Best Penny Stocks To Buy For Under $4.50? 5 To Watch Today

What Are The Best Penny Stocks To Buy Under $4.50?

In 2020, there have been several factors helping investors find penny stocks to buy. Of course, there is never a guarantee in the stock market, and investing is an individual task. But, this year, several industries and sectors have shot up in value due to a few factors. The first factor and the most obvious is COVID. In 2020, COVID impacted several industries pushing strong momentum for stocks within them.

This includes biotech penny stocks, EV stocks, digital communications stocks, and more. Some of these are just a few of a larger category known as epicenter penny stocks. This related to companies that were initially hit hard by the pandemic but could benefit from the potential rebound due to a vaccine.

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In addition to this, the election of Joe Biden as president is a major influencer to several areas of the stock market. This includes renewable energy stocks, marijuana stocks, and others. As you can see, different factors affect different areas of the stock market. The best way to capitalize on this is by staying up to date with the current events as well as researching any given penny stock of interest. These two things ensure that investors can have the best chance at seeing returns in their portfolios. With all of this in mind, let's take a look at 5 penny stocks that made big gains on December 15th. Can that continue through the end of the week? 

Penny Stocks To Buy Under $4.50

1. Harmony Gold Mining Co. (HMY Stock Report)
2. Energy Fuels Inc. (UUUU Stock Report)
3. Apollo Endosurgery Inc. (APEN Stock Report)
4. Sio Gene Therapies Inc. (SIOX Stock Report)
5. Canaan Inc. (CAN Stock Report)

Penny Stocks to Buy Under $4.50: Harmony Gold Mining Co. 

Harmony Gold Mining Co. is a major mining company working on the exploration, extraction and processing of gold in Africa. This includes mining operations in both South Africa and Papua New Guinea. In addition to mining gold, the company is quite diverse and mines uranium, silver and copper. In September, HMY posted its financial results for the third quarter of 2020. While the results were somewhat disappointing, it is understandable considering the effects of the covid pandemic on mining. Regardless, HMY stock has done quite well compared to many other companies throughout 2020. One of the things to note is that gold demand usually stays quite high during times of economic turmoil. 

With covid wreaking havoc on economies around the world, many investors have turned to gold. This is due to gold's popularity as a store of wealth rather than just being a traditional investment. While HMY is not necessarily a pure play gold penny stock, it has benefitted from increased attention to the gold market. In the past six months, shares of HMY stock have shot up by around 50%. Since mid-March however, shares are up by around 130%. While interest in gold may decrease as the pandemic lessens in severity, HMY stock could be seen as a penny stock to watch. 

Penny Stocks to Buy Under $4.50: Energy Fuels Inc. 

Energy Fuels Inc. is one of many energy penny stocks that shot up in value on December 15th. In the past six months, shares of UUUU stock have shot up by over 100%. One of the reasons for this is news related to the pandemic and vaccine distribution. When covid began, massive lockdown orders meant more people were at home than ever before. Although energy companies like Energy Fuels Inc. were still producing large quantities of fuel, demand dropped sharply. Now in December, the hopes are high that a vaccine will begin to be distributed around the country in the near future. While this could still be months away, investors are betting on increased energy demand in that time frame.

Additionally, Energy Fuels Inc. recently announced that it has entered into a supply agreement with Chemours (CC Stock Report) to begin processing rare earth materials in Utah. These materials are in high demand as they are used in everything from smartphones to other electronic devices. With this move, the company looks like it is working to cement a place for itself beyond being just a producer of energy. One thing to keep in mind is that it may take some time to see the benefits of this deal. In addition, UUUU stock is known to be quite volatile due to its pricing as a penny stock and the industry overall. 

Penny Stocks to Buy Under $4.50: Apollo Endosurgery Inc. 

Apollo Endosurgery Inc. is a biotech company producing various medical technologies to help in the gastrointestinal medical field. The company states that its goal is to reduce the invasiveness of current therapies and surgeries that are used to treat everything from obesity to other GI disorders. The company has several products such as the Endoscopic HeliX Tacking System, the Orbera Intragastric Balloon, and more. These products are currently in use in as many as 75 countries around the world. Recently, the company announced that it has received clearance from the FDA for its X-Tack Endoscopic HeliX Tacking System. This is major news for the company as it means that Apollo can now begin to offer this product around the U.S. 

For some context, this device is in use by physicians to bind healthy tissue in the body to non-healthy tissue. The system utilizes closure devices that are able to reduce healing time with less side affects. The company stated upon the announcement of this that it will launch the product beginning in January of 2021. Stavros Stavropoulos, Director of Endoscopy at NYU stated that "the X-Track System fills a substantial gap in the ability of endoscopists to close full thickness defects, particularly large or irregular colonic and small bowel restriction sites. It has the potential for making a significant impact in other procedures as well."

In the past six months, shares of APEN stock have shot up by over 120% to its December 15th price of $3.86. in the past month alone, shares are up by almost 70%. With a large emphasis on biotech penny stocks, APEN stock continues to show solid momentum. Whether or not this makes it a penny stock to buy remains up to investors to choose. 

Penny Stocks to Buy Under $4.50: Sio Gene Therapies Inc. 

Sio Gene Therapies Inc. is one of the biggest gainers of the day on December 15th. During trading and into after hours, shares of SIOX stock shot up by as much as 51%. The reason behind this comes as the company announced positive results in its latest press release announced on December 15th. For those who don't know, Sio Gene Therapies is a biotech company working on therapies that treat rare and often fatal disorders.

The company is also working on several gene therapies to attempt to defend against Parkinson's disease among other illnesses. On Tuesday, the company announced that its drug known as AXO-AAV-GM1 which is used in the treatment of GM1 gangliosidosis, saw very positive results in its trials. In the ongoing Phase 1/2 study, the five patients enrolled reported disease stability after taking the novel compound. 

Gavin Corcoran, Chief R&D Officer at Sio Gene Therapies, stated that "we are excited to report encouraging safety, tolerability, biomarker, and preliminary efficacy data for AXO-AAV-GM1, the first gene therapy evaluated in a clinical trial for GM1 gangliodosis. Safety was the key measure in this first-in-human study, and we are pleased to see a favorable safety profile in the first five children treated with the low-dose."

Penny Stocks to Buy Under $4.50: Canaan Inc.

With the price of Bitcoin surging this month, bitcoin and blockchain penny stocks have been a focus for many traders. In the case of Canaan, the company produces ASIC applications and bitcoin-specific mining chips. In fact, last year, the company was rated as the second-largest manufacturer of bitcoin mining hardware in the world. Furthermore, according to a report from Frost and Sullivan, last year the company accounted for roughly 21% of the computing power of all bitcoin machines.

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Like many bitcoin-related penny stocks, sympathy sentiment has played a larger role in comparison to fundamental catalysts. Canaan hasn’t reported news since late November. however, since it was earnings information, traders can dissect the information to see what to look for heading into 2021. In this case, Canaan experienced a rebound in demand for mining machines during the quarter. The company also went into Q4 with a large number of presale orders scheduled for delivery toward the end of the year.

I think the biggest point of focus will be on the future of bitcoin itself. Will prices remain in the current uptrend? On the other hand, will we see a repeat of the crypto-crash of 2018? All things considered, many of these industry stocks appear to move in lockstep with the currency itself. So if CAN is on your list of penny stocks right now, keep that (and the price of bitcoin) in mind.