With a potential bull market run ahead of us, investors are looking to riskier investment options, such as penny stocks, to take advantage of the upward trend. For one, it looks promising that we’re potentially in the early stages of a bull market. Two, inflation has been trending downward since July. Three, it appears investors are far more optimistic moving forward. All of which could be good news for penny stocks, including the seven listed below.
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With gold prices rising as inflation eases, Kinross Gold (NYSE:KGC) is a particularly attractive penny stock gem deserving of attention. Its value has been increasing steadily over the past several months, and there is potential for multibagger returns down the road.
It’s been an undeniably difficult year for Kinross, with the sale of its Russian assets resulting in lower production guidance. However, there are plenty of reasons to be optimistic. The firm’s liquidity position is as strong as ever, with over a $2 billion buffer on a trailing-twelve-month basis. What’s more, free cash flow moving forward is expected to add to this buffer, allowing for dividends and share buybacks that investors can look forward to.
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The Solid Power (NASDAQ:SLDP) stock tanked over 70% in 2022 thanks to a delay in commercializing its solid-state batteries. However, the SLDP again stock looks attractive. Just recently, the company offered intellectual property rights related to its technology to BMW (OTCMKTS:BMWYY). This prestigious agreement allows the company to produce battery cells at its German facility, allowing them to join forces with Ford (NYSE:F), which has also backed the tech firm.
These are exciting times as Solid Power delivers silicon battery cells for validation testing later in the year. Moreover, in terms of potential long-term growth, the solid-state battery industry is estimated to grow by a spectacular 32.5% through 2028 with multiple catalysts.
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Nokia (NYSE:NOK) is a reliable, cheap blue-chip penny stock with CEO, Pekka Lundmark at the helm. Lundmark has been instrumental in streamlining chip procurement processes, while also eyeing the potential of 5G technology across North America and other parts of the world. This move toward agility and adapting to industry changes is what sets Nokia apart from other firms in its niche. With Lundmark’s vision leading the way, NOK remains in pole position for long-term expansion ahead.
The U.S. banning Chinese telecom giant Huawei has provided an excellent opportunity for firms like Nokia and Ericsson to step in and fill the gap. Adding to the appeal is its modest dividend yield of 1.31%, making it a great option for investors looking to marginalize their risk.
Denison Mines (NYSEAMERICAN:DNN), a Canadian-based uranium exploration, development, and production company, is an exciting investment opportunity.
With Russia’s move into Ukraine, the world was reminded of what happens when a country turns away from nuclear energy for political or ideological reasons. Moreover, multiple enterprises recognize the critical importance of nuclear energy to the broader infrastructure. According to thee Nuclear Energy Institute, one uranium fuel pellet has as much energy as 17,000 cubic feet of natural gas, 149 gallons of crude oil, and other sources.
Investors are thrilled with Denison’s metallurgical testing results in its uranium mining project at Wheeler River. The core leach test went remarkably well, showing an excess of 97% recovery of uranium without artificially increasing permeability. Such promising news bodes well for DNN stock over the long run.
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CPS Technologies (NASDAQ:CPSH) is a company that sets the industry standard for advanced materials solutions. Its patented metal matrix composite (MMC) is at the cutting edge of modern material science. In fact, this material exhibits some of the best characteristics in terms of thermal conductivity, proportional expansion matching, stiffness, and weight while keeping overall costs down. It has also made CPS Technologies attractive within the transportation, energy, aviation, defense, and oil and gas sectors looking for reliability.
By supplying the advanced materials and resources necessary for warfighters to succeed, CPS enables businesses to remain true to their moral standards while ensuring that those in need have access to high-quality protection. Therefore, with multiple use cases for its products, CPSH technology could be an excellent penny stock for robust gains in the future.
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Valeo Pharma (OTCMKTS:VPHIF) is an exciting Canadian pharmaceutical stock to keep an eye on. It has been experiencing solid growth of late with its focus on respiratory, specialty, and other hospital-related products.
There’s a lot to be excited about with Valeo Pharma. The firm recently raised its fiscal 2022 revenue guidance, representing a massive 100% jump from its revenues in 2021. Adding to this impressive development is the company’s recent agreement to supply epinephrine injection ALLERJECT in Canada, providing them access to an $80 million market in the country. Moreover, another recently signed agreement with Novartis (NYSE:NVS) will help Valeo tap into the massive dry eye disease and open-angle glaucoma markets across Canada.
Curaleaf Holdings (OTCMKTS:CURLF) is one of the most attractive cannabis stocks on the market. At the moment, it has operations in 22 states in the U.S. and is expanding into European markets. Moreover, the company has been delivering strong financial results encouraging key performance indicators such as its adjusted EBITDA margin. For the third quarter last year, Curaleaf reported an adjusted EBITDA margin of 24.7%, up from 21% the prior year’s quarter.
Furthermore, the firm has been making waves due to its robust investment in research and development. This commitment ensures the company continues to launch new products that tap into increasing market demand. These efforts are clearly paying off, with 18% of the company’s revenue generated by products launched within the last year alone, a testament to the firm’s innovative spirit.
On Penny Stocks and Low-Volume Stocks: With only the rarest exceptions, InvestorPlace does not publish commentary about companies that have a market cap of less than $100 million or trade less than 100,000 shares each day. That’s because these “penny stocks” are frequently the playground for scam artists and market manipulators. If we ever do publish commentary on a low-volume stock that may be affected by our commentary, we demand that InvestorPlace.com’s writers disclose this fact and warn readers of the risks.
Read More: Penny Stocks — How to Profit Without Getting Scammed
On the date of publication, Muslim Farooque did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines
Muslim Farooque is a keen investor and an optimist at heart. A life-long gamer and tech enthusiast, he has a particular affinity for analyzing technology stocks. Muslim holds a bachelor’s of science degree in applied accounting from Oxford Brookes University.
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