Tesla Inc. (NASDAQ: TSLA) has gained 101% in 2020 so far. You hate missing runs like that.
And if you didn't, great! That just means you could earn even more with two of the best penny stocks to buy today - up to 154% profit potential.
It's important to control your fear of missing out (FOMO) in today's market. The markets are sitting near all-time highs, and fears of recession are brewing. You want a breakout stock with limited risk.
If you're going to speculate, tap into penny stocks that combine low cost with strategies that dramatically improve your probability of triple-digit returns.
I'll show you my two favorites today. I'll also discuss a few of my favorite penny stock strategies to help you find stocks with the most upside.
This first one could earn you more than 45%...
Nokia Oyj (NYSE: NOK) was once the darling of the mobile phone industry before the invention of the iPhone. The Finnish global telecom and consumer electronics company has actually been around since 1865.
But 5G is giving this stock a new tailwind.
The firm is working to bolster its 5G offerings in Japan and considers the next-generation technology the "end-to-end network transformation" that can bring it back to international prominence. It just bought optical networking firm Elenion to help with the 5G race.
Our NEW Premium Stock Pick could double in the next 12 months. But the window is closing fast to get in on the BIGGEST gains. With a major catalyst just days away, the time to move is now. Click here to get the pick.
One of the key things I want to see when buying a tech penny stock is who else is going along for the ride. Over the last year, we've watched as hedge funds pile more and more money into Nokia. In the fourth quarter, hedge funds increased their holdings of Nokia stock by a whopping 21.3 million shares. This included big purchases by Capital Growth Management ($28.57 million in stock) and Southeastern Asset Management ($12.06 million).
The ongoing growth of hedge fund investment signals that large institutional investors are willing to put large stakes of capital on a company at a time of major transformation. These companies believe in Nokia's next-generation technology and view it as a low-floor, high-return opportunity compared to other speculative positions in the space.
Nokia stock currently trades at $4.12 per share. But with 5G ramping up, shares could rise to $6 over the next 12 months. That price target represents a potential upside of 45.6% in the next year.
But our best penny stock today could earn 154% for today's investor...
[mmpazkzone name="in-story" network="9794" site="307044" id="137008" type="4"]
We start with one of the best small-cap biotech stocks on the market.
ADMA Biologics Inc. (NASDAQ: ADMA) develops and commercializes human plasma and plasma-derived therapeutics. It specializes in the treatment of immunodeficient patients at risk for infection.
The company currently markets three FDA-approved plasma-derived biologics.
And though the company has been raising capital aggressively in recent years, the short-term outlook is bright given one important factor: insider buying.
Insider buying with biotech stocks is a remarkable strategy. It hints positive catalysts on the horizon for the company. Biotech is one of the more speculative sectors of the market. But who knows the true value and upside of the company better than the executives themselves?
In this case, we're looking for purchases north of $75,000 by CEOs, CFOs, and other major executives at the firm. Recently, the company issued a stock offering at $3.50, and its CEO and CFO both made very large purchases. Simply put, they're expecting a big return in the future given the niche market in which ADMA operates.
Shares are already up more than 10% since that offering.
ADMA stock trades right now at roughly $3.93 per share, and it's on a real path toward $10 per share in the next year. That price target represents a potential upside of 154% in the next 12 months.
Action to Take: Now is not the time to buy into bullish hype right away. The best penny stocks can be great speculative plays for a risky market. You can pick up ADMA Biologics Inc. (NASDAQ: ADMA) for 154% return on the year. You could also pick up Nokia Oyj (NYSE: NOK) for 45.6%.
You've probably seen stories about this person or that person making an absolute fortune from some unknown startup suddenly becoming a household name... like Uber, Airbnb, SpaceX, or Bird.
Now, it's your turn.
Shark Tank's Robert Herjavec is showing how easy it is for anyone to turn as little as $50 into what can be life-changing windfalls... all from investing in startups.
Click here to learn more...
Follow Money Morning on Facebook and Twitter.
