With rate cuts on the horizon, the outlook for equities and other risky asset classes is bullish. The S&P 500 index is already trading near all-time highs. While it’s important to make the best use of the bull market, it’s equally important to remain invested in blue-chip low-beta stocks.

From a quick money-making perspective, exposure to meme stocks has done wonders for investors. In my view, rate cuts will trigger significant price-action in mid-cap and small-cap stocks. There will be meme stocks that can rally by 50% to 100% in the next six months.

This column focuses on three meme stocks to buy on corrections before they surge higher again. The rally in these stocks is likely to be support by a positive industry or asset outlook. Further, there are company specific catalyst for accelerated revenue growth.

Let’s discuss the specific factors to be bullish on these meme stock ideas.

Marathon Digital (MARA)

In the last one month, Marathon Digital (NASDAQ:MARA) stock has surged by almost 30%. I would look at buying this Bitcoin (BTC-USD) miner on corrections. It’s worth noting that the cryptocurrency has witnessed a renewed rally with the possibility of Donald Trump being re-elected as the President of the U.S.

It’s worth noting that Marathon reported operational hash rate capacity of 26.3EH/s as of June. The company is targeting to boost capacity to 50EH/s by the end of the year. If this target is associated with Bitcoin trading at new highs, Marathon will deliver robust top-line and EBITDA growth.

I must add here that Marathon ended Q2 with a cash buffer of $1.4 billion. This provides ample flexibility for investments. Further, expansion plans will translate into healthy cash flows and Marathon is likely to continue investing aggressively.

Archer Aviation (ACHR)

Archer Aviation (NYSE:ACHR) stock traded at lows of $3 in mid-June. A sharp rally followed and the eVTOL stock surged by 80% to $5.40 within a month. There has been a renewed correction on profit booking. I see this as a good opportunity to buy.

It’s worth noting that the flying car industry is at a nascent stage. Archer is among the early-movers and is likely to benefit. With commercialization due in the U.S. next year, I expect significant price-action in the coming quarters.

Besides the United States, Archer has pursued local partnerships to commence eVTOL operations in the UAE, India, and Korea. This positions Archer for stellar growth in the next 24 to 36 months. Talking about the credibility and growth prospects, United Airlines (NYSE:UAL) is an investor and strategic partner in the company.

Recently, Archer signed an agreement with Southwest Airlines (NYSE:LUV) to “to develop operational plans for electric air taxi networks” at California airports where Southwest operates. These developments are likely to translate into meaningful stock upside in the coming quarters.

IAMGOLD (IAG)

Citi believes that gold is likely to trade at $3,000 an ounce in the next 6 to 18 months. If this holds true, gold miners are likely to go ballistic in the coming quarters as cash flows swell. IAMGOLD (NYSE:IAG) is an attractive pick from meme penny stocks with high potential.

After a strong rally for year-to-date, IAG stock has witnessed some correction. Another 10% to 15% downside from current levels of $4.1 would make the stock interesting. Besides the gold price factor, I am bullish on the miner considering the production growth outlook.

In March, IAMGOLD commenced production from the Côté asset that’s among the largest gold mines in Canada. As production from the asset is ramped-up, revenue growth is likely to be healthy. At the same time, free cash flows will swell with the Côté asset having an attractive all-in-sustaining-cost of $851 an ounce. I therefore expect a strong rally on the back of robust quarterly numbers.

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

On the date of publication, Faisal Humayun 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.

On the date of publication, the responsible editor did not have (either directly or indirectly) any positions in the securities mentioned in this article.