Monkeypox stocks are beginning to capture broad market attention, and, yes, penny stocks are among the most speculated upon. But there are a few things you have to understand when approaching this niche. Like COVID stocks, more assumptions are being made about “what might happen” than are actually confirmed.
We saw this occur with several of the hottest monkeypox stocks this quarter. Namely, Siga Technologies Inc. (NASDAQ: SIGA) and several other companies developing potential treatments. While many have enjoyed significant moves higher, most are trading far off their highs.
Why are some monkeypox stocks down right now?
It has to do with comments from the FDA. In Siga’s case, the Administration came out and said that Siga’s Tpoxx had no human data demonstrating the efficacy of the treatment for monkeypox. In addition, the FDA also explained that it already has an FDA-approved vaccine for preventing monkeypox disease and an FDA-cleared diagnostic test.
So why are other monkeypox stocks trending in the stock market today? Much like the coronavirus pandemic, where only a few vaccines gained mass adoption, it was diagnostic companies and ones developing preventative platforms that continued capturing attention. Think back to disinfecting companies, mask businesses, and testing & diagnostic companies. These tended to trend a bit longer after the market decided there were viable drugs and drugmakers to watch. Is this the case today?
Monkeypox Stocks To Watch
Headlines spanning the globe have highlighted the spread of the virus. Today French Health Minister Francois Braun said 2,271 people were now infected with monkeypox in France. This comes after California declared a State of Emergency over the outbreak earlier this week. They are the latest state to join the growing roster following this course of action. Illinois and New York have also declared states of emergency.
“Monkeypox is a rare disease caused by infection with the monkeypox virus…[it] is part of the same family of viruses as variola virus, the virus that causes smallpox. Monkeypox symptoms are similar to smallpox symptoms, but milder, and monkeypox is rarely fatal….[it] is not related to chickenpox,” the CDC notes on its website.
Some preventative suggestions offered by the CDC include home disinfection, testing, and personal protective equipment, among other things. In light of this, and that nearly every state in the United States has recorded cases, monkeypox stocks remain a focus. This time, it might be more of a “picks and shovels” as opposed to a vaccine treatment development point of interest.
Best Penny Stocks To Buy
Thanks to the breakout of stocks like HKD, AMTD, and others, small-cap stocks and penny stocks, in general, have gained a very bright spotlight. The “monkeypox prevention stocks” came about today thanks to a big move in Applied DNA (NASDAQ: APDN).
Shares of APDN stock exploded after the company announced that it began analytical validation of a PCR-based monkeypox virus test. If it gets validated, the company has plans to submit a package to the New York State Department of Health for approval. As of its postmarket highs of $5.68 on Tuesday, APDN stock made a move of 787% from its premarket lows of just $0.64.
If this sympathy sentiment is something that has piqued your interest, it’s essential to understand that speculation is playing a significant role right now. Given this as the case, there’s no shortage of volatility and potential for big moves in either direction, as we’ve seen with the likes of SIGA stock and others.
- Chembio Diagnostics Inc. (NASDAQ: CEMI)
- Aethlon Medical (NASDAQ: AEMD)
- E-Home Household Service Holdings Ltd. (NASDAQ: EJH)
- Tonix Pharmaceuticals (NASDAQ: TNXP)
Chembio Diagnostics Inc. (NASDAQ: CEMI)
Shares of Chembio (CEMI Stock Report)caught a massive surge in trading activity in the stock market today. CEMI stock traded its highest single-day volume in 2022 on August 2nd. The company offers point-of-care diagnostic services focused on infectious diseases. With a speculative focus, it had several keywords that helped trigger the attention of those looking for companies in this niche of monkeypox stocks.
Given the list of panels that Chembio currently offers, CEMI stock may be gaining some speculative momentum as a result. The company has stated that its DPP technology also offers broad market applications beyond infectious disease. Though, there is not a direct link to monkeypox itself. With upcoming earnings this week, it will be interesting to see if Chembio comments on how it may (or may not) be addressing the uptick in monkeypox cases and if it will work toward developing a viable solution.
Aethlon Medical (NASDAQ: AEMD)
Aethlon’s (AEMD Stock Report) pipeline of treatments targets organ-threatening diseases. Its Hemopurifier has been studied to fight future COVID-19 variants that can impact the efficacy of certain vaccines. It was given Breakthrough Device status in treating patients with metastatic cancer, and an Investigational Device Exemption was granted in 2019 for cancer. It was also updated to include a clinical study of patients with viral infections, including COVID.
Unlike Chembio, there has been mention of monkeypox directly. Aethlon says that “pre-clinical Hemopurifier studies have validated the broad-spectrum capture of numerous viral threats. These include Chikungunya, Dengue and West Nile virus, as well as Vaccinia and Monkeypox, which serve as models for human Smallpox infection.”
Given this link, AEMD stock could be on the list of penny stocks to watch as monkeypox cases increase.
E-Home Household Service Holdings Ltd. (NASDAQ: EJH)
Shares of E-Home Household (EJH Stock Report) have traded higher since it released news on July 27th linking it to monkeypox. The company offers household services in China. Everything from housekeeping and nannying to elderly and hospital care fall in its basket of services. However, late last month, E-Home announced monkeypox-related news, placing it on the radar for some traders.
E-Home reported that it would explore potential monkeypox treatment programs. Its subsidiary, Zhongrun (Fujian) Pharmaceutical Co., Ltd., specializes in personal care products specific to Chinese medicine. Wenshan Xie, Chairman and CEO of E-Home, expanded on the update saying, “Traditional Chinese medicines have been relied upon for thousands of years and have the capacity to treat a large variety of illnesses. I believe we have an important opportunity to leverage Zhongrun’s strength in the area of traditional Chinese medicine to uncover potential treatment options for the monkeypox virus.”
Though vague and still “exploratory” in nature, that July headline puts EJH on the list of monkeypox stocks to watch.
Tonix Pharmaceuticals (NASDAQ: TNXP)
While some monkeypox treatment stocks have fallen out of favor, others remain in focus. Tonix Pharmaceuticals (TNXP Stock Report) is one of these companies, and shares surged during postmarket trading on August 2nd.
The company’s infectious disease pipeline includes developing a vaccine to prevent smallpox and monkeypox called TNX-801. TNXP stock is on the radar as more cases pop up globally. Tonix also announced a new collaboration with the Kenya Medical Research Institute for developing TNX-801 as a vaccine for the prevention of monkeypox and smallpox infection. A Phase 1 clinical study could begin during the first half of 2023, said Tonix in a July PR. Regardless of the longer-term timing, TNXP stock has been one of the monkeypox stocks on the watch list over the last few weeks.