3 Penny Stocks on Reddit to Watch in November 2021
As we inch closer toward the end of the year for penny stocks, many investors are excited about the future. And sticking to the theme of 2021, we continue to see Reddit have a major effect on penny stocks and blue chips. While not all penny stocks as Reddit penny stocks, the social media site has sparked several major rallies with small caps. And as a result, many traders look to Reddit as a way to potentially make money with penny stocks.
But, investors should also keep in mind a few things to help with their search. For one, penny stocks on their own are highly volatile. But, when we add in the layer of massive speculation from Reddit, we see that high volatility spike even more. While this can be a major positive depending on your trading strategy, it truly depends on what type of investor you are. The second thing to consider is what is behind the bull run.
Often, it can occur for no reason other than a stock trending online. However, sometimes news, a press release, the announcement of a new balance sheet, or other factors, can have a major impact on the price of a stock. So, understanding what is driving price movement will always be a big asset.
Lastly, knowing what type of trader you are and what your tolerance for risk is, will help you to pick the best penny stocks to buy for your portfolio. Considering all of this, let’s take a look at three Reddit penny stocks to watch right now.
3 Reddit Penny Stocks to Add to Your Watchlist Right Now
Artelo Biosciences Inc. (NASDAQ: ARTL)
One of the bigger gainers of the day so far is Artelo Biosciences Inc. By midday, shares of ARTL stock had shot up by over 38% to just under $1 per share. This brings its five-day and one-year gain to over 45% and 116% respectively, which is no small feat. But, the real focus of ARTL stock right now is its sizable gain today. For that reason, we have to take a closer look at why shares pushed up so heavily. The main reason comes as the analyst firm, HC Wainwright, put a buy rating on the stock with a price target of $4.
This is big news for the company as analyst ratings are always a positive sign. But, traders should not live and die by analyst ratings, and rather, they should take them with a grain of salt. If you’re not familiar with Artelo, it is a clinical-stage pharmaceutical company that develops and commercializes proprietary therapeutics. These are used to target lipid signaling pathways which include the endocannabinoid system.
The company states that its drugs could have implications for treating everything from cancer and anorexia to PTSD, pain, and inflammation. So, because of its broad scope, many investors are paying attention to Artelo right now. And with this new analyst rating in mind, do you think it’s worth adding to your penny stocks watchlist?
Farmmi Inc. (NASDAQ: FAMI)
If you’ve been watching penny stocks over the past two weeks or so, you’ve likely seen FAMI as a trending small-cap. In the past five days, shares of FAMI stock have shot up by over 6% despite a YTD gains drop of almost 70%.
With FAMI stock, we’ve seen consistent spikes and corrections, resulting in plenty of opportunities for investors to take advantage of volatile price action. Today, the company announced that it would be holding an extraordinary general meeting on December 20th at 10: AM local time. The goal of this meeting is to increase the company’s authorized share capital by shifting its memorandum and articles. This comes alongside Farmmi’s longer-term goal of becoming a major exporter of its dried fungi products.
Currently, Farmmi operates through both its e-commerce site and a more traditional wholesale approach. With this, it supplies edible fungi, Shiitake mushrooms, and Mu Er mushrooms among other products. At a very palatable $0.36 per share, Farmmi continues to be a consistently discussed penny stock on Reddit and other social media sites. Considering both its trending status and this upcoming meeting, does it deserve a spot on your list of penny stocks to buy?
ABVC Biopharma Inc. (NASDAQ: ABVC)
One of, if not the largest gainer of the day so far is ABVC stock. By midday, shares of ABVC had exploded by over 190%. At $7.38 per share, ABVC Biopharma is technically no longer a penny stock, however, it was at the beginning of the day.
In the past month, shares of ABVC stock have climbed by over 230%, which shows that the bullish sentiment began prior to November 1st. And to understand why shares are pushing up, it’s worth taking a closer look at ABVC stock. The main reason for this gain comes as investors on Reddit and the popular trading social media site, StockTwits, were frequently mentioning ABVC stock.
Based out of California, ABVC Biopharma is an oncology-focused producer of therapeutics. It currently has six drugs in its pipeline as well as one medical device. And only a month ago, it announced a joint venture with the private investment firm, Lucidam.
In September, ABVC stock climbed after it submitted two new patent applications. While this is a common occurrence, today’s almost 200% gain is not. It’s worth noting that at one point in the trading day, shares of ABVC stock had shot up by over 930% to north of $25, before correcting. So, while this is an exciting gain without a doubt, investors should understand that volatility is extremely high. With that in mind, is ABVC stock worth buying or not?
Which Reddit Penny Stocks Are You Watching Right Now?
Finding penny stocks on Reddit and other forms of social media can be challenging. With so much chatter out there, picking stocks that could make gains is complicated.
[Read More] How to Buy Penny Stocks in November 2021
But, with the right information on hand and a proper trading strategy, making money with penny stocks can be completely doable. Considering all of this, which penny stocks on Reddit are you watching right now?