Penny stocks may appear attractive simply because of their low prices.
Granted, if you spot the right one, it’s a rags-to-riches story. Just look at Advanced Micro Devices, which ran from about $5 to $165 over the last few years.
Unfortunately, many turn out to be a waste of time.
It’s why the US SEC warns, “Penny stocks may trade infrequently – which means that it may be difficult to sell penny stock shares once you have them. Because it may also be difficult to find quotations for penny stocks, they may be impossible to accurately price. Investors in penny stock should be prepared for the possibility that they may lose their whole investment.”
Yes, we mention that with most penny stock articles. But we do that on purpose, so you’re always aware of the risks that penny stocks do carry.
That being said, here are a few penny stocks you may want to dig into.
Dragonfly Energy Holdings Corp.
This is the second time Dragonfly Energy Holdings Corp. (NASDAQ: DFLI) has appeared on this list. The last time was on September 26, when the stock spiked on the latest lithium boom, which followed the Trump Administration’s desire to invest in Lithium Americas’ lithium mine.
Today, DFLI is up another 33% to 70 cents on a volume spike to 136.7 million, as compared to its daily average volume of 27 million. This time, the stock is running on news it’s presenting at The Battery Show North America, taking place October 6 to 9 in Detroit.
“Through sessions on domestic lithium battery manufacturing, hybrid electrification and battery fundamentals, the Company will highlight its technical leadership and contributions to advancing the industry dialogue,” as noted in a recent press release.
Recent earnings haven’t been too shabby either. In its most recent quarter, the industry leader in energy storage posted an EPS loss of 58 cents, which beat estimates by 37 cents. Revenue of $16.2 million, up 22.7% year over year, beat by $1.52 million.
“We are pleased to report another strong quarter, with net sales increasing 23% year-over-year, driven by sustained demand from OEM customers despite continued economic uncertainty,” commented Dr. Denis Phares, Chief Executive Officer. “We believe this performance demonstrates the resilience of our OEM partnerships, as we continue to see healthy adoption trends across our portfolio.”
cbdMD Inc.
CBD company, cbdMD Inc. (NYSEAMERICAN: YCBD) is up 175% on the day on a volume spike to 139 million, as compared to its daily average volume of 88,950. This was after President Trump endorsed CBD for senior healthcare. In addition, just last month, the Administration said it was looking to reclassify marijuana, which could result in easing criminal penalties.
Hemp-derived cannabidiol (CBD) could “revolutionize senior healthcare” by helping reduce disease progression and was shown as an alternative to prescription drugs, Trump said in a post on Truth Social, as noted by Reuters.
Here’s the video Trump shared on Truth Social earlier today: https://truthsocial.com/@realDonaldTrump/posts/115283887618990920
As a result of the Trump news, other cannabis stocks are also surging. That includes Tilray Brands, which is up about 40% to $1.60. Canopy Growth is up about 15% to $1.54 a share. Green Thumb Industries is up 17% to $8.50 per share. Trulieve Cannabis is up 14% to $8.16 per share. Curaleaf Holdings is up 21% to $2.86.
Even related ETFs, including the Roundhill Cannabis ETF, are up 18% to $20.93.
We also have to consider that related cannabis stocks could see higher highs if the Trump Administration gets even more aggressive with CBD and potential cannabis legislation.
Plus Therapeutics
On September 25, we noted, “Shares of clinical-stage pharmaceutical company, Plus Therapeutics (NASDAQ: PSTV), are up about 31% on a volume spike of 216.4 million, as compared to its daily average volume of 15.5 million. All after the cancer drug maker said UnitedHealth’s insurance arm reached an agreement with its CNSide Diagnostics unit to offer national coverage for a cancer test.”
As part of the deal, more than 51 million Americans across the U.S. will be able to access CNSide’s CNSide Cerebrospinal Fluid Assay, targeted at metastatic cancers in the central nervous system. Reportedly, the assay has 92% sensitivity and 95% specificity. It can also help influence medical treatment decisions in about 90% of cases, as noted in a PLUS release.
Today, PSTV is up another 28% to about 80 cents on a volume spike to 129.2 million, as compared to its daily average volume of 19.44 million. All as the stock continues to build momentum on its UnitedHealthcare news.
Top Gaining Stocks
Top Losing Stocks