Start the conversation
Stocks are surging higher, and this is great news for the best penny stocks to buy in June 2020.
The Dow Jones Industrial Average is up 37% since the coronavirus crash. The index broke 25,000 this week.
In fact, our top penny stock to buy now could surge 180% before the year is over.
It's not certain if or when the rally may reverse. We haven't been expecting a full V-shaped recovery anytime soon. But as economies reopen just in time for summer, it will give some sectors a much-needed boost over the next few months.
Penny stocks in those sectors will benefit the most. That's because penny stocks trade for under $5, the definition used by the U.S. Securities and Exchange Commission. So a small move in the broad market can send some penny stocks more than doubling in price.
We'll show you our 180% growth penny stock. But first, here's one making the most of the rebound…
Best Penny Stocks to Buy, No. 3: Helix Energy Solutions Group
Oil prices are up since the massive crash to negative earlier in the year. Saudi Arabia has recently announced it may continue limiting supply to keep stabilizing the price. We're also entering summer driving season in June, which will supply a bump in demand.
The penny stock to watch here is Helix Energy Solutions Group Inc. (NYSE: HLX). This is a Houston-based oil and gas services company. Helix provides a range of offshore oil production and management services. And as oil demand kicks up, so will its services.
This is a company that does well when oil prices do well. With oil prices having nowhere left to go but up, this is a prime opportunity to pounce on a penny stock under $5.
Helix increased revenue 103% year over year last year, from $28 million to $57 million. Net revenue for the three months ending in March 2020 was even higher than the last three months of 2019, up to $181 million from $166 million.
You can pick up shares for just $3.48 right now.
This next top penny stock could be a leader in one of the most explosive new sectors on the market…
Best Penny Stocks to Buy, No. 2: Organigram Holdings
We're talking about cannabis. Marijuana stocks will be getting more attention this year as we approach the 2020 election. They've already had some catalysts driving growth, in fact.
Cannabis was considered an "essential" item through the pandemic in several states. And states that hadn't legalized cannabis were forced to think of new revenue streams to deal with the cost of fighting the coronavirus.
The best marijuana penny stock to keep your eye on moving forward is Organigram Holdings Inc. (NASDAQ: OGI). This is a leading cannabis brand in Canada founded in 2013, serving both medicinal and recreational purposes.
This is one of the top cannabis penny stocks to buy thanks to the fast growth it's seen in the last year. Revenue soared 566% for the company from 2018 to 2019. And that's only going to get bigger over the next couple months.
The company just rolled out a new line of cannabis products for medical consumers called Edison. We expect that to drive new demand for the company in June.
Analysts are giving Organigram an average price target of $3.52 over the next 12 months as this product rolls out. That's 84% growth from today's $1.91.
But our next best penny stock could pop 180%…
Best Penny Stocks to Buy, No. 1
About the Author
Mike Stenger, Associate Editor for Money Morning at Money Map Press, graduated from the Perdue School of Business at Salisbury University. He has combined his degree in Economics with an interest in emerging technologies by finding where tech and finance overlap. Today, he studies the cybersecurity sector, AI, streaming, and the Cloud.