In this article, we will take a detailed look at the best Canadian penny stocks to invest in now.
We define penny stocks as shares trading under $5.00, which usually fall into the small cap category. As illustrated by the performance of thematic ETFs, the small cap factor, which performed well historically, fell out of favor sometime in the mid-2010s and has kept underperforming ever since. The 2023-2024 period brought even stronger underperformance of penny stocks, as the proliferation of the AI trend created disproportionate opportunities across the market, favoring only a handful of large capitalization big tech names. This was an important factor in explaining the difference in cross-country stock market returns as well – for example, the Canadian stock market has largely moved in sync or even occasionally outperformed the US market during the first decade of the century, until a noticeable decoupling took place in the early 2010s. Besides lagging on productivity improvement and different monetary policies, the size factor clearly played a role, as Canada lacks big tech players to capitalize on the rapid technological advancements that took place during the 2010s.
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As a result, both the Canadian and small-size factors have found themselves at multi-year lows relative to the US stock market at the end of calendar 2024. While many investors make reactive decisions and avoid stocks with historical underperformance, the smart way to make money is to often take contrarian bets based on forward-looking signals that may suggest a reversal in the previous tendencies. The main questions to answer in this article are the following: will the small cap factor and Canada stocks become favored again and able to outperform their large cap and US counterparts?
When discussing the small factor, we get to see that its recent 2023-2024 underperformance was accelerated by rising stock market concentration to record levels. External data suggests that the 2024 US stock market concentration, as measured by the share of the top 10 largest companies in the total market, was at a record 38%, significantly above the historical average of around 24%. This means that most of the stock market returns were driven by a handful of companies favored by AI-related FOMO which overstretched their market valuations. In a scenario where large caps perform well, the small caps fall out of favor automatically, by setup.
History shows, however, that concentration tends to revert to the mean – this is already happening in 2025 as the Magnificent 7 ETF, which includes the largest big tech stocks, has significantly underperformed the broad market, decreasing its concentration. Furthermore, the small cap factor tends to perform well when the economy is growing, interest rates are low and capital moves freely to riskier assets – while we aren’t there yet, the stock market is a forward-looking animal that tends to anticipate economic developments 6-12 months ahead. We believe small caps and particularly penny stocks may start performing well in anticipation of lower interest rates and better economic conditions in 2026 and beyond, past the current tariff turmoil and other uncertainties induced by rapid policy changes brought by the new US administration.
There are reasons to expect an improvement in the performance of Canadian stocks relative to the US market. First, the Trump Tariff Turmoil has much worse potential implications for the US than it does for Canada – the US has put its entire export/import base at risk of retaliation, while Canada only risks tariffs for its US exports (and likely at a lower overall tariff rate). Second, the breaking of economic and ideological ties with the new US administration could lead to an overall mobilization of the Canadian people and political class, and drive several positive developments: (1) substitution of US consumer brands with local Canadian brands; (2) accelerating investments into the mining/energy infrastructure and pipelines to create alternative paths and markets for the main Canadian product, which is commodities. Both (1) and (2) would have positive implications for the entire Canadian stock market and economy.
The main takeaway for readers is that combining the small size factor with the Canadian factor could lead to substantial outperformance relative to the US market which witnesses heightened uncertainty and negative returns year-to-date. In such a scenario, Canadian penny stocks appear the ideal securities to pick for a bet on both factors, which would be contrarian to the trends we witnessed in the last 10 years.
Our Methodology
To compile our list of best Canadian penny stocks we use a stock screener to filter for Canadian companies trading in the US with a stock price below $5.00. Then we compared the list with our proprietary Q4 2024 database of hedge funds’ ownership and included in the article the top 13 stocks with the largest number of hedge funds owning the stock, ranked in ascending order.
Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here).
13. Baytex Energy Corp. (NYSE:BTE)
Closing Stock Price as of April 17th: $1.74
Number of Hedge Fund Holders: 16
Baytex Energy Corp. (NYSE:BTE) is an oil and gas company that focuses on the acquisition, development, and production of crude oil and natural gas, with operations in both Canada and the US. The company’s asset portfolio includes both light oil and heavy oil operations, covering approximately 269,000 gross acres in total. BTE was included on our recent list of 8 Best Value Penny Stocks to Invest in Now.
Baytex Energy Corp. (NYSE:BTE) delivered a strong performance in 2024, generating $656 million in free cash flow with over 70% generated in 2H 2024. The company achieved 10% production per share growth, improved cash cost structure by 5% on a barrel of energy (BOE) basis, increased net asset value per share by 13%, and reduced net debt by 5% in Canadian dollar terms and 13% in USD terms. Through their balanced shareholder return framework, they allocated approximately half of the free cash flow to debt reduction and the remainder to shareholder returns through share buybacks and quarterly dividends.
Baytex Energy Corp. (NYSE:BTE) demonstrated strong operational execution across its portfolio, with notable improvements in the Eagle Ford where they achieved an 8% improvement in operated drilling and completion costs per completed lateral foot over 2023. For 2025, BTE maintains unchanged guidance with exploration and development expenditures of $1.2 billion to $1.3 billion and production of 150,000 BOE a day at the midpoint. The company plans to continue its efficient development pace in the Eagle Ford, further advance the Pembina Duvernay, and maintain efficient heavy oil development along with level Viking operations. At a stable $70 WTI, the company expects to generate approximately $400 million of free cash flow in 2025, with the majority anticipated in the second half of the year. The strong operational execution and optimistic management guidance make BTE one of the best penny stocks to invest in.
12. enGene Holdings Inc. (NASDAQ:ENGN)
Closing Stock Price as of April 17th: $4.00
Number of Hedge Fund Holders: 17
enGene Holdings Inc. (NASDAQ:ENGN) is a clinical-stage biotechnology company specializing in developing non-viral gene therapies targeting mucosal tissues and other organs, utilizing proprietary platforms and technology. In simpler words, ENGH is trying to find innovative ways to deliver genetic treatments directly to affected organs and areas of the body, like the lungs. The company’s advantage consists of several promising products undergoing clinical studies, which could have tremendous marketable potential if fully successful.
enGene Holdings Inc. (NASDAQ:ENGN) has made substantial progress in developing “detalimogene voraplasmid”, a non-viral genetic medicine designed for treating non-muscle invasive bladder cancer (NMIBC), which represents 75-80% of bladder cancer diagnoses. The company is well-capitalized with a projected runway into 2027 and is targeting several near-term milestones, including pivotal cohort updates in 2H 2025, BLA filing in mid-2026, and potential launch in 2027. The NMIBC market represents a significant opportunity, with forecasts exceeding $20 billion.
Preliminary data from the LEGEND study shows promising clinical activity and a generally favorable safety profile, with treatment-related adverse events being largely mild and instrumentation-related. “Detalimogene” offers potential advantages over competing therapies, including a non-viral delivery system that requires no specialized handling or cold-chain storage, and a well-characterized, cost-effective manufacturing process that supports wide availability. The therapy is designed to be urologist-friendly and suitable for early use in the treatment sequence, requiring only one hour of chair time total and no need for urine bleaching or an induction period. enGene Holdings Inc. (NASDAQ:ENGN) has substantial upside potential from the aforementioned product pipeline, making it one of the best penny stocks to consider in 2025.
11. Tilray Brands, Inc. (NASDAQ:TLRY)
Closing Stock Price as of April 17th: $0.45
Number of Hedge Fund Holders: 19
Tilray Brands, Inc. (NASDAQ:TLRY) operates several consumer brands across the cannabis, beverage alcohol, and wellness sectors. The cannabis division produces and distributes medical and adult-use products, while the beverage alcohol segment encompasses a portfolio of craft beer and spirits. In the wellness category, TLRY offers food products and CBD-infused beverages. The company has the advantage of vertical integration and a global footprint, with operations in over 20 countries, which allows it to stay competitive and reach millions of consumers.
Tilray Brands, Inc. (NASDAQ:TLRY) generated net revenue of $185.8 million in Q3 2025, with constant currency revenue of $193 million, representing a 1% decline YoY. The mild revenue decline was more than compensated by significant margin improvements, with cannabis gross margins reaching 41%, the highest in almost 2 years, and overall gross margin increasing 200 basis points to 28% compared to the prior year. The company maintains a strong balance sheet with $248 million in cash and marketable securities and has reduced debt levels by $58 million during the fiscal year to date.
Tilray Brands, Inc. (NASDAQ:TLRY) has strategically positioned itself as a diversified consumer products company, operating as the fifth largest craft beer business in the United States, the largest cannabis business in Canada by revenue, and maintaining leadership in medical cannabis in Europe. The company’s international cannabis business is showing strong growth, particularly in Germany, where flower sales increased 79% and extract sales increased 31% post-legalization. Strategic initiatives implemented during the quarter focused on improving margin and profitability rather than pursuing unsustainable revenue growth, including SKU rationalization in the beer business and strategic allocation of cannabis products to higher-margin international markets. With 19 hedge funds owning the stock and a share price of just $0.45, TLRY is one of the best penny stocks to be found on our list.
10. Endeavour Silver Corp. (NYSE:EXK)
Closing Stock Price as of April 17th: $3.78
Number of Hedge Fund Holders: 19
Endeavour Silver Corp. (NYSE:EXK) is a producer of precious metals, primarily focused on gold and silver. The company’s main assets are two underground mines in Mexico, as well as a new third large project under development in Jalisco. EXK ranked fifth on our recent list of 10 Best Gold Penny Stocks to Buy Now.
Endeavour Silver Corp. (NYSE:EXK) achieved production of 7.6 million ounces of silver equivalent in 2024, reaching the higher end of revised guidance despite operational challenges. The company reported total revenue of $218 million, up 6% from 2023, with mine operating earnings of $42 million and mine operating cash flow of $72 million. The company maintained a strong financial position with $106 million in cash and $79 million in working capital as of 2024-end, bolstered by a $73 million bought deal financing.
Endeavour Silver Corp. (NYSE:EXK) is advancing two significant growth projects – Terronera and Pitarrilla. Terronera construction reached 89% completion by year-end 2024, with commissioning expected in Q2 2025, representing a transformative milestone for the company. Pitarrilla, one of the largest undeveloped silver deposits globally with nearly 600 million ounces of silver, has been allocated a $26 million budget for exploration and development, with an economic assessment targeted for Q1 2026. We believe the significant progress made on its key projects positions EXK well for the foreseeable future, making it one of the best Canadian penny stocks to buy.
9. B2Gold Corp. (NYSE:BTG)
Closing Stock Price as of April 17th: $3.32
Number of Hedge Fund Holders: 19
B2Gold Corp. (NYSE:BTG) is a producer of gold with mining operations in Mali, Namibia, and the Philippines. The company is also developing a new hold project in Canada’s Back River Gold District, targeting initial production in mid-2025. BTG also has an interest in development and exploration projects in Colombia, Finland, and several other regions, making it a global player in the precious metals field.
B2Gold Corp. (NYSE:BTG) met its revised guidance for 2024, achieving the upper end of all-in sustaining costs and the lower end of production targets. The company faced some challenges in 2024, particularly at Fekola due to equipment issues and labor disruptions, but these were characterized as one-off events. A significant development was reaching an agreement with the Malian government in September 2024, which paved the way for both Fekola operations and regional project development.
Looking ahead to 2025, B2Gold Corp. (NYSE:BTG) has positioned itself for substantial growth through multiple initiatives, including increased production at Fekola with the potential for 180,000 ounces annually from regional mining. The Goose project is on track for its first gold pour in June 2025, expected to contribute over 300,000 ounces annually. Additionally, the company maintains strong financial flexibility with $337 million in cash and an $800 million revolving credit facility, supporting its growth initiatives and exploration programs. The potential Gramalote project could add another 235,000 ounces of annual production, subject to a positive feasibility study expected by mid-2025. The possible optionality arising from this project, as well as strong conviction from 19 hedge funds owning the stock, persuaded us to include BTG on our list of the best penny stocks.
8. AbCellera Biologics Inc. (NASDAQ:ABCL)
Closing Stock Price as of April 17th: $2.42
Number of Hedge Fund Holders: 20
As a biotechnology company, AbCellera Biologics Inc. (NASDAQ:ABCL) specializes in the discovery and development of antibody-based therapies for various conditions, including cancer, metabolic and endocrine disorders, and autoimmune diseases. The company employs a proprietary platform that integrates computational tools and other technology to better identify and develop antibodies. ABCL has a promising internal pipeline of preclinical candidates.
AbCellera Biologics Inc. (NASDAQ:ABCL) is transitioning from a platform and partnership company to a clinical-stage biotech, with two programs positioned for filings in Q2 2025. The company closed 2024 with over $800 million in available liquidity and completed significant investments in its platform and facilities, including a new headquarters and an upcoming clinical manufacturing facility scheduled to come online in 2025. ABCL has reduced new discovery partnership activities while maintaining a robust portfolio of more than 20 preclinical programs with the potential to become highly differentiated assets. This is the primary factor that earned ABCL the eighth place on our list of the best penny stocks to consider.
AbCellera Biologics Inc. (NASDAQ:ABCL) maintains a strong financial position with approximately $650 million in cash and equivalents, plus roughly $190 million in available committed government funding. For 2025, cash usage for operating activities is expected to be similar to 2024, with investments in PP&E at approximately half of 2024 levels and weighted towards the first half of the year. The company believes it has sufficient liquidity to fund well beyond the next 3 years of increasing pipeline investments, with key milestones including clinical starts in 2025, first clinical readouts in 2026, and the election of approximately 2 additional development candidates per year.
7. Mercer International Inc. (NASDAQ:MERC)
Closing Stock Price as of April 17th: $4.96
Number of Hedge Fund Holders: 22
Mercer International Inc. (NASDAQ:MERC) is a forest products company producing market pulp, solid wood products, and bio-based materials in its fields located across Canada, the US, and Germany. The company’s strength consists of vertical integration and large-scale operations, featuring a combined annual capacity of more than 2 million tons. The solid wood segment produces lumber, cross-laminated timber pallets, and biofuels. MERC ranked seventh on our recent list of 10 Best Paper Stocks to Buy According to Hedge Funds.
Mercer International Inc. (NASDAQ:MERC) reported a significant improvement in Q4 2024 with operating EBITDA of $99 million compared to Q3’s $50 million, driven by no planned maintenance downtime, a strong dollar, and higher sales volumes. For the full 2024 fiscal year, EBITDA increased substantially to $244 million from $17 million in 2023, attributed to stronger pulp markets, lower production costs from easing inflation pressures, and cost reduction initiatives. The company successfully redeemed $300 million of 2026 senior notes using $200 million of additional 2028 senior notes and $100 million cash, marking a first step in its leverage reduction initiative.
Looking ahead, Mercer International Inc. (NASDAQ:MERC) expects softwood pulp pricing to remain strong due to reduced supply and steady demand, while the significant price differential between softwood and hardwood pulp is expected to persist well into 2025. The company faces potential challenges from tariff uncertainties but believes it can mitigate the majority of impacts through operational flexibility and sales strategies. Management’s absolute priority for 2025 will focus on reducing leverage through strategic projects, including aggressive cost reduction programs, reliability improvements, operational rationalization, and prudent capital management. The long-term visibility and optimistic guidance reinforce our belief that MERC is one of the best penny stocks to buy.
6. BlackBerry Limited (NYSE:BB)
Closing Stock Price as of April 17th: $3.17
Number of Hedge Fund Holders: 23
BlackBerry Limited (NYSE:BB) was a notorious leader in mobile devices during the 2000s, but the company’s market share quickly eroded with the emergence of iPhones and other touch-screen smartphones. In response, BB shifted its focus from hardware to software, currently providing cybersecurity and Internet of Things (IoT) solutions for various industries, including automotive and government sectors.
BlackBerry Limited (NYSE:BB) delivered a transformative fiscal year 2025, with total company revenues reaching $534.9 million and beating expectations across all divisions. The company significantly improved its profitability with total company adjusted EBITDA of $39.3 million, representing a $54 million improvement YoY. A major strategic achievement was the successful closure of the Cylance transaction with Arctic Wolf, which brought in approximately $80 million in cash and 5.5 million common shares. The company strengthened its balance sheet considerably, with cash and investments increasing by $144 million to $410 million, resulting in a solid net cash position exceeding $200 million.
Looking ahead, BlackBerry Limited (NYSE:BB) has successfully repositioned itself through several strategic initiatives, including exceeding its target of removing $150 million in costs from its run rate. The QNX division continues to demonstrate strong market leadership with its royalty backlog growing to approximately $865 million, indicating robust future revenue potential. The Secure Communications division has been streamlined to focus on its core customer base, delivering solid profitability with adjusted EBITDA of 19% of revenue at $52.3 million. For fiscal year 2026, the company expects to generate positive operating cash flow of around $35 million, demonstrating its transformation into a profitable, cash flow positive enterprise. Despite a tumultuous past, BB has demonstrated its ability to adapt, securing its place on our list of the best Canadian penny stocks to invest in.
5. New Gold Inc. (NYSE:NGD)
Closing Stock Price as of April 17th: $3.64
Number of Hedge Fund Holders: 26
New Gold Inc. (NYSE:NGD) is a mining company with two primary gold operations in Canada: the Rainy River Mine in Ontario and the New Afton Mine in British Columbia. The Rainy River is an open-pit gold-silver mine that has recently extended its mine life to 2028, with processing expected to continue until 2029 due to optimized pit designs and increased underground reserves.
New Gold Inc. (NYSE:NGD) delivered strong operational performance in 2024, producing nearly 300,000 ounces of gold and 54 million pounds of copper at an all-in sustaining cost of $1,239 per ounce, beating the low end of their cost guidance. The company generated significant cash flow from operations of over $390 million and free cash flow of $85 million, while successfully achieving key project milestones, including commercial production at C-Zone field and commissioning of crusher systems at New Afton, as well as mining first development ore from Rainy River’s underground Main Zone. The company’s stock price closed at $3.64 per share during the most recent trading day; its substantial progress in its key fields makes NGD one of the best penny stocks on our list.
New Gold Inc. (NYSE:NGD) projects substantial growth over the next three years, with gold production expected to increase 30% to reach 410,000 ounces by 2027, while copper production is forecasted to grow 90% to 405 million pounds. At current consensus commodity prices, NGD expects to generate over $1.7 billion in free cash flow over the next three years, with potential to exceed $2 billion at spot prices, representing over 80% of their market capitalization. This growth trajectory is supported by mine life extensions at both assets and positions the company for significant value creation through increasing production and robust free cash flow generation in a strong commodity cycle.
4. Denison Mines Corp. (NYSE:DNN)
Closing Stock Price as of April 17th: $1.38
Number of Hedge Fund Holders: 31
Denison Mines Corp. (NYSE:DNN) explores and develops uranium in the Athabasca Basin region of northern Saskatchewan. The company’s primary asset is the Wheeler River Project, which comprises the high-grade Phoenix and Gryphon deposits. The company also holds a minority interest in the McClean Lake uranium mill, one of the world’s largest uranium processing facilities. All in all, DNN is a significant contributor to Canada’s rising uranium needs amid a global shift to cleaner energy production.
Denison Mines Corp. (NYSE:DNN)’s development portfolio projects are positioned amongst the lowest all-in cost assets globally according to UxC’s First Tier categorization. Denison’s Phoenix project is advancing toward a final investment decision with environmental impact statements accepted both provincially and federally, and CNSC hearing dates set for late 2025. The company is strategically positioned to benefit from the growing uranium market dynamics, as the market enters a period of projected sustained structural supply shortage, with mine production deficit in 2024 estimated at approximately 20% of demand. This market position is further strengthened by geopolitical events highlighting the importance of reliable Western sources of supply, and potential demand growth from over 30 countries pledging to triple nuclear power capacity by 2050. In our opinion, the convergence of several market and geopolitical dynamics will favor DNN in the following years, making it one of the best penny stocks on our list.
3. Bausch Health Companies Inc. (NYSE:BHC)
Closing Stock Price as of April 16th: $4.50
Number of Hedge Fund Holders: 36
Bausch Health Companies Inc. (NYSE:BHC) is a pharmaceutical and medical device company. Through its Bausch + Lomb segment, the company focuses on eye health products (a range of vision care, surgical, and ophthalmic pharmaceutical products). The International Rx segment handles branded and generic pharmaceutical products outside the US, and the Diversified Products segment includes neurology and other therapeutic areas. BHC is a global player with operations in more than 100 countries, and ranked first on our recent list of 12 Best Low Price Pharma Stocks To Invest In Right Now.
Bausch Health Companies Inc. (NYSE:BHC) delivered strong results in the latest reported Q4, marking its seventh consecutive quarter of revenue and adjusted EBITDA growth. The company’s Q4 2024 revenues increased 4% on a reported basis and 7% on an organic basis, driven by strong organic growth in the Salix and Solta segments. For the full year 2024, revenues increased 5% on a reported basis and 6% on an organic basis, with all four segments delivering revenue and segment profit growth. The company generated approximately $1.3 billion in adjusted operating cash flow for the full year, exceeding guidance.
Looking ahead, Bausch Health Companies Inc. (NYSE:BHC) is focused on three fundamental value-creation pillars: enhancing operational assets, unlocking the full value of its Bausch + Lomb equity stake, and optimizing capital structure. The company has made substantial progress in strengthening its leadership team with key appointments in critical areas, including a new CFO. The company’s innovation efforts have shown progress, particularly with the approval of Thermage FLX in China and the development of AI-enabled tools for Xifaxan sales, which secures its 3rd place on our list of the best Canadian penny stocks.
2. Algoma Steel Group Inc. (NASDAQ:ASTL)
Closing Stock Price as of April 17th: $4.80
Number of Hedge Fund Holders: 36
Algoma Steel Group Inc. (NASDAQ:ASTL) is a vertically integrated steel producer that manufactures hot and cold-rolled steel sheet and plate products for the automotive, construction, energy, defense, and manufacturing sectors. The company’s strength lies in its strategic location near the Great Lakes, which benefits from multimodal transportation access, facilitating efficient distribution across North America.
Algoma Steel Group Inc. (NASDAQ:ASTL) reported challenging fourth quarter results with an adjusted EBITDA loss of $60.3 million and cash used in operating activities of $76.9 million. Despite higher shipments of 549,000 tons (up 6.3% YoY), lower realized prices of $976 per ton compared to $1,079 per ton in the prior year period impacted financial performance. The company maintained a strong balance sheet with $267 million in cash and total liquidity of $630 million at quarter end.
Algoma Steel Group Inc. (NASDAQ:ASTL) is in the final stages of its transformative electric arc furnace (EAF) project, with first steel production expected in April 2025. The cumulative investment for the EAF project reached $740 million as of December 31, 2024, and is expected to complete within 5% of the upper end of the previously announced budget range. While facing challenges from US tariffs on Canadian steel imports, the company expects its transition to EAF steelmaking will strengthen its cost structure and enhance its ability to navigate market uncertainties over the long term. When both furnaces are operational, the company expects improved operational efficiency and overall cost structure, with shipping capacity reaching approximately 3 million tons per year. At least 36 hedge funds own the stock as per Insider Monkey’s Q4 2024 database, which further reinforces the strong outlook and makes us include ASTL in second place on our list of the best penny stocks to consider.
1. NexGen Energy Ltd. (NYSE:NXE)
Closing Stock Price as of April 17th: $4.74
Number of Hedge Fund Holders: 37
NexGen Energy Ltd. (NYSE:NXE) is an uranium exploration and development company focused on the Athabasca Basin in Saskatchewan. The company’s flagship “Rook I Project” is forecasted to become the world’s largest low-cost uranium mine, with potential annual production of up to 30 million pounds of U₃O₈, used in nuclear fuel and military applications. NXE is also advancing exploration in other regions, aiming to expand its resource base and further boost its competitive advantage.
NexGen Energy Ltd. (NYSE:NXE) has achieved significant milestones in 2024, including securing its first uranium sales contracts with US utilities, completing the Federal technical review for Rook I, and receiving regulatory approval. The company maintains a strong financial position with C$477 million in cash at year-end, sufficient to cover 18 months of post-approval construction activities. Additionally, expressions of interest from lenders have increased to approximately $1.7 billion, demonstrating the project’s strong financeable nature.
A transformational development has been the discovery at Patterson Corridor East (PCE), located just 3.5 kilometers from the Arrow project, which has shown characteristics similar to Arrow and potentially exceeds it in terms of size and ultra-high-grade mineralization at the same stage of drilling. NexGen Energy Ltd. (NYSE:NXE)’s strategic position is further strengthened by its industry-leading procurement metrics, with 96% of “Rook I” site procurement made through community partners during 2024. Looking ahead, NXE is positioned to capitalize on the growing demand for uranium, particularly from Western utilities seeking to diversify their supply sources away from Eastern countries.
Overall NXE ranks first on our list of the 13 best Canadian penny stocks to invest in now. While we acknowledge the potential of NXE to grow, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. There is an AI stock that went up since the beginning of 2025, while popular AI stocks lost around 25%. If you are looking for an AI stock that is more promising than NXE but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
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