Penny stocks are well-known for their ability to breakout hugely in short timeframes. That’s the mystifying draw that brings traders to focus on stocks under $5. No matter who you talk to in the stock market today, everyone has the same goal. That goal is to simply make money. But making money with penny stocks involves a little more than just opening a trading account and finding some letters.
Some popular opinion might disagree. However, to become consistently profitable as a trader, you’ll want at least a basic strategy to stick to. It might be finding penny stocks to buy under a certain price. On the other hand, it might involve finding penny stocks to trade after big news. You might also look at charting skills and understanding of technical analysis. Whatever the case may be, going into trading with a strategy never hurts. Additionally, when the market changes, your strategy might as well.Trading & Finding Top Penny Stocks To Buy
Case in point is that recently the small-cap and nano-cap markets experienced lower-volume trading. The recent trend saw market activity decline last week. This is in comparison to months prior where most stocks under $5 were running rampant with excitement. Does the market cool off from time to time? Sure, and that’s when adjusting your trading strategy might come in handy.
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Understanding that lower volume is in play could see some traders adjust their position sizes or length of time they stay in certain trades. It also may shift focus to different price ranges. On the other hand, you may see some who look toward fundamentals and analyst ratings to gain some insight.
Needless to say, the strategy you go into trading with, doesn’t need to stay that way forever. It can evolve as the market evolves. With this in mind, here’s a list of penny stocks highly rated by analysts. Do you agree or disagree with their outlook for these companies? Feel free to comment below.Penny Stocks To Buy [according to analysts]: Hancock Jaffe Laboratories Inc.
Hancock Jaffe Laboratories Inc. (HJLI Stock Forecast) was a recent breakout penny stock to watch. In fact, since the start of the month, HJLI stock has climbed over 100% at times. While last week, we saw the stock surge to $0.81, Hancock Jaffe ended up sliding back to around $0.35 just one session later. After the dust settled, attention remained on the company and so far on Tuesday, HJLI stock has experienced a bullish surge in momentum. Shares have already reached highs of $0.60 as volume picked up during the August 25th session.
What was behind the move? During mid-morning on Tuesday the company came out with an update. Hancock Jaffe announced that it has enrolled the first two patients for its first-in-human CoreoGraft study.
The first implant of the CoreoGraft conduits will take place in the coming weeks according to the company. This is the company’s bovine-tissue-based off-the-shelf conduit intended for use in coronary artery bypass surgery. For this study, the CoreoGraft conduit is being used as a substitute for saphenous vein grafts in these patients.
Interim results for patients in the CoreoGraft study will be available 30 days, 90 days, 180 days, and 365 days post-surgery. As far as analysts are concerned, early ratings this year came from Maxim Group. The firm gave a “Buy” rating for HJLI. It also issued a $3 price target.Penny Stocks To Buy [according to analysts]: Agile Therapeutics Inc.
Agile Therapeutics Inc. (AGRX Stock Forecast) was trading around $2.53 at the start of August. This week, shares reached highs of $3.15 and if AGRX stock sounds familiar, that’s because it probably is. Back in late-October, 2019, AGRX had actually hit some of its lowest trading levels in the history of the stock.
We’re talking about a negative speculation sell-off to under $0.40. But then Agile surprised investors, which triggered a dead cat bounce to highs of nearly $3 at the time. Earlier this year, before the market sell-off in March, AGRX stock even managed to surge as high as $4.77.
Fundamentally, the majority of the focus for this company is on its female contraceptive, Twirla. The company has been raising additional money and working closely with the FDA to button up final details for its drug. Earlier this month, Agile reported its latest earnings. The company came in with a smaller-than-expected EPS loss, which also beat analyst estimates. Agile also said that Twirla is still on track for commercial launch next quarter.\Penny Stocks To Buy [according to analysts]: Biocept Inc.
Biocept Inc. (BIOC Stock Forecast) is another one of the penny stocks that’s been on watch lists recently. The company’s stock has been in a clear downtrend for the last 2 weeks. However, after reaching a low of $0.615 on Monday, BIOC stock began bouncing on Tuesday. In fact, the penny stock’s price bounced back by more than 15%.
Aside from appointing a new Chief Medical Officer this week, Michael Dugan, August 25th is a point of focus. That’s because the company is presenting at the Proactive One2One investor forum. Starting at 1 PM EST, President & CEO Michael Nall presented on the company. Keep in mind that this comes just a week after Biocept expanded its agreement with MultiPlan Inc. – the company’s healthcare solutions provider – to include COVID-19 testing. This now makes Biocepts COVID-19 testing services widely available.
What do analysts think? Overall, the majority rate BIOC a “Buy” or better. The most recent rating comes from Maxim Group which gave Biocept a “Buy” and increased its target to $2.Penny Stocks To Buy [according to analysts]: XpresSpa Group Inc.
When it comes to analyst ratings, it’s also important to keep something else in mind. That pertains to the timeframe of the rating. Some analysts will place ratings on certain stocks and then won’t update those ratings in some cases. With XpresSpa Group, Inc. (XSPA Stock Forecast), the last analysts to rate the stock was Roth Capital. The firm issued a “Buy” rating on the company but that was back in 2018.
Now can we still use this information? Honestly, I would, if anything, take it with a grain of salt at this point. That’s not only because of the length of time that has gone by but also for what’s happened recently. The company has rapidly evolved this year. In just the last few months, alone, the in-airport-terminal “quick spa” has pivoted into COVID testing.
XSPA stock managed to jump from March lows of $0.15 to highs in June of $8.82. While things have slid back and settled down since then, attention is back on the company this week. XpresSpa came out with more news announcing that it was able to slash the waiting time for results from 48 hours or more to under 15 minutes. XpresSpa signed a contract with Abbott Laboratories securing 100 ID NOW testing instruments.
The momentum continued on Tuesday after CEO Doug Satzman tweeted that he’ll be on Fox Business discussing expanding COVID-19 testing plans. Considering that is set for 3 PM EST on Tuesday, it will be interesting to see what happens for the rest of the week. Will we see new analyst ratings after these latest developments?