11 Best NYSE Penny Stocks to Buy Right Now

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1. Transocean Ltd. (NYSE:RIG)

Price as of October 31: $3.98

Number of Hedge Fund Holders: 42

Transocean Ltd. (NYSE:RIG) is one of the best NYSE penny stocks to buy right now to diversify an investment portfolio in the energy sector. The company provides offshore contract drilling services for oil and gas wells worldwide. It contracts mobile offshore drilling rigs, related equipment, and work crews to drill oil and gas wells.

While the overall energy sector has come under pressure owing to oil prices plunging below the $70 a barrel level, Transocean Ltd. (NYSE:RIG) continues to record booming business for its services. The company’s drilling fleet is committed mainly through 2025, with a potential contract extension to 2026, affirming its revenue base.

Additionally, it maintains a positive outlook for its offshore drilling market as it anticipates strong growth driven by increased global oil consumption. Transocean Ltd. (NYSE:RIG) keeps landing big contracts, like a $123 million deal with Reliance Industries Limited to drill six wells offshore India and a $232 million deal with BP for U.S. Gulf of Mexico operations.

In addition, Transocean Ltd. (NYSE:RIG) is in talks to merge with Seadrill Limited as they look to capitalize on a rebound in oil and gas exploration in the future. The merger will strengthen Transocean’s competitive edge and enhance its operational efficiency at the top of the competitive oil-field services market.

While we acknowledge the potential of RIG as an investment, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns and doing so within a shorter timeframe. If you are looking for an AI stock that is more promising than RIG but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

READ NEXT: 8 Best Wide Moat Stocks to Buy Now and 30 Most Important AI Stocks According to BlackRock.

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