There’s a groundswell of interest in psychedelic treatments for mental and health issues. For investors, that means there’s a groundswell of interest in psychedelic penny stocks.
All thanks to research that psychedelics can help with substance dependency, post-traumatic stress disorder, depression, anxiety and even chronic pain. For example, Johns Hopkins Medicine recently launched the Center for Psychedelic and Consciousness Research to study drugs like LSD and psilocybin to treat a range of mental health problems. Researchers at New York University have found that psilocybin mushrooms help reduce anxiety and depression in patients with cancer.
At the same time, cities across the country are working to decriminalize psilocybin mushrooms.
In fact, according to New York Assemblywoman Linda Rosenthal, “Many cities, including Denver, CO, Santa Cruz, CA, and Oakland, CA, have already decriminalized the use and possession of psilocybin, and New York should do the same.”
Even the U.S. Food and Drug Administration is involved after granting “breakthrough therapy” status to Compass Pathways for the treatment of depression.
Psychedelic research is clearly gaining traction, and investors should take note. Here are three top psychedelic penny stocks to buy now:
Psychedelic Penny Stocks: Mind Medicine (MMEDF)
Over the last few months, neuropharmaceutical company Mind Medicine saw its stock push from a March 2020 low of 20 cents to a recent high of 46 cents. That comes as psychedelic research picks up momentum.
In recent weeks, Mind Medicine — in collaboration with University Hospital Basel’s Liechti Laboratory –filed a patent application for a neutralizer technology that shortens and stop the effects of LSD. It’s also advancing its drug candidate for the treatment of opioid use issues.
“18-MC is a proprietary, non-hallucinogenic molecule, based on the psychedelic ibogaine,” the company wrote in a recent press release. “In extensive nonclinical testing, 18-MC has shown promise in helping to curb various forms of addiction. MindMed is scheduled to begin Phase 2 trials of 18-MC in opioid use disorder patients in late 2020.”
MindMed also entered into a clinical trial agreement with Maastricht University to begin Phase 2 trials for LSD in patients with ADHD. It’s advancing this trial with Dr. Kim Kuypers, an associate professor of neuropsychology and psychopharmacology at that university.
“Working with Dr. Kim Kuypers, one of the leading research experts for microdosing of psychedelics, has the potential to help millions of adults through the development of innovations for coping and treating ADHD,” MindMed co-CEO JR Rahn said in a press release. “Our work in the Netherlands will complement our existing collaboration with University Hospital Basel’s Liechti Lab to better understand the therapeutic potential of microdosing.”
Champignon Brands (SHRMF)
Next on this list of psychedelic penny stocks is Champignon Brands. Over the last several weeks, shares have exploded from an April 2020 low of 56 cents to a recent high of $1.62. The company is racing to develop and commercialize treatments for depression, PTSD, substance and alcohol-use disorders. To do so, it’s studying psychedelics treatments such as psilocybin, ketamine and MDMA.
The company secured its psilocybin supply, and now can use it for traumatic brain injury and PTSD-focused preclinical studies at the University of Miami School of Medicine.
“We hope to continue to make significant progress on our preclinical trial studying the effects of an oral combination of psilocybin and CBD on [mild traumatic brain injury] associated with PTSD,” lead investigator Dr. Michael Hoffer said. “Since mTBI associated with PTSD is a combination disorder that affects more than 10 million individuals per year and has no proven medical treatment, our novel combination of medicines could be a breakthrough in treating these indications.”
As InvestorPlace’s Josh Enomoto wrote recently, investors can have confidence with this penny stock. It focuses purely on therapeutic uses for psychedelics which gives it a high barrier to entry.
Revive Therapeutics (RVVTF)
Over the last few weeks, shares of Revive Therapeutics ran from an April 20 low of just 9 cents to a current high of 17 cents. But what exactly is this psychedelic penny stock?
Revive Therapeutics is a life sciences company that researches cannabinoid, or CBD. It specializes in rare inflammatory diseases and injuries related to organ transplant. The FDA even gave it orphan-drug status to study the use of CBD in patients with liver disease. Clearly, this is next-generation healthcare.
And just recently, the company acquired Psilocin Pharma and is expanding its pipeline. How? Psilocin Pharma used psilocybin in studies for depression, anxiety, bipolar disorder and eating disorders. Now, Revive Therapeutics can take over those studies — and it plans to win orphan-use and breakthrough therapy designations soon.
With this in mind, CEO Michael Frank is excited about Revive Therapeutics’ potential:
“We are expanding our psilocybin-based pharmaceutical portfolio with unique oral dosage and drug delivery forms that will target and have the potential to treat diseases and disorders currently not investigated with psychedelic compounds,” Frank said in a press release.
Ian Cooper, an InvestorPlace.com contributor, has been analyzing stocks and options for web-based advisories since 1999. As of this writing, Ian Cooper did not hold a position in any of the aforementioned securities.