When it comes to potentially profitable penny stocks, some can create unimaginable fortunes for patient investors. Others, not so much. It’s why – whenever we talk about penny stocks – we need to tack on a warning.
In fact, as noted by the US SEC, “Penny stocks are low-priced shares of small companies. 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.”
With that out of the way, what are some of the potentially profitable penny stocks to consider?
Atossa Genetics (ATOS)
The last time I mentioned Atossa Genetics (NASDAQ:ATOS), it traded at 63 cents on May 4. Today, after testing a high of $1.39, it’s back to $1.20. Even with the slight pullback, you’re still looking at a near-double since we first spoke about it. And while it is technically stretched at the moment—and overdue for a healthy pullback – there’s still a lot of punch in the stock.
As we noted in May, the US FDA just authorized Atossa Therapeutics’ EVANGELINE study, a Phase 2 trial of Z-endoxifen and Exemestane + Goserelin as neoadjuvant treatment in premenopausal women with ER+/HER2- breast cancer. “While there are several FDA-approved neoadjuvant therapies for ER-breast cancers, few exist for ER+ patients, which account for approximately 78% of breast cancers,” as noted in a company press release.
Even better, the company recently announced a $10 million stock buyback program through Dec. 30, 2023. All thanks to the strength of its balance sheet, says the company, and the progress made on its (Z)-endoxifen development program.
Lynas Rare Earths (LYSCF)
Over the last few days, China just said it would “enforce export restrictions on certain rare minerals essential for the production of semiconductor chips,” as noted by Investing.com. While that’s not the best news for companies that rely on rare earths, it’s great news for miners that need to help the U.S. meet its own rare earth needs, including Lynas Rare Earths (OTCMKTS:LYSCF).
“Starting from August 1st, the Chinese Ministry of Commerce announced that the exportation of germanium and gallium metals will require exporters to obtain licenses from the ministry. China said this measure has been deemed crucial to safeguard national security and protect the nation’s interests,” they added.
In addition, China also put restrictions on more than 35 other related metals and materials. Making matters far worse, China still dominates the rare earth market.
Wearable Devices (WLDS)
Or, take a look at $23.44 million Wearable Devices (NASDAQ:WLDS), which last traded at $1.54. While the WLDS stock has been explosive, there’s still gas in the tank thanks to Apple (NASDAQ:AAPL).
Wearable Devices’ wristbands allow for the control of connected devices through finger motion. In fact, according to a company press release, these have “evolved to incorporate groundbreaking features such as Air-Touch. With Air-Touch, users can effortlessly control a wide range of commands using subtle finger movements and hand gestures.”
Even better, new updates allow users to switch and toggle between Apple products. Some of the top ones include iPhones, iPads, Mac computers, Apple TVs, AR smart glasses, and even mobile gaming devices.
With shipments expected to start in the second half of 2023, WLDS could see higher highs.
On the date of publication, Ian Cooper did not have (either directly or indirectly) any positions in the securities mentioned. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
