3 Penny Stocks to Watch With October Starting on The Right Foot
While September was not a kind month for penny stocks, many investors have high hopes for October. Historically, September is a weak trading period for both penny stocks and blue chips. This is a trend that has continued for many decades.
And with that, we could be entering October in a position where many penny stocks are somewhat undervalued. Now, it’s too early to say whether or not October will be a bullish month for the stock market. However, with Covid cases beginning to drop and the avoidance of a Government shutdown, investors do seem hopeful about the future.
As always, traders should have a thorough understanding of the current market conditions. This means looking at the trending news, any catalysts that could impact the stock market, and how your investing goals should be aligned with the stocks you choose. At the end of the day, buying penny stocks or any stocks for the matter is a personal decision. The stocks you pick should align with your tolerance for risk, and your long-term goals.
Right now, there is plenty of momentum in the stock market to take advantage of. But, without a proper trading strategy, it is also extremely easy to lose money with penny stocks in 2021. With all of this in mind, let’s take a look at three penny stocks to watch in October 2021.
3 Penny Stocks to Watch in October 2021
Meten Holding Group Ltd. (NASDAQ: METX)
Meten Holding Group Ltd. (formerly known as Meten EdtechX Education Group Ltd.) is an education company based in China. This company offers adult and junior English language training services for students and professionals. These services are on offer under the Likeshuo, ABC, and Meten brand names. As of December 31st, 2020, the company had 105 learning centers, and 13 franchised learning centers.
At the start of September, Meten announced the adoption of a new initiative to develop a blockchain and cryptocurrency business. The company stated that the goal was to transition itself into a new benchmark among innovative enterprises. The company is currently thinking about purchasing mining machines and NFT assets to put into operation. In the future, Meten expects to provide mining operations and custodian services for other mining service providers.
“Our New Business Initiative will be built upon the traction we are already seeing in our past research and preparation of blockchain and cryptocurrency business.
After in-depth research and exploration in the crypto world, with the resources and talents of the Company, we are committed to building a professional team to explore the blockchain and cryptocurrency business while maintaining our core adult ELT business.”
The CEO of Meten, Alan Peng
On September 30th, shares of METX stock managed to finish the day up by around 9%. This brings its five-day gain to a solid 16% or so. Keeping this in mind, will METX make your list of penny stocks to watch?
Progenity Inc. (NASDAQ: PROG)
Progenity Inc. is a biotech penny stock that managed to climb up by an impressive 40% in the market today. This shows a five-day gain of almost 60%, which is no small feat. For some context, this company offers molecular testing products for the healthcare industry. Its Innatal product is a noninvasive prenatal screening test for pregnant women to check for chromosome abnormalities. The company is also developing COVID-19 PCR testing services and Resura, its prenatal test for families at risk for rare single-gene disorders.
On September 14th, Progenity announced that the United States Patent and Trademark Office issued a patent for the assessment of preeclampsia using assays for free and dissociated placental growth factors. This patent refers to methods, compositions, and kits for detecting and measuring. This test should target a market of up to $3 billion annually in the United States.
“We are pleased the USPTO has granted this patent covering unique and novel methods for determining levels of free and dissociated PlGF since detection and quantification of both biomarkers are critical for assessing preeclampsia. This discovery helped drive the excellent performance we observed in our clinical verification and validation studies.”
Chief Scientific Officer of Progenity, Matthew Cooper, Ph.D.
Since this announcement was made, PROG stock pushed up by around $0.50 per share in the market. Its volume on September 30th is over 12 times higher than its average at the time of writing. With all of that in mind, will PROG make your list of penny stocks to watch?
Superior Drilling Products Inc. (NYSE: SDPI)
Superior Drilling Products Inc. is another penny stock that increased by an impressive margin today. By EOD, shares of SDPI stock had shot up by over 60%, bringing its five-day gain to over 125% and one year gain to over 335%. This company creates drilling and completion tool technology solutions. It engages in the design, manufacturing, sale of these products which makes it a completely vertical entity. One of its products is Drill-N-Ream, which is a dual-section wellbore conditioning tool. These tools are for sale to industrial companies, oil and gas drilling corporations, and more.
The latest update from Superior Drilling Products comes from August. This is when the company released its second-quarter financial results for 2021. The company’s second-quarter revenue went up $1 million quarter over quarter and $1.4 million year over year to a total of $3.4 million. In addition, the company’s rig efficiencies drove higher levels of drilling activity with more wells.
Chairman and CEO Troy Meier said, “We believe our strong growth this quarter clearly demonstrated the value of our Drill-N-Ream® (“DNR”) wellbore conditioning tool as well as the growing demand for our manufacturing capabilities.” The company has not yet reached its pre-pandemic levels, but the company is recovering at the moment. Keeping this in mind, will SDPI be on your penny stock watchlist?
Are Penny Stocks Worth Buying Or Not?
Finding the best penny stocks to buy in 2021 can be challenging. With so many moving parts in the stock market, taking advantage of speculative catalysts is not an easy task.
But, with a proper trading strategy on hand and a commitment to learning how to trade, investing in and making money with penny stocks can be done. Considering this, do you think that penny stocks are worth buying right now or not?