When it comes to investing in penny stocks, investors need to keep in mind that these stocks are inherently volatile by nature. Hence, it is necessary to conduct a lot of research into a wide range of stocks before one actually makes an investment. In addition to that, the stock markets are in a highly volatile state, and hence, investors probably need to be far more cautious with their choices.
One way of going about it is by observing the latest moves being made by penny stocks. On that note, here is a quick look at four penny stocks that have made promising moves recently.
Best Penny Stocks To Buy Or Sell #1 NN Inc
One of the penny stocks that could be considered by investors at this point in time is that of NN Inc (NNBR Stock Report). Last week the company announced that it was going to withdraw its projections for the financial year 2020. At the same time, it stated that the financial guidance for the fiscal first quarter of 2020 is going to stay in place.
However, that is not all. It has also emerged that NN drew down as much as $60 million from its credit facility in order to boost its cash position for the near term. On Monday, the stock soared by as much as 90%.
Best Penny Stocks To Buy Or Sell #2 Millendo Therapeutics
Another penny stock that may be on the radars of many investors at this point is Millendo Therapeutics (MLND Stock Report). Last week the company had a massive setback when it emerged that the Phase 2b clinical trial of its product livoletide was unsuccessful. The product in question is meant to treat Prader-Willi Syndrome.
The stock suffered a brutal selloff following that news, and the stock tanked by as much as 70% in a day. However, on Monday, the Millendo stock rebounded and managed to record gains of as much as 25%.
Best Penny Stocks To Buy Or Sell #3 Nio
Investors who are looking to invest in promising penny stocks could also consider taking a closer look at Nio (NIO Stock Report). The Chinese electric vehicle manufacturer has had a wild rise in 2020 so far and has recorded declines of as much as 34% till date.
Nio suffered after the withdrawal of electric vehicle subsidies from the Chinese government. It led to a cash crunch at the company, and that eventually led to the selloff in the stock. However, the news of fresh cash injections has raised investors’ hopes again. On Monday, the stock gained 11.50%.
Best Penny Stocks To Buy Or Sell #4 Rockwell Medical
Last but not least, it is Rockwell Medical (RMTI Stock Report) that has emerged as another promising penny stock option this week. The company which manufactures products to treat anaemia has seen its stock price drop considerably in recent times and is currently trading at only $1.90 a share.
However, there is an analyst who remains bullish about its prospects. Christopher Raymond of Piper Sandler pointed out that its product, the Triferic AVNU, was given the green signal by the FDA. He thinks that the product will make up 70% of the company’s revenues by 2025.