4 Reddit Penny Stocks to Watch in Mid-November 2021
If you look for penny stocks on Reddit, you are not alone. Many investors have turned to the social media site as a way to find potentially valuable penny stocks to buy. And while it may seem as easy as stumbling across frequently mentioned penny stocks, it goes deeper than this. Of course, investors can invest in the stocks they see floating around on Reddit, but utilizing the power of the internet, traders can also understand other factors that have a major effect.
This includes looking at balance sheets, average volume, and any external news that is affecting either the company or the industry that it is in. All of this information will be invaluable when it comes to making a penny stocks watchlist. However, many investors fail to utilize these steps, and instead, simply invest because a penny stock is trending online.
It’s worth noting that penny stocks mentioned heavily on Reddit, tend to be some of the most volatile stocks out there. This is par for the course, and is something that investors should understand thoroughly before putting any money in. Additionally, it’s best to consider your trading strategy to see which penny stocks align best with your investing goals. Considering all of that, let’s take a look at four penny stocks on Reddit to watch right now.
4 Reddit Penny Stocks to Watch Right Now
CarLotz Inc. (NASDAQ: LOTZ)
CarLotz Inc. is an automotive-focused penny stock that has increased in value by around 10% in the past month. If you’re not familiar, CarLotz provides corporate vehicle sourcing partners and retail sales of new vehicles. The company acts as a vehicle sourcing partner, which includes fleet leasing companies, rentals, banks, etc. Currently, CarLotz operates ten hubs in the Mid-Atlantic, Southeast, Southcentral, Mid West, and West Coast regions.
On November 8th, CarLotz released its third-quarter financial results for 2021. During this period, the company’s net revenue went up by 128%. In addition to this, its retail unit sales went up to 2,490, a 58% difference year over year. As a result of all of this, its adjusted EBITDA was at $22.8 million compared to $0.6 million in the third quarter of 2020. Despite a chip shortage causing disruption, the company is still focused on maximizing returns on significant investments. These numbers are very substantial, and show just how hard the company is working to continue growing despite the pandemic.
“I am encouraged by this performance while navigating the impact of the ongoing chip shortage on our core consignment business model. While the chip shortage has caused a disruption to our consignment business model, we are focused on maximizing returns on the significant investments we have made this year, leveraging the assets we already have in place, and offering the best customer experience in the industry, all while building awareness of the CarLotz brand and what consignment means.”
CEO and Co-Founder Michael Bor
Based on these new developments, will LOTZ stock make your watchlist in the next few weeks?
BioDelivery Sciences International Inc. (NASDAQ: BDSI)
BioDelivery Sciences International Inc. is a biotech penny stock that has seen heightened popularity in the past few weeks. For some context, BioDelivery is focused on the development and commercialization of products for chronic conditions. One of its products is BELBUCA which is for treating chronic pain. BioDelivery also offers Bunavail which is for treating opioid dependence. ONSOLIS is BioDelivery’s product for breaking through pain in cancer statements.
On November 3rd, the company reported its third-quarter results for 2021. The company announced total revenues of $41.1 million, which represents a 4% increase year over year. BioDelivery also showed strong profitability with a GAAP EPS of $0.07, which is no small feat. During this period, the company closed an acquisition of ELYXYB which is the world’s first ready-to-use oral solution for acute migraine.
“Sales of BELBUCA and Symproic remain solid as we prepare for additional revenue growth associated with the launch of ELYXYB in the first quarter of 2022. ELYXYB, with patent protection to 2036, diversifies our portfolio, takes advantage of the synergies between pain and neurology, and leverages our current commercial infrastructure to manage ELYXYB in a very efficient way”.
CEO of BioDelivery, Jeff Bailey
With all of this to note, will BDSI be on your list of penny stocks to watch?
Metromile Inc. (NASDAQ: MILE)
Metromile Inc. is a penny stock that has been climbing in several recent trading sessions. This company offers insurance services in the United States. These services operate on a pay-per-mile basis by Metromile. Additionally, the company licenses AI claims platforms to automate the claim process. This platform also helps reduce loss associated with fraud, and to unlock the productivity of insurance carriers’ employees.
On November 8th, the insurance company Lemonade announced that it has agreed to purchase Metromile. This was accomplished in an all-stock deal that values it at around $500 million. All Metromile shareholders will receive Lemonade common shares at a ratio of 19 to 1. Last week, Lemonade launched its car insurance program, which is a complementary product given this acquisition.
“Joining forces with Lemonade Car will create the most customer-centric, fair, and affordable car insurance, and is a great outcome for Metromile shareholders, who will benefit as shareholders of the combined company. It also means that now, homeowners, renters, and drivers alike can have all of their insurance needs with a single company that truly has their best interests at heart”.
The CEO of Metromile, Dan Preston
While MILE stock has not had the greatest year so far, shares of MILE have begun to bounce back in recent trading sessions. As a result, MILE stock could be worth adding to your penny stocks watchlist.
Remark Holdings Inc. (NASDAQ: MARK)
At midday, shares of MARK stock began to rally, pushing it up over 9% by 1 PM EST. The main reason for this swift gain comes as the company announced via Twitter that it would be launching its robots for Smart Community next week. This comes before its Q3 2021 financial results which are scheduled to be released on November 15th at 4:30 PM EST.
If you haven’t heard of Remark Holdings, it is a tech penny stock that works in AI solutions. This includes products that can be put to use in retail, public safety, and workplace environments. In addition to this, it operates an e-commerce media property that is focused on the luxury coastal market.
Outside of its business operations, we have seen MARK stock be a major part of the most recent meme stock rally. This means that it is likely to see Remark Holdings make very large intraday moves both up and down. So, if you’re interested in MARK stock, make sure that you’re comfortable with heightened volatility. With all of that in mind, do you think MARK stock is a worthwhile watchlist addition?
Which Reddit Penny Stocks Are on Your Watchlist?
Finding the best penny stocks to buy on Reddit can be challenging. But, with such a large number of stocks on the social media app, finding ones that can be worth buying is completely possible.
The best way to do so is to understand fully what a company does and what its future performance could look like. With all of this in mind, which Reddit penny stocks are on your watchlist right now?