The trio of names on our tech penny stocks list has shown a recent price surge and volume spike on promising new business developments.
The amount of money spent in industries like tech and biotech allows some of the best penny stocks to come from these sectors.
All three listed below are involved in multi-billion dollar markets that are slated to grow in 2014: One is involved in the up-and-coming Internet of Things platform; one aims to provide an edge to companies in the ultra-competitive smartphone market; one has a prominent presence in the niche grid market for utilities.
Take a look:
Three Tech Penny Stocks to Watch in 2014
Echelon Corp. (Nasdaq: ELON) is the world's leading control networking platform provider. Based in San Jose, Calif., the company develops, markets, and sells energy control networking solutions. Its inventive products enable commonly used devices, such as air conditioners, electricity meters, light switches, thermostats, and valves, to be interconnected.
Investors are just starting to recognize the potential of this tech penny stock. Google Inc.'s (Nasdaq: GOOG) Jan. 13 purchase of Nest Labs Inc. for $3.2 billon "may jump start a multibillion dollar race to acquire companies that are powering the rise of Web connected devices across homes, cities and workplaces," writes Bloomberg.
Echelon fits in that category. According to researcher IDC, the market for Internet of Things is anticipated to generate some $8.9 trillion in revenue by 2020, an increase from $4.8 trillion in 2013.
The company made news last week when it debuted its FT 6050 system-on chip (SoC), "a single chip solution for providing reliable, cost-effective, flexible, wired IP connectivity" for devices on the Industrial Internet of Things (IIoT) platform. Echelon describes the platform as the next generation of the world's most successful industrial control platforms.
"With almost a billion devices currently connected to control networks in industrial settings, application designers are seeking an effective, safe and simple migration path to the IIoT," Chairman and Chief Executive Officer Ron Sege in a statement. Connected World Magazine has recognized Echelon for the past 11 years as a game-changer in connectivity technologies.
Echelon has a market cap of $156 million. Shares have traded between $1.99 and $3.66 over the last year and currently change hands at $3.41.