If you’ve read all the warnings and still want to jump into some of the top penny stocks to buy, focus on the key fundamentals.
That includes its earnings numbers, business models, product pipelines and what market they’re part of.
You’ll also want to pay close attention to volume, especially volume spikes. That’s because volume often precedes price. In addition, you’ll also want to see if the volume is being supported by news. Or you’ll get what we just saw with Zapp Electric (NASDAQ:ZAPP).
Over the last few days, ZAPP ran from about $2 to $19.10 on heavy volume — but no news.
On July 2, it traded at $2.04 and saw volume spike to 35.2 million, as compared to average volume of 7.2 million. On July 3, volume jumped to 25.5 million.
By July 5, it was up to 50.3 million. Then by July 8, volume soared to 105 million. And by July 9, volume was up 45 million. Now, as volume fades, the stock is starting to pull back. While it was fun to watch, it won’t end well — especially for the stock-chasing bag holders.
Here are a few “safer” penny stocks to buy instead.
Kazia Therapeutics (KZIA)
Keep an eye on penny stocks to buy such as Kazia Therapeutics (NASDAQ:KZIA). Even after exploding from 20 cents to a high of $1.08, it could push aggressively higher.
All after it posted positive Phase 2/3 results for its drug paxalisib in the treatment of glioblastoma, which is a malignant tumor affecting the brain or spine. The study, called GBM-AGILE, showed a median overall survival of 14.77 months for paxalisib-treated patients, as compared to 13.84 months for those given the standard of care.
With that, the company said it will request a meeting with the U.S. FDA to see if it can get accelerated approval.
As noted by Kazia CEO Dr. John Friend, “We are excited to have shown a 3.8-month improvement in overall survival, an approximate 33% improvement, for newly diagnosed unmethylated patients with GBM compared to the concurrent standard of care arm. Having comparable Overall Survival data across two independent studies is a compelling outcome in this difficult-to-treat glioblastoma population.”
Curaleaf Holdings (CURLF)
At a bit over $4, Curaleaf Holdings (OTCMKTS:CURLF) is a strong buy on three key cannabis catalysts.
As I noted on July 8, “We already know 88% of Americans want legalization, which the current candidates should use to their advantage for votes. We know cannabis will be rescheduled as a Schedule III drug at some point. And we know that Florida will vote on legalization.”
If Florida votes for legalization, it could unlock a massive market opportunity. All are potentially powerful catalysts.
Helping, according to Curaleaf CEO Matt Darin, “Our unique exposure to the most significant catalysts on the horizon — continued expansion of the NY market, expansion of Pillar 1 in Germany, and adult use in Ohio, Florida and Pennsylvania sets us up for robust growth in 2025 and beyond.”
Last trading at around $4.16, I’d use the recent weakness as an opportunity as we near the election.
Plug Power (PLUG)
We can also look at down, but not out shares of hydrogen stock, Plug Power (NASDAQ:PLUG).
After finding strong support at around $2.21, PLUG now trades at $3.02 and could push higher. Helping, the company just deployed 13 hydrogen refueling stations across Europe. While most are still in the commissioning phase, all are expected to be operational this summer.
Even better, the company said it saw a “substantial advancement” with its plants in Georgia and Tennessee. It also noted that its Louisiana joint venture with Olin (NYSE:OLN) is on track to see mechanical completion by the end of the third quarter.
Plus, it just signed two contracts to deliver basic engineering and design packages for projects in Europe and the U.S.
Moreover, when and if we see changes to restrictive 45V industry tax credits, Plug Power and other top hydrogen stocks could race to higher highs.
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Read More: Penny Stocks — How to Profit Without Getting Scammed
On the date of publication, Ian Cooper did not hold (either directly or indirectly) any positions in the securities mentioned. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
On the date of publication, the responsible editor did not have (either directly or indirectly) any positions in the securities mentioned in this article.
