Are you ringing in the New Year with penny stocks? If you haven’t any cheap stocks on your watch list yet, you might want to take a second look. This week has been red hot for stocks under $5 and no, it isn’t because of COVID. Well, some catalysts have stemmed from pandemic-related headlines. But, for the most part, countless penny stocks have surged thanks to their own momentum and headlines. For instance, we discussed Bionano Genomics Inc. (BNGO Stock Report) this quarter and most recently, earlier this week.
Something we discuss frequently is following sector and industry trends to find “the rising tide”. This saying suggests that a broader trend can help catapult momentum for stocks. In this case, biotech stocks have been hot. In the case of BNGO stock, it was benefiting from a series of headlines relating to its Saphyr system. This is the company’s platform designed for diagnostics and therapeutic data analysis. In any event, BNGO demonstrated just how hot penny stocks are right now. Shares have climbed more than 230% this week alone.
While there’s still time left to trade in 2020, it’s now coming down to hours. Thursday marks the final trading day of the year and I’m betting there’s plenty of trading looking for hot penny stocks right now. Since it’s a watch list, we’re simply looking at names that have begun trending toward the end of the year. Will they be top penny stocks to buy before 2021? That I’ll leave up to you.Hot Penny Stocks To Watch
- Sesen Bio Inc. (SESN Stock Report)
- Opgen Inc. (OPGN Stock Report)
- SeaChange International Inc. (SEAC Stock Report)
- Liberty Tripadvisor Holdings Inc. (LTRPA Stock Report)
- TransEnterix Inc. (TRXC Stock Report)
Sesen Bio has been one of the biotech penny stocks to watch for a while now. Despite the stock having pulled back a few weeks ago, shares have bounced back strongly this week. Wednesday marked the biggest one-day breakout since November. One of the things that have this on traders’ radars right now is with regard to the company’s priority review that was recently requested. Sesen completed its Biologics License Application for its Vicineum bladder cancer treatment and submitted it to the FDA.
The BLA is backed by its pivotal Phase 3 VISTA trial and also includes positive chemistry, manufacturing, and controls (CMC) data. Sesen believes this validates the “analytical comparability” between clinical and commercial supply. The company has also stated that its market research has shown that doctors choose Vicineum over 80% of the time, instead of Keytruda. In addition to all of this, the company plans on submitting a Marketing Authorization Application in Europe early next year. Considering the recent and potential catalysts early in 2021, SESN could be one of the penny stocks to watch.Hot Penny Stocks To Watch #2: Opgen Inc.
Opgen has had a much different year in comparison to SESN stock. For one, OPGN has been hovering around lows not seen since March. It’s been somewhat of a slow bleed since it reported an earnings miss. However, this week, the penny stock woke up in a big way. What’s more, is that there weren’t any recent headlines that apparently justified this momentum. Despite this as the case, OPGN stock jumped over 10% on Wednesday. Shares reached highs of $1.94 early in the afternoon in one of its highest share volume days of the quarter.
What we can say is that trading activity has begun picking up after results from a 1,400 patient sample study were published earlier this month. A peer-reviewed publication demonstrated that the company’s Unyvero LRT BAL panel detected 19 bacteria alongside Pneumocystis jirovecii and 10 antibiotic resistance genes directly from bronchoalveolar lavage fluid.
This allowed enhanced diagnosis of lower respiratory tract infections. It also showed an increased positivity rate of diagnostic testing. With stocks like BNGO surging this week, OPGN stock could be benefiting from a little bit of sympathy momentum in diagnostics stocks right now. Needless to say, it was a warm welcome for traders on Wednesday. Can this momentum continue into the New Year?Hot Penny Stocks To Watch #3: SeaChange International Inc.
SeaChange is a company discussed earlier this week. Something that was highlighted was the analyst outlook on the stock. The company has a Buy rating from Lake Street Capital as well as a $2 price target. This puts their SEAC stock forecast 42% higher than Wednesday’s morning high price.
Something that has helped boost momentum this month is SeaChange’s earnings results. The company beat analyst estimates for earnings per share during its fiscal Q3 2021. What’s more is that the company also recently highlighted strong demand from content owners for its new ‘Video Apps’ platform. The platform offers content owners the ability to launch direct-to-consumer TV and video applications directly through Smart TVs and connected platforms. Its “SeaChange Framework” has also helped content owners “generate new advertising revenue streams through the automated sale of their ad inventory.”
Considering the direction that people are heading to access entertainment (IE staying at own vs going out), the digital ecosystem has created an opportunity for companies like SeaChange. Will it be able to further capitalize in 2021?Hot Penny Stocks To Watch #4: Liberty Tripadvisor Holdings Inc.
Liberty Tripadvisor is one of the “epicenter stocks” to watch right now. Obviously, the company’s involvement in the travel and leisure industries has put it in focus. With new vaccines rolling out, travelers are chomping at the bit to get out when it’s safe to do so. In light of this, companies like Liberty Tripadvisor providing online travel site services and online retail have shifted with COVID headlines. The latest trend, however, is a much stronger uptrend that began in late October. In fact, LTRPA shares have jumped from around $1.70 to highs of $4.51 earlier this month.
After consolidating the last few weeks, LTRPA stock has bounced strong over the last few weeks. Obviously, the new strain of coronavirus that has been seen in Europe comes with a bit of concern right now. However, other headlines justifying strong consumer spending seem to have countered that.
The big question heading into 2021 for travel stocks is will people feel comfortable traveling more frequently? If LTRPA stock is on your list right now, be sure to keep in mind that COVID headlines have triggered quick directional changes for travel stocks this year.Hot Penny Stocks To Watch #5: TransEnterix Inc.
No list of hot penny stocks would be complete without at least one medical device company on it. TransEnterix has picked up momentum this month. It really began in early November after the company reported operating and financial results for its Q3 2020.
“The third quarter was immensely productive for the Company despite the ongoing headwinds associated with COVID and the burden placed on hospitals globally. We achieved several key milestones, including the first surgical procedures using the Intelligent Surgical Unit in the U.S. and the first pediatric surgical cases with the Senhance in Europe,” said Anthony Fernando, President, and CEO of TransEnterix.
The company’s Senhance® Surgical System is designed for minimally invasive laparoscopic surgery. Most recently, the system has been approved in the Russian Federation as well as leased by Southern Surgical Hospital in Louisiana. The company had also filed an FDA 510(k) submission for general surgery indication expansion to
broaden the addressable market, earlier this year. With all of these recent milestones and this week’s momentum, TRXC could be one of the penny stocks to watch heading into 2021.