Start the conversation
While the headlines may look ugly at times, it's still an excellent time to invest in stocks.
The extra liquidity provided by the U.S. Federal Reserve has driven stock prices continually higher since March. All three major stock indexes are in the green on the year now. And there is no end in sight.
But it's been an even better time for investing in stocks that trade for less than $5 a share.
You see, penny stocks can make huge percent gains on small share price moves. Plus, their low share price makes them easier for more investors to afford, which helps lift their price as money flows in.
With many stocks sitting at or near all-time highs, there's never been a better time to jump into cheap stocks like these.
In fact, the best penny stocks have attracted lots of attention from new investors in particular. This new cash is providing the firepower to send many of these stocks dramatically higher.
And to help you get in on these shares early, we're showing you the best penny stocks to buy today for triple-digit upside.
These stocks span some of the hottest industries right now, including biotech and 5G, so there's something here for every investor.
That starts with an unheard-of play: a dividend penny stock…
The Penny Stock with a Dividend Yield Over 10%
Nordic American Tanker Ltd. (NYSE: NAT) is a low-priced stock that just got a significant upgrade from one of the analysts following the stock. The company posted a blowout second-quarter earnings report two weeks ago as rates for its 23-ship fleet of Suezmax tankers soared. Many oil companies and speculators used tankers as storage for excess oil, which created extra demand for tankers when oil prices plummeted earlier this year.
Best Stocks: Three of the best stocks to consider buying today: These picks belong in every portfolio. Learn more…
While rates have settled back down, the company was very upbeat in its forecast for the rest of the year. Management sees signs of improvement in the global economy that should be good for the tanker markets. They reiterated that the cash dividend is a high priority for the company and pointed out that a strong tanker market means higher dividends for North American shareholders.
You won't find a penny stock that pays a dividend like this one. NAT shares currently yield over 10%.
There has been recent buying by insiders at North American tankers, including a recent 50,000 share purchase by CEO Herbjorn Hansson. That bodes well for the dividend level and stock price going forward. If they come anywhere close to analysts' forecasts for the next year, the stock could easily double or more from the current level.
A Top Biotech Penny Stock Could Pop Soon
Akari Therapeutics Plc. (NASDAQ: AKTX) is a biopharmaceutical company focused on innovative therapeutics to treat orphan autoimmune and inflammatory diseases. It has had a lot go right for it recently, and its progress could help propel the stock higher by several multiples of the current stock price.
Earlier this month, the company announced a successful "end of phase 2 meeting" with the U.S. Food and Drug Administration (FDA) regarding Akari's proposed pivotal phase 3 program to treat moderate to severe bullous pemphigoid.
Bullous pemphigoid is an abnormal immune response that causes large blisters to form. It is a problem mostly in older adults.
The drug in question, Nomacopan, also is being considered as a therapeutic option for COVID-19 patients.
Last month, Akari announced a new $30 million financing agreement with long-term shareholder Aspire Capital. Akari will use the cash for general corporate purposes, including research and development, clinical trial activity, and working capital.
Analysts are very bullish about the new developments for the company's drug pipeline going forward. The stock's current price targets are for the stock to move somewhere between 80% and 298% higher over the next 12 months.
The long-term future could be much higher if it can get more of its orphan drugs approved by the FDA.
This 5G Penny Stock Is Our Best Buy Today
RF Industries Ltd. (NASDAQ: RFIL) makes interconnect products for the telecom, data communications, and industrial markets. Interconnect products include things like RF connectors, coaxial cables, data cables, wire harnesses, fiber optic cables, custom cabling, energy-efficient cooling systems, and integrated small cell enclosures. It is all the stuff that is needed to build out the backbone of our communication networks.
This going to be a 5G play with massive profit potential. A lot of cable, connectors, harnesses, and other products are going to be used to roll out 5G across the United States fully.
The rollout will cost hundreds of billions of dollars, and as a leading player in the interconnect business, a lot of that money should end up in the coffers of RF Industries over the next few years.
The stock has been weak since it reported second-quarter earnings. It took a hit in the quarter as the arrival of COVID-19 delayed many of its projects. The projects were postponed, not canceled, and that revenue will show up either late 2020 or sometime next year.
RF Industries has a solid balance sheet right now. The only debt is 2.8 million in PPP loans the company took out to help offset the slowdowns caused by the pandemic. Much of that debt can be forgiven in the company meets certain conditions, and management intends to meet those conditions. That would leave RF Industries debt-free.
RF Industries is an overlooked 5G stock that has the potential to double or better as the rollout around the United States continues over the next few years.
Three Stocks Even Better Than These
Chief Investment Strategist Shah Gilani just held his first-ever stock-picking lightning round event – running through more than 50 stocks to tell you if they are stocks to buy or stocks to sell.
Dozens are overpriced and overhyped – you should ditch them ASAP.
But Shah says THESE three stocks are "screaming buys."
All three are trading at a discount… they're under-the-radar companies most people haven't even heard of… and they have massive tailwinds ready to send their share prices into the stratosphere.
To get the company names, tickers, and price targets for Shah's picks, go here now.
About the Author
Garrett Baldwin is a globally recognized research economist, financial writer, and consultant with degrees from Northwestern, Johns Hopkins, Purdue, and Indiana University. He is a seasoned financial and political risk analyst, with a focus on stocks, hedge funds, private equity, blockchain, and housing policy. He has conducted risk assessment projects for clients in 27 countries, and consulted on policy and financial operations for some of the nation's largest financial institutions, including a $1.5 trillion credit fund, a $43 billion credit and auto loan giant, as well as two of the largest Wall Street banks by assets under management.
Garrett joined Money Map Press as an economist and researcher in 2011, specializing in alternative strategies with an emphasis on fundamental and technical analysis.