SPECIAL REPORT The Top 7 Stocks for 2024

3 Penny Stocks for Getting Rich in 2023


  • The potential gains in these penny stocks can help investors get rich in 2023. 
  • IT Tech Packaging (ITP): ITP stock has huge upside but it’s unclear exactly why. 
  • Ryvyl (RVYL): The blockchain payments firm is improving quickly.
  • Mogo (MOGO): Mogo is cutting costs and creating a leaner organization. 
Investing in penny stocks - 3 Penny Stocks for Getting Rich in 2023

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Penny stocks will always offer the same glamorous upside. Investors hope to buy shares at dollars per share and then see those prices multiply. It, of course, doesn’t always work that way, and caveat emptor applies. Speculative stocks aren’t for the faint of heart. However, it remains true that penny stocks do make investors rich. They remain one of the quickest ways to multiply an investor’s capital. 

If you can get past limited disclosures and liquidity issues, real money can be made by investing in penny stocks. Further, two of the three stocks in this article trade on the Nasdaq exchange, which arguably confers more legitimacy overall. 

IT Tech Packaging (ITP) 

A photo of various food packaging containers.
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Despite its name, IT Tech Packaging (NYSEAMERICAN:ITP) doesn’t deal with high-tech packaging of materials like semiconductors. Instead, the company primarily deals with corrugated paper, paper for masks, and tissue paper. The highest-tech paper it produces is digital photo paper which contributes relatively little to its top-line results. 

What is particularly interesting about ITP stock is that the single analyst covering the stock has given it a target price of $50. It currently trades for $0.52. Let me first address IT Tech Packaging’s fundamentals, then tell you why I think there’s so much upside in ITP shares. 

In the most recent quarter, revenues increased nearly 28% to $19.79 million. Almost all (98.67%) was attributable to corrugating medium paper. Corrugating medium paper is the structured, wavy cardboard everyone is familiar with. We don’t know much more about the company except that it reported a net loss of $2.73 million in the quarter. It may carry such a significant upside because it produces face masks. It’s a Chinese firm, so perhaps it received that high target price early in the pandemic. In any case, it did trade for $12 in early 2021, so the potential is there. 

Ryvyl (RVYL) 

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There’s a lot to like about Ryvyl (NASDAQ:RVYL) and its prospects. It’s a fintech stock, for one. The company operates in the blockchain payments space selling blockchain payments solutions. The fintech space is set to grow as consumer demand for innovative, forward-thinking financial solutions is growing. Blockchain adoption has a long way to go, but Ryvyl is exhibiting growth, making it worth considering. 

That growth is what promises to send share prices higher this year. Ryvyl reported $11.2 million in revenues during the first quarter. That drastically improved from the $4.2 million in revenues a year earlier. Meanwhile, Ryvyl’s net losses narrowed from $28.43 million to $8.04 million during the same period. It’s easy to see why investors are interested. The company had $57.1 million in cash equivalents to end Q1, so it is well funded to survive for several quarters and perhaps years into the future. This is an example of why investing in penny stocks may be worthwhile.

Overall, Ryvyl is a rapidly-improving fintech firm in the high-potential blockchain sector, making it a reasonable bet for those seeking quick returns. 

Mogo (MOGO) 

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Mogo (NASDAQ:MOGO) operates a flat-fee stock trading platform for Canadian investors. It also uses a digital payment platform. The primary reason to consider investing in Mogo is the company’s strategic focus on improving its operations to be leaner. 

The company exited several products and has seen its operating expenses decrease by 45% in the most recent quarter—reduced costs led to a positive EBITDA of CAD 1 million during the same period. It’s a good reason to consider investing in penny stocks.

Revenues declined by 8% to CAD 15.9 million. That’s not the most encouraging metric. However, consider that Mogo’s net loss fell to CAD 6.9 million from CAD 18.9 million a year earlier, and it becomes clear that the firm’s cost-cutting efforts are bearing fruit. The company had CAD 25.3 million in cash equivalents to finish the quarter, so it can continue to lean out operations for quite some time, given its most recent net loss of less than CAD 7 million. The company believes it can reach an EBITDA of CAD 14 million by the end of the year, which, if achieved, should raise share prices. 

On the date of publication, Alex Sirois did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.

Article printed from InvestorPlace Media, https://investorplace.com/2023/07/3-penny-stocks-for-getting-rich-in-2023/.

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