October CPI Data Is Out & These Penny Stocks Are Ripping Higher
If you’re looking for penny stocks to buy, the trend is your friend, as they say. Now that October’s CPI inflation data is out, the market has reacted, and the bulls are trying to take control. Generally speaking, broader market trends tend to come secondary when looking for trends in the small and micro-cap space. But since inflation data has played such a significant role in the stock market today, it can’t go unnoticed.
That’s why today we look at some of the lowest-priced stocks in the market to see how the smaller companies have faired. Does this rising tide lift all ships, or do penny stocks get left behind? After seeing some of these stocks under $5, it doesn’t look like cheaper stocks are getting overlooked.
Several are aggressively climbing higher. We’ll look at any additional catalysts and any potential future events to note, and then you can decide if they’ve earned a spot on your list of penny stocks to watch.
4 Penny Stocks To Watch
- Aeglea Biotherapeutics Inc. (NASDAQ: AGLE)
- Omniab Inc. (NASDAQ: OABI)
- Berkley Lights Inc. (NASDAQ: BLI)
- Invitae Corp. (NYSE: NVTA)
Aeglea Biotherapeutics Inc. (NASDAQ: AGLE)
Shares of AGLE stock were on the watch list at the end of October. In our article, “5 Top Penny Stocks To Watch With News Before Next Week,” we discussed Aeglea’s analyst outlook. Two upgrades from Wells Fargo and Piper Sandler gave the penny stock a boost that continues well into November. Wells lifted its Equalweight rating to Overweight & boosted its $1.50 target to $2. Piper Sandler raised its AGLE stock forecast and rating as well. The firm now has an Overweight from Neutral and a $1.50 target, up from $1.
The upgrades came as Aeglea began dosing in the third cohort of its pegtarviliase Phase 1/2 trial. The therapy is under evaluation in treating Classical Homocystinuria. In a recent quarterly update, Jim Kastenmayer, Ph. D., J.D., interim CEO of Aeglea, also mentioned, “While our primary focus is pegtarviliase, we are a multi-program company and are pleased that the Marketing Authorization Application for pegzilarginase for Arginase 1 Deficiency submitted by our valued partner Immedica is currently under review by the EMA for a potential approval next year.”
Aeglea also mentioned plans to share interim data from that Phase 1/2 trial before the end of the year. In light of these latest developments, AGLE stock remains a focus of traders.
Omniab Inc. (NASDAQ: OABI)
Omniab Inc. is the result of a spin-off from Ligand Pharmaceuticals (NASDAQ: LGND) earlier this month. Following the official event, the new OABI stock plummeted over 50% in its debut. However, the penny stock has been on a tear since reaching fresh lows of $1.91 at the beginning of the week. Shares have bounced back firmly to the $2.90 level as the company has begun rolling out its strategy.
OmniAb provides the pharmaceutical industry with screening technologies for therapeutic development. Its suite of technologies includes antibody discovery and optimization platforms for its clients’ end-to-end customization for discovering pharmaceutical candidates.
This month is an active one for OmniAb. It recently went on the presentation circuit, which included fireside chats at this week’s Credit Suisse Healthcare Conference. Next week OmniAb will attend the Stifel Healthcare Conference and hosts one-on-one meetings with investors.
Some recent insider trading activity in the penny stock is on investors’ minds. This week, CEO Matthew Foehr snagged 100,00 shares of OABI stock at an average price of $2.76. Considering the timing amid the latest industry event circuit, OABI could be one of the penny stocks to watch in November.
Berkley Lights Inc. (NASDAQ: BLI)
Another one of the penny stocks making a steady comeback this month is Berkley Lights Inc. The company specializes in digital cell biology and recently reported its Q3 highlights. Despite missing financial estimates, the market appears optimistic about recent achievements and milestones.
“Our third quarter results demonstrated progress against our new operating strategy. We delivered record recurring revenue, a strong rebound of platform placements, gross margin improvement, and cash burn in line with our plan,” explained Dr. Siddhartha Kadia, CEO of Berkeley Lights. “We are well on our way to transforming Berkeley Lights from a technology platform company into a growing, profitable, and sustainable life sciences tools and services company.”
In addition, Berkley announced that Monash University in Australia has begun implementing the use of Berkley’s Lights Beacon system and its Opto Plasma B Discovery workflow. Monash will use these tools for antibody discovery to advance critical therapeutics to the market. Next week, Berkley has its investor day on November 18th. The event will include presentations from leadership and include a Q&A session. If BLU stock is on your watch list, keep next Friday in mind.
Invitae Corp. (NYSE: NVTA)
The medical genetics company Invitae Corp. popped up on Thursday. It has been stuck in a sideways channel for the last few months, with its 50-day moving average acting as a point of resistance. Thanks to better-than-expected earnings results reported this month, NVTA stock is on the radar of some traders. On top of that, it also reported a reduction in its 2022 cash burn guidance.
“In the third quarter, we continued to deliver positive results as the organizational realignment and expense controls we put in place resulted in another quarter of improvements in our non-GAAP gross margin and operating expense, as well as our cash burn. There are also early signs demonstrating that the steps we’ve taken to drive higher-quality revenue are taking hold, driven by our portfolio optimization efforts and a focus on operational excellence,” said Ken Knight, president, and chief executive officer of Invitae.
This week Invitae announced that it would participate in upcoming presentations next week at the National Society of Genetic Counselors Conference. From November 16th to the 18th, presenters will shed light on the company’s research. That brought back some of the bullish speculative momentum NVTA stock experienced earlier this year. In August, Invitae reported strong Q2 results.
In addition to these milestones and upcoming events, traders have NVTA stock on their radar for other reasons. One of these reasons is the short interest in the penny stock. According to data from Fintel.IO, the current short float percentage on NVTA sits at nearly 20%.