10 Hot Penny Stocks On the Move

5. VOXX International Corporation (NASDAQ:VOXX)

Share Price as of August 30: $4.87

Current Volume as of August 30: 12 million

Number of Hedge Fund Holders: 10

1-Month Performance as of August 30: 76.45%

VOXX International Corporation (NASDAQ:VOXX) manufactures and distributes various electronic products mainly serving automotive, consumer electronics, and biometric product markets, which are also its main business segments.

Its product portfolio ranges from vehicle security systems and rear-seat entertainment systems to speakers, audio systems, and sophisticated iris identification technologies for biometric security.

The company announced its earnings results for FQ1 2025. Although the sales went down 18% year-over-year to $91.7 million. However, management has taken aggressive steps to improve margins and is working on restructuring to optimize the supply chain.

Despite facing serious global challenges VOXX International Corporation (NASDAQ:VOXX) was able to improve its gross margins to 27.7% on the back of its Premium Audio and Automotive segments demonstrating significant increase.

Management remains confident that the restructuring will result in profitability initiatives and has assured its investors that return to profitability in the second half of the fiscal year. The confidence in restructuring stems from the last round in fiscal 2019 which resulted in two profitable years with strong cash flow generation and stock price trading over $20 per share.

Should you invest in  VOXX International Corporation (NASDAQ:VOXX)?

The company has not only maintained positive gross margins but has improved them by 310 basis points during the quarter. Moreover, with the restructuring underway 5% reduction in overhead is anticipated and management remains confident to become profitable. VOXX is also popular among hedge funds and was held by 10 hedge funds in Q2 2024, with total stakes worth $7.89 million. Kahn Brothers is the top shareholder with a position worth $5.56 million.

2 analysts have a strong Buy rating on the stock, with their median price target of $11 presenting a 100% upside from the current level.