With earnings season in full swing, there are plenty of penny stocks to watch right now. On Wednesday, July 14th, both blue chips and penny stocks ended the day mostly mixed. Several banks throughout the day reported relatively low-growth numbers in their second-quarter earnings results. And while this is mostly to blame for today’s less than stellar momentum, there are a few other factors to consider.
First, the issue of inflation is one that investors are grappling with right now. Despite the pandemic still in full swing, the price of retail goods and resources are sky-high right now. This is a clear indication of short-term inflation. Additionally, on Wednesday, Fed Chair Jerome Powell stated that inflation “will likely remain elevated in coming months before moderating.”
But, this is no surprise, and in fact, this is something that most investors have expected in the past few months. So, all of this information shows that there is a lot to consider right now in the stock market. But, because penny stocks don’t like to play by the rules, there are plenty that are still showing momentum.
As you create a list of penny stocks to watch, it is, however, important to consider all of these factors and how they will play into your portfolio. And with investors still hopeful about the future, we could see more momentum in the coming months. With this in mind, here are three top penny stocks that investors are watching right now.3 Hot Penny Stocks to Watch in Summer 2021
- Borqs Technologies Inc. (NASDAQ: BRQS)
- Akebia Therapeutics Inc. (NASDAQ: AKBA)
- 9 Meters Biopharma Inc. (NASDAQ: NMTR)
Borqs Technologies Inc. is a tech penny stock that creates software and develops various other products. The company also provides Android-based devices and platform software. Its products are used by mobile chip manufacturers, equipment manufacturers, and more, and are primarily sold in the United States, China, and India.
On July 7th, it announced that the company has completed its manufacturing facilities at the 5G Industrial Park Project located in Huzhou, China. This is the first time in company history that Borqs has its own electronics manufacturing line. The initial phase of the project has the capacity to reach up to 700,000 units of products per year. This is a big deal and shows that BRQS could become a major player in the 5G market in the near future. And, the ability to produce its own products means that it could see profit margins increase in the coming months.
This announcement comes only a few weeks after Borqs announced that it has secured purchase orders from a Fortune 500 company for its handheld Android-based computers. The revenue from these purchase orders is expected to be worth $10 million within a year. BRQS stock recently saw a huge spike, while albeit correcting only a few weeks later. Now, BRQS stock seems to be on the rise again, up by around 2% on the day of July 14th. With this in mind, will you add this company to your list of penny stocks to watch?Akebia Therapeutics Inc. (NASDAQ: AKBA)
This next company, Akebia Therapeutics Inc., is a biotech penny stock. Akebia Therapeutics develops and commercializes various renal compounds for those with kidney diseases. Currently, the is developing vadadustat, which is an oral therapy in Phase III trial for treating anemia caused by chronic kidney disease. Akebia also develops Auryxia, which is used to control serum phosphorus levels in people with CKD on dialysis. Both of these products could have sizable market audiences if all approvals are gained.
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On June 30th, the company granted 25 new employees options to purchase an aggregate of 210,000 shares of Akebia’s common stock. The options have an exercise price of $3.79 per share which is close to the closing price of Akebia’s common stock on the same date. The company recently presented at the ERA-EDTA Virtual Congress 2021 as well. While neither of these announcements are be-all-end-all, they do show that the company is making progress in both the publicity arena and in the confidence of its stock price.
Other than these recent announcements, there is not any other company-specific news that has come from Akebia. On July 14th, AKBA’s volume is more than double its average in the market. Additionally, AKBA stock shot up by around 6% on Wednesday, indicating sizable bullish sentiment. Keeping this information in mind, is AKBA a contender for your penny stock watchlist?9 Meters Biopharma Inc. (NASDAQ: NMTR)
9 Meters Biopharma Inc. is a biotech penny stock with multiple developments in its pipeline. The company focuses on patients that have rare conditions within the gastroenterology field. Its drug candidates include those in use for treating short bowel syndrome and celiac disease.
It is currently developing Larazotide which is an 8-amino acid peptide in Phase III clinical trial to treat celiac disease. Celiac is a common ailment in the U.S. and abroad, and has a high clinically unmet need. On June 28th, the company announced that it had been added to the Russell 2000 and 3000 indexes.
“The addition of 9 Meters to these Russell Indexes is indicative of both the perseverance and accomplishments our team has made in the last year as we strive to become the treatment leader in rare and unmet gastroenterology disorders.
Our inclusion in the Russell Indexes will raise our visibility among the international investment community at a favorable time, as we move towards several upcoming milestones.”The President and CEO of 9 Meters, John Temperato
This is both a big deal for the company and investors alike and should bring in both new capital and a new audience to NMTR stock.
Also in June, the company announced the initiation of the Phase 2 VIBRANT study of Vurolenatide to treat short bowel syndrome. Other than these two recent updates, 9 Meters has not made a great deal of announcements in the past week or so. However, in the past week or so, shares of NMTR stock have shot up by around 5%. It’s worth noting that its volume is also much higher than its market average at the moment. With this in mind, will NMTR make it on to your list of penny stocks to watch?Which Penny Stocks Are on Your Watchlist Right Now?
As mentioned earlier, there are a lot of factors for penny stocks investors to contend with right now. This includes inflation, the ongoing pandemic, and everything relating to those two constants.
But, with hope regarding the future continuing to hit new highs, many are simply waiting on this momentum to begin. As always, investors should remember to do the due diligence necessary to make sure their portfolios have the best chance of success. Considering all of this, which penny stocks are on your watchlist right now?