3 Penny Stocks to Provide 1,000% Returns Over the Next Decade
While penny stocks promise substantial potential gains, the reality is that sub-$5 stocks are among the riskiest investments. Their low price often reflects underlying issues like weak business models, high debt, dwindling market share, and uncertain prospects.
True, each new month brings fresh investment possibilities where significant capital isn’t required. Penny stocks offer opportunities with potential for substantial returns, fueling interest in the best picks.
Let’s examine three of the top options in the sub-$5 per share world of equities.
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Surge Battery Metals Inc. (NILIF)
Source: Pixel Enforcer/ShutterStock.com
On August 31, Surge Battery Metals Inc. (OTCMKTS:NILIF) enlisted Kautz Environmental Consultants Inc (Kautz) to address cultural resource impacts at the Nevada North Lithium Project (NNLP).
Furthermore, Surge is preparing exploration and reclamation plans for NNLP, requiring compliance with the National Historic Preservation Act (NHPA). The NHPA mandates evaluating the project’s impact on cultural resource properties. In fact, CEO and Director Greg Reimer emphasized the significance of sustainable development. Additionally, he expressed enthusiasm for collaborating with Kautz and forming connections with local cultural communities.
Moreover, Surge Battery Metals Inc. stock receives buy signals from both short and long-term moving averages, indicating a positive outlook. Also, the stock’s short-term average is now above its long-term average, providing a key technical buy signal for traders.
Nikola (NKLA)
Source: Nikola Press Center
Nikola (NASDAQ:NKLA) gained attention on Sept. 15 for its Canadian expansion. Thus, the company partnered with ITD Industries to establish a Toronto showroom within ITD’s manufacturing facility, providing sales and service for Class 8 trucks.
Nikola CEO Steve Girsky reported that their fuel-cell trucks, undergoing tests, are achieving impressive daily distances of 900 miles. Specifically, this showcases the potential for hydrogen-powered trucks. Also, the company is actively demonstrating these trucks to potential customers and has received 210 non-binding orders.
With the California state offering of substantial rebates for small fleet companies, these fuel cell vehicles could gain popularity, possibly leading to significant deals by year-end, which could benefit NKLA stock.
Savara (SVRA)
Source: shutterstock.com/Romix Image
Ironically, the biotech and pharmaceutical sectors suffered during the health crisis, except for those pivoting to Covid-19.
Now, with declining cases, it’s worth considering biotech opportunities like Savara (NASDAQ:SVRA). The firm specializes in rare respiratory diseases, particularly the Phase 3 study of Molgradex for aPAP.
Why the lack of investor enthusiasm for this stock?
Perhaps it’s due to Savara’s recent $130 million secondary offering. It brought in essential capital but also resulted in significant shareholder dilution. While this may constrain SVRA stock gains if Molgradex succeeds, there’s strong confidence in its potential. Buying this stock now, despite investor hesitation, might prove profitable in the long run.
Additionally, Savara anticipates releasing the trial results by Q2 2024, marking a significant milestone addressing the medical need and molgramostim’s potential efficacy.
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, Chris MacDonald 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.
Chris MacDonald’s love for investing led him to pursue an MBA in Finance and take on a number of management roles in corporate finance and venture capital over the past 15 years. His experience as a financial analyst in the past, coupled with his fervor for finding undervalued growth opportunities, contribute to his conservative, long-term investing perspective.
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