Penny Stock Picks: 5 Under $5

Making the right penny stock picks can score investors triple-digit gains in a matter of weeks - or days.

Chelsea Therapeutics International Ltd (Nasdaq: CHTP) gained as much as 120% Jan. 15 when it got drug approval from an FDA advisory panel. That brings the drug one step closer to FDA approval.

Then there are the penny stock picks that over years can return more than 1,000%.

Look at BJ's Restaurants Inc. (Nasdaq: BJRI). It traded as low as $1.50 per share in 2000, climbed over $5.00 per share in 2002, and now trades around $29. That's a 14-year gain of 1,833%.

The gains don't come without a rocky ride. As we explained in What Are Penny Stocks?, some penny stocks are volatile, illiquid, or vulnerable to scams.

But the right penny stock picks can lead to big gains in short time frames.

Following are five penny stock picks worth a look today.

Penny Stocks Picks to Consider in 2014

Chelsea Therapeutics International Ltd (Nasdaq: CHTP) is a 10-year-old development stage biopharmaceutical company headquartered in Charlotte, NC. Shares soared as much as 120% on heavy volume Jan. 15 after a panel of federal experts recommended the approval of its most advanced candidate, Northera. A blood pressure treatment designed to prevent dizziness and fainting in Parkinson's disease patients, the advisory group concluded the drug is effective enough to warrant regulatory approval. The outside panel's endorsement came with the condition the drug only be approved for short-term use in a defined group of patients. The FDA will make a decision on Northera on Feb. 14. In addition to Northera, CHTP also has a portfolio of potential therapies for the treatment of rheumatoid arthritis. These treatments may also be suitable for the treatment of other autoimmune disorders. Over the last year, the stock has traded as low $0.76 and as high as $5.78. Shares were last changing hands at $4.76 and are up 7.33% so far this year.

Plug Power Inc. (Nasdaq: PLUG) is an alternative energy technology provider that engages in the design, development, commercialization, and manufacturing of fuel cell systems for the worldwide industrial off-road markets. The Latham, N.Y.-headquartered company, founded in 1997, sells its products to businesses, government agencies, and commercial consumers. PLUG has revolutionized the material handling industry with cost-effective power solutions proven to increase productivity, lower operation costs, and reduce carbon footprints. Its GenDrive fuel cell has proven to be a superior alternative to lead acid batteries for electric lift trucks in the $20 billion global handling market. News in early January that PLUG inked a deal with FedEx Corp. (NYSE: FDX) to develop hydrogen fuel cell extenders for 20 FedEx electric trucks, sent shares surging 68% to a 52-week high of $4.90. Institutions own 12% and the average daily trading volume is 19.51 million. PLUG is up 124% this year.