Penny Stocks To Buy According To Analysts
As the stock market continues to become more and more unpredictable, it’s increasingly important for traders to use every available tool. Whether you’re trading penny stocks or higher-priced shares, one of those tools is analyst insight. This can provide valuable information on a company’s fundamentals, industry trends, and overall sentiment. Looking at analyst ratings over time can help traders make more informed decisions.
Investors may want to note analysts’ rating changes as they can indicate how the sentiment around a company or sector is shifting. Staying ahead of the curve can give investors an advantage when deciding when to buy or sell stocks. Moreover, analyst opinions are often closely watched by other investors. So any updates could have an impact on markets in some way.
By researching analyst sentiment, traders can gain valuable insights into market trends that may otherwise remain unknown. This information is key for anyone looking to stay one step ahead of the general trading masses in today’s competitive stock market landscape.
With this additional knowledge, traders can make informed decisions and increase their chances of making successful trades. This article looks at 5 penny stocks with high hopes from analysts. One firm has set its target nearly 2,000% higher than recent closing prices. Others have also issued forecasts as high as 506%.
Penny Stocks To Buy [According To Analysts]
ProQR Therapeutics (NASDAQ: PRQR)
RNA therapy company ProQR recently announced a conference call to discuss its RNA editing platform, Axiomer. Its latest partnership with Lilly will see the two collaborating on the platform to target the liver and nervous system disorders. They will explore potential avenues of the Axiomer candidate to develop new treatments and RNA editing opportunities.
Under the expanded agreement, Lilly gets access to more targets in the nervous system with Axiomer. ProQR receives $75 million in upfront cash and equity investment. In addition, the company is entitled to receive up to $3.75 billion in development milestones.
Daniel A. de Boer, founder, and CEO of ProQR, said in a December update, “Lilly is a leader in RNA therapeutics, and our expanded partnership is another validation of our leadership in ADAR-mediated RNA editing, our robust IP estate, and the potential of our broadly applicable Axiomer platform technology. We look forward to making an impact on the lives of patients together with Lilly.”
PRQR Stock Forecast
According to analysts from Raymond James, ProQR is rated at Outperform. They’ve also placed a $5 target on PRQR stock, roughly 85% higher than its closing levels on Friday.
Checkpoint Therapeutics (NASDAQ: CKPT)
Shares of Checkpoint Therapeutics rose on Tuesday after a series of analyst target adjustments, which followed a reverse stock split. The company recently completed a 1-for-10 split that brought its share price back above the $1 mark and in compliance with the exchange. On top of that, a fresh round of $7.5 million could benefit the company as it continues advancing its pipeline. Earlier this month, Checkpoint outlined new funding to use, in part, toward its planned submission of a Biologics License Application for the company’s cosibelimab platform.
Cosibelimab is Checkpoint’s lead candidate in treating metastatic cancers, including squamous cell carcinoma. Earlier this year, the company said it plans to submit the BLA in 2022. So as the clock ticks down this week, speculation may have become a potential catalyst.
CKPT Stock Forecast
Analysts such as HC Wainwright and B. Riley have set their sights high on CKPT stock. B. Riley’s $15 target is nearly 300% higher than recent closing levels on Friday. Meanwhile, HC Wainwright’s adjustment to $76 due to the split is 1,916% higher.
Performant Financial (NASDAQ: PFMT)
Despite being one of the lower-volume names on this penny stocks list, Performant Financial’s share price has climbed significantly higher since September. That period saw the stock jump from lows of $1.72 to highs of over $3.
A Q3 earnings beat helped give some much-needed momentum to the market. Performant reported a loss per share of $0.02 compared to estimates of a three-cent loss. Meanwhile, Sales of $27.18 million came in higher than Wall Street estimates of $26.59 million. Simeon Kohl, President of Performant, also highlighted other achievements for the quarter.
“Our recently announced strategic engagement with Priority Health highlights our partnership model for commercial payors and our focus of growing our healthcare operations through a customized high-touch approach. As we go to market as a pure-play healthcare technology company, we are aligned from a cultural, technology and leadership team perspective.”
PFMT Stock Forecast
Analysts at Lake Street assumed coverage on PFMT stock this month. The firm has a Buy rating and stamped an $8 target on the company. Based on a recent close of $3.15, that target is 154% higher.
OmniAb Inc. (NASDAQ: OABI)
We discussed OmniAb earlier this quarter. It was a spin-off from Ligand Pharmaceuticals (NASDAQ: LGND) and a combination with the SPAC Avista Public Acquisition Corp II. Like most SPACs, share prices imploded after completing the merger. But now it looks like there is much more attention from retail traders due to its price decline.
New developments, including Janssen Biotech notifying OmniAB of the first commercial sale of TECVAYLI in the US occurred, brought optimism back to the stock. The company is expecting a $25 million milestone payment. Meanwhile, recent insider trading activity in the penny stock is on investors’ minds. CEO Matthew Foehr continues growing his position. This month he snagged another 450,000 shares of OABI stock. This is in addition to the 100,00 shares purchased in November.
OABI Stock Forecast
What’s the OABI stock forecast? Several firms have initiated coverage on the penny stock. Credit Suisse, for example, has OmniAb at Outperform. Meanwhile, its $13 price target is more than 260% higher than its last closing price of $3.56. Other firms, including Truist Securities and SVB Leerink, have targets ranging from $6 to $10.
TRACON Pharmaceuticals (NASDAQ: TCON)
This week TRACON Pharmaceuticals shares spiked higher after its latest news update. The company announced up to $30 million in non-dilutive financing related to an arbitration award. Funds are expected next quarter. This update comes a few weeks after TRACON announced positive results based on its ENVASARC Phase 2 trial of envafolimab alone and combined with Yervoy in treating certain cancers.
“Achieving a double-digit ORR with a well-tolerated safety profile, as both monotherapy and in combination, positions envafolimab to become a potential treatment option for patients with refractory UPS and MFS,” said CEO Charles Theuer, M.D., Ph.D. in a December update. “The sole approved treatment for these patients is Votrient, which achieved a 4% ORR and carries a black box warning for fatal liver toxicity.”
TCON Stock Forecast
With such progress being made, it’s interesting to see what analysts think about TCON stock. The latest forecast from Rob Baird has TRACON at “Buy,” and the firm gave it an $8 target. Based on a previous class of $1.32, that’s 506% higher than current trading levels.