Penny stocks are a tripwire for mayhem. They can easily blow up your portfolio. It’s why often the best advice to follow when looking for penny stocks to buy is to don’t. 

Far too often, these low-priced stocks simply offer a story about whatever topic is hot at the moment. Artificial intelligence (AI) is the big story? This penny stock will be the next Nvidia (NASDAQ:NVDA). Is lithium mining hot? Watch out, Albermarle (NYSE:ALB), as this pink sheet company is coming after you.

The point is, while the companies may not be outright scams (though that is a good possibility), they often are little more than shell companies with a business plan. 

And yet, the allure of penny stocks is hard to deny. Controlling hundreds if not thousands of shares of a stock for relatively very little money means if it goes up just a nickel or dime you’ll make a small fortune. Unfortunately, it rarely works out that way. You are more likely to lose your entire investment.

Still, sometimes you stumble across a penny stock to buy that does seem to hold promise. The three stocks below fit the bill. They are still risky as hell but can potentially turn some pocket change into real wealth.

Longeveron (LGVN)

Longeveron (NASDAQ:LGVN) is a clinical-stage biotech developing cellular therapies for age-related and life-threatening conditions in the U.S. and Japan. Its lead investigational drug is Lomecel-B, which is used to treat a wide array of diseases. 

Sourced from bone marrow tissue from adult donors, it holds the potential for pro-vascular, pro-regenerative, anti-inflammatory and tissue repair and healing effects. 

That is a mouthful, but Lomecel-B is an allogeneic medicinal signaling cell (MSC). It just successfully completed an investigator meeting for Longeveron’s ongoing Phase 2b clinical trial for treating a rare pediatric congenital heart birth defect called hypoplastic left heart syndrome (HLHS). The meeting was organized to discuss the drug’s progress to date and the operational implementation of the clinical trial.

In Phase 1 trials, infants receiving Lomecel-B had 100% transplant-free survival up to five years old compared to the approximate 20% mortality rate observed in historical control data.

The news sent Longeveron’s stock soaring. It tripled in value in just one week. While shares crashed 25% after it exercised warrants to raise $4.4 million, the successful conclusion of the Phase 2b trial could send LGVN stock higher once again. While there remains a long way to go before approval, Longeveron seems to hold much promise.

Airship AI (AISP)

Speaking of AI, Airship AI (NASDAQ:AISP) soared to over $14 a share earlier this year after announcing it won a sole-source contract with the Justice Department for its Acropolis Enterprise Sensor Management video and data management platform.  

Airship is an AI-driven video, sensor and data management surveillance platform primarily for the public sector. Acropolis enables customers to manage devices and sensors across their entire digital ecosystem. Its platform can monitor cameras at the edge and use AI to identify potential threats to security.

However, Airship ended up giving back almost three-quarters of those gains over the ensuing months. Last week, though, the AI company announced a third agency within the Justice Department signed up for the Acropolis platform sending shares higher once again. They didn’t rise nearly so far this time but it shows Airship is able to scale up as customer needs grow.

The latest sole-source contract was for a single year but with an option for four one-year renewals. The contract was valued at six figures. Sole-source contracts are those awarded without any competitive bidding. It usually happens when only a single business can fulfill the requirements of a contract.

Trading for just over $4 a share, there is plenty of future growth in store particularly as more agencies sign on and the annual contract options are extended.

Joby Aviation (JOBY)

Many investors are familiar with the electric vertical takeoff and landing (eVTOL) aircraft manufacturer Joby Aviation (NASDAQ:JOBY). The company is at the forefront of creating a new industry from the ground up.

Electric urban air transport promises to revolutionize short-haul travel, such as flights from airports to area heliports. Joby is leading the way. It recently received its Part 135 Air Carrier & Operator Certificate from the Federal Aviation Administration. It is a significant development as it means Joby can operate aircraft commercially to refine its systems and procedures for launching its air taxi service next year. Joby will need the FAA’s Type Certification to launch the business.

Of course, as a startup, it means Joby Aviation has no revenue to speak of and is generating losses. Yet, I see this as an extremely viable opportunity. With JOBY stock trading at just under $5 a share, it is a unique opportunity to get in on the ground floor of a new industry with substantial growth potential.

On Penny Stocks and Low-Volume Stocks: With only the rarest exceptions, InvestorPlace does not publish commentary about companies that have a market cap of less than $100 million or trade less than 100,000 shares each day. That’s because these “penny stocks” are frequently the playground for scam artists and market manipulators. If we ever do publish commentary on a low-volume stock that may be affected by our commentary, we demand that InvestorPlace.com’s writers disclose this fact and warn readers of the risks.

Read More: Penny Stocks — How to Profit Without Getting Scammed

On the date of publication, Rich Duprey did not hold (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.