Healthcare is in for some big changes in the coming years. But we're not just talking about COVID-19 vaccines, telemedicine, or artificial intelligence.
There's a healthcare sector you're probably not even thinking about. And it's going to give our best penny stock now a 192% boost.
This is an industry that could grow 168% in the next five years. And it may surprise you…
You see, penny stocks tend to pop higher than your larger-cap stocks. The SEC defines penny stocks as stocks trading under $5 a share.
With a price that low, a gain of a few bucks can mean double- or triple-digit profits.
Penny stocks can rise or fall by huge margins, depending on what the broader market or the specific industry is doing.
For example, we recommended Workhorse Group Inc. (NASDAQ: WKHS) back on Jan. 30. It traded for $2.76. It now trades for $15.51, a 461% return.
That was not the first time one of our penny stocks has more than doubled. And it's not the last.
Our penny stock today is a favorite because its sector is ever-increasing in popularity.
Here's why it's going to give our best penny stock a 192% return for today's investor.
Why It's the Best Penny Stock Now
Like it or not, plastic and cosmetic surgery is booming. Insider.com says the number of procedures increased from 14 million to 23 million between 2010 and 2019.
USA Today published an article last year saying "selfies and self-care" are leading to more cosmetic procedures for millennials.
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The cosmetic surgery and procedure market, according to Grandview Research, will be worth $43.9 billion by 2025.
In 2019, the industry reported revenue of just $16.7 billion. That means this industry could soar 168% in just five years.
When you see a number that big, you want to look at who is leading that industry to see if you can get a piece.
Penny stocks in promising industries may even jump ahead of the market, since they are more volatile.
That's why we chose this as our best penny stock today…
The Best Penny Stock to Buy Right Now
STRATA Skin Sciences Inc. (NASDAQ: SSKN) is a dermatology and plastic surgery company. It makes a wide range of products for treatment of dermatologic conditions.
Its main products include the XTRAC laser and VTRAC lamps to treat psoriasis, vitiligo, eczema, and other conditions with UVB light.
This company users direct-to-consumer advertising to build its brand. It has resulted in a network of more than 822 clinics and 2,000 devices installed.
Thanks to a steady consumer interest in cosmetics over the last decade, STRATA has been able to keep its revenue stable, averaging about $30 million per year.
The company has gone from a net loss of $18 million in 2017 to a loss of just $3.7 million in 2019.
A growing cash flow shows the company could be profitable by the start of next year. The company has gone from -$562,000 in free cash to $455 in the last 12 months.
This stock trades for $1.70 a share today. But analysts predict it could hit $4.88 within the year. That represents a 192% pop for today's investor.
This industry is only going to get bigger, so grab shares while you can.
Six-Figure Payday Opportunity Opens After the FCC Launches $10 Billion Initiative
Working from home, telemedicine, and even online grocery shopping are trends that've been here for years without causing any problems… until February.
The 88 most populous cities across the United States are now seeing their Internet speeds tumble by 44% (and this could just be the start).
That's why the FCC had to step in – and its $10 billion initiative could translate to a huge payout because of it.
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.