HYMC stock. At EOD, shares of HYMC had shot up by over 5.5%, which is a welcomed sign for investors. And, considering that AMC Entertainment Holdings (NYSE: AMC), has a large stake in the company, it’s clear that HYMC is benefitting from speculation as well. On June 16th, no news came out from Hycroft Mining to justify its gain. However, similar to HMY stock, Hycroft Mining deals with gold mining.
Therefore, investors tend to turn to the company when the economy or the stock market takes a dive. And although HYMC stock is both highly speculative and reactive, it does show some gaining potential during times of market upsets. So, while it is hard to say if HYMC stock is worth buying or not, investors do continue to see bullish trading patterns for HYMC. With this in mind, will HYMC be on your buy list this month or not?
Which Penny Stocks Are on Your Watchlist Right Now?
If you’re looking for penny stocks to buy, there are hundreds of options to choose from. In the stock market right now however, we have to consider the extreme amount of volatility that exists before making any decisions.
And because of the high inflation and sizable interest rate increases, many investors expect this volatility to continue climbing into the near future. Now, to take advantage of this, investors simply need to have a good understanding of what is going on in the stock market. This will be your best chance at making money with penny stocks in 2022. So, with all of this in mind, which penny stocks are on your watchlist right now?