Does Your List Of Penny Stocks Include These Small Caps? 5 To Know
November 11, 2020 at 19:42 PM EST
5 Penny Stocks To Watch Before Thanksgiving
November has already shown itself to be a promising month for penny stocks. With so many different penny stocks to choose from, there are a few ways to narrow down one’s list. For starters, investors have to identify what area of penny stocks they want to invest in. This could be biotech penny stocks, health and wellness penny stocks, mining penny stocks, and more.
As you can see, the options are almost limitless. The next thing we have to focus on is momentum and financials. As with any stock, penny stocks release quarterly financials four times a year. We can use this information to see how a company is doing in terms of debt, revenue, and profitability.
In combination with this, we can look at average volume to see what kind of liquidity a penny stock has. Because penny stocks are any stock under $5, oftentimes we can see lower volume. This is not necessarily a bad thing, but it is something to keep in mind. Lastly, we have to look at what a company is doing to secure its future.
No matter what industry a penny stock to watch is in, there are always competitors. This means that a company has to continue performing or evolving in order to stay on top. With these tips in mind, let’s take a look at 5 penny stocks that had a big rally this week.5 Penny Stocks to Watch Right Now
While the market was a bit slower on Wednesday, the biotech sector bounced back strongly. If you take a look at the NASDAQ Biotech ETF (IBB ETF), you’ll see that volume was light, but the ETF was able to bounce back nearly 3%. Similarly, we saw plenty of biotech penny stocks mimic the same trend. GT Biopharma Inc. was among these to follow suit. Earlier this week, the small cap stock dipped to levels around $0.17 but since then it began bouncing. Wednesday saw more followthrough on the bounce with GTBP stock reaching highs of $0.19 and finished out the day at $0.185; a rebound of around 11% so far this week.
What’s more is now the clock is ticking for GT Biopharma; in a good way. The company’s treatment pipeline includes its lead treatment candidate for acute myeloid leukemia. GTB-3550 has demonstrated several positive results in its Dose Level increases in its Phase I/II trial. The lates, Dose Level 3, showed a noticeable decrease in AML blast levels. Why’s this important? There’s a large industry conference coming up at the beginning of December. GTB-3550’s interim results have been chosen for presentation at the conference.
While this countdown has just begun, GT Biopharma has also been advancing its treatment platform, known as TriKE, toward other indications. In fact, TriKE™ has been evaluated in ovarian, breast, prostate, pancreatic ductal adenocarcinoma and lung cancer models. As the week rolls, GTBP stock continues climbing, and date that interim results are presented grows near. If GTBP is on your list of penny stocks to watch, keep that in mind.Penny Stock to Watch #2: Dynavax Technologies Corp.
Dynavax Technologies Corp. is a biopharmaceutical company that works on making products to utilize the body’s own immune response. The company has stated that it has several products in its pipeline including a vaccine candidate for Covid-19. Dynavax has been working with the Coalition for Epidemic Preparedness and Sinovac Biotech Ltd. to create a vaccine that would be a fervent enemy to the Covid virus. While this vaccine is still in the works, the company has seen some big momentum due to increased Covid cases around the world.
On Wednesday, November 11th, shares of DVAX stock shot up by around 6.5% by EOD. In addition, the company announced that it had received an upgrade for its statutory estimates. This is due to improved business fundamentals that the company has shown in the past few months.
Analysts have now stated that they project revenues of $117 million in 2021. This would represent 210% in growth compared to the last year. Additionally, the company reported that it may be able to reduce EPS losses by around 50% to $0.51 per share. While none of this is a guarantee, DVAX stock continues to show solid positive momentum.Penny Stock to Watch #3: Arbutus Biopharma Corp.
Arbutus Biopharma Corp. is a biopharmaceutical company as its name suggests. While it did post some less than stellar results earlier in November, forecasts for the future of ABUX stock are quite solid. In its latest third-quarter report, the company announced that revenues dropped by around 11%. Forecasts have stated that the company could post revenue north of $6.7 million by 2021. That would represent a 10% increase over its previous yearly revenue.
The company is currently working on the development and commercialization of a cure for Hepatitis B. This would be a major breakthrough as it would utilize a capsid inhibitor that could completely cure this ailment. Despite its disappointing third-quarter results, analysts believe that there could be strong growth in the long term.
We have to remember that Covid has had huge effects on all penny stocks including ABUX stock. And with a third-quarter that could’ve been better, the hopes are that analysts are right in the long term. With that in mind, investors should continue to watch for the FDA and other regulatory moves regarding ABUX stock.Penny Stock to Watch #4: Bionano Genomics Inc.
Bionano Genomics Inc. is a company that works in the niche area of genome analysis. The company uses its Saphyr system to help conduct a wide range of research and testing for those with various disorders. The company is able to use these tools to push forward new diagnostic methods as well as how to utilize therapeutics in the best and most effective way. In addition, genome research tools help to produce data regarding illnesses.
Bionano Genomics announced that it will release its Q3 earnings on November 12th at 4:30 PM ET. While this could pose a higher risk/reward situation (if results miss or beat estimates), there are other things to consider, which includes Bionano’s Wednesday evening update. Bionano announced the publication of a study led by scientists and clinicians from the Institute for Human Genetics and the Benioff Children’s Hospital at the University of California, San Francisco. This evaluated the ability of Bionano’s optical genome mapping technology against another genome analysis method. Specifically, it was observed to diagnose children with genetic conditions who previously went undiagnosed by the standard of care methods alone.
The findings showed that Bionano’s technology was able to diagnose “significantly more patients” than standard of care methods alone.
“This UCSF study now shows in the largest cohort analyzed to date that Bionano’s optical genome mapping diagnoses more patients than the traditional methods. We believe the increase in diagnosis over conventional methods can be a significant factor in Saphyr gaining widespread adoption as a clinical tool for genetic disease diagnosis and next-generation cytogenomics.”Erik Holmlin, Ph.D., CEO of Bionano GenomicsPenny Stock to Watch #5: Veru Inc.
Veru Inc. is another November 11th gainer that pushed up by 11% as of EOD. YTD, shares of VERU stock are up by around 26% which is quite good. A lot of the recent momentum is due to the company’s announcement of its Phase 2 clinical trial of VERU-111. This drug will be used to treat various types of prostate cancer. The study, which enrolled 40 men, should be underway very soon.
The company has stated that by the fourth quarter, it will be able to submit a clinical protocol for a phase 3 trial with the FDA. The most difficult part about investing in biotech penny stocks is waiting for approval from the FDA. But, with its phase 2 trial underway, it looks like Veru Inc. is in a good position to continue growing its pipeline. In the last five year period, we have seen revenue for Veru Inc. grow by almost 5% per year. Now that is not an astounding growth rate by any means, but it is confidence-inspiring for more stability inclined investors. Since the end of October, shares of VERU stock are up by around 18%.