In this article, we discuss the 5 best penny stocks popular on Reddit. If you want to read our detailed analysis of these stocks, go directly to the 10 Best Penny Stocks Popular on Reddit.
5. Eton Pharmaceuticals, Inc. (NASDAQ: ETON)
Number of Hedge Fund Holders: 6
Price as of August 3, 2021: $5.74 per share
Eton Pharmaceuticals, Inc. (NASDAQ: ETON) is ranked fifth on our list of 10 best penny stocks popular on Reddit. The firm operates from Illinois and works on the development of drugs for the treatment of rare diseases. On June 15, the company announced that regulatory authorities in the United States had approved Rezipres, an injection marketed by the firm for treatment of clinically important hypotension detected in anesthesia settings. The company has a market cap of over $125 million.
On June 1, investment advisory B Riley maintained a Buy rating on Eton Pharmaceuticals, Inc. (NASDAQ: ETON) stock but lowered the price target to $11 from $13, appreciating a Complete Response Letter related to a new drug that the company had been developing.
At the end of the first quarter of 2021, 6 hedge funds in the database of Insider Monkey held stakes worth $31 million in Eton Pharmaceuticals, Inc. (NASDAQ: ETON), up from 5 in the previous quarter worth $33 million.
4. Exela Technologies, Inc. (NASDAQ: XELA)
Number of Hedge Fund Holders: 8
Price as of August 3, 2021: $2.84 per share
Exela Technologies, Inc. (NASDAQ: XELA) is a company that provides transaction processing solutions. It is placed fourth on our list of 10 best penny stocks popular on Reddit. On July 12, the share price of the firm jumped 8% after the company announced that it would be integrating the robotic process automation platform with intelligent document processing in order to expand the range of products it offers in the artificial intelligence category. The firm has a market cap of over $155 million and posted more than $1.2 billion in revenue last year.
On June 2, investment advisory Cantor Fitzgerald initiated coverage of Exela Technologies, Inc. (NASDAQ: XELA) stock with an Overweight rating and a price target of $4, noting that the firm could accelerate revenue growth by 7% beginning 2022.
Out of the hedge funds being tracked by Insider Monkey, New York-based firm Armistice Capital is a leading shareholder in Exela Technologies, Inc. (NASDAQ: XELA) with 1.8 million shares worth more than $3.9 million.
3. Exicure, Inc. (NASDAQ: XCUR)
Number of Hedge Fund Holders: 9
Price as of August 3, 2021: $1.81 per share
Exicure, Inc. (NASDAQ: XCUR) is an Illinois-based clinical-stage biotechnology company founded in 2011. It is ranked third on our list of 10 best penny stocks popular on Reddit. On August 2, the share price of the firm jumped 32% after it announced that it had signed an exclusive collaboration agreement with drug giant Ipsen for the research and development of treatments for Huntington’s disease and Angelman syndrome. The firm has a market cap of over $118 million and posted more than $16 million in revenue last year.
On June 11, investment advisory BMO Capital maintained an Outperform rating on Exicure, Inc. (NASDAQ: XCUR) stock with a price target of $6. Gary Nachman, an analyst at the investment firm, issued the ratings update.
At the end of the first quarter of 2021, 9 hedge funds in the database of Insider Monkey held stakes worth $19 million in Exicure, Inc. (NASDAQ: XCUR), up from 8 in the preceding quarter worth $18 million.
2. Outlook Therapeutics, Inc. (NASDAQ: OTLK)
Number of Hedge Fund Holders: 11
Price as of August 3, 2021: $2.26 per share
Outlook Therapeutics, Inc. (NASDAQ: OTLK) is placed second on our list of 10 best penny stocks popular on Reddit. The firm is a clinical-stage biopharma firm that concentrates on the development of monoclonal antibodies for various ophthalmic indications. It was founded in 2010 and has a market cap of close to $400 million. The company recently joined the Russell 2000 Index. Lawrence Kenyon, the CEO of the firm, said at the time that the inclusion would help the firm drive market value with increased exposure.
In earnings results for the second fiscal quarter, posted on May 14, Outlook Therapeutics, Inc. (NASDAQ: OTLK) reported earnings per share of -$0.09, just missing estimates by $0.01. The cash and cash equivalents over the period were over $37 million.
At the end of the first quarter of 2021, 11 hedge funds in the database of Insider Monkey held stakes worth $5.2 million in Outlook Therapeutics, Inc. (NASDAQ: OTLK), up from 9 the preceding quarter worth $835,000.
1. Infinity Pharmaceuticals, Inc. (NASDAQ: INFI)
Number of Hedge Fund Holders: 15
Price as of August 3, 2021: $2.93 per share
Infinity Pharmaceuticals, Inc. (NASDAQ: INFI) is ranked first on our list of 10 best penny stocks popular on Reddit. The company is developing novel medicines for the treatment of cancer. It is headquartered in Cambridge. On July 28, the share price of the firm jumped by close to 50% after the firm released updated data from two studies of eganelisib, an oral immuno-oncology candidate. After the results were released, investment bank Wells Fargo upgraded the stock to Overweight from Equal Weight and raised the price target to $14 from $4.
On August 2, investment advisory JPMorgan upgraded Infinity Pharmaceuticals, Inc. (NASDAQ: INFI) stock to Overweight from Neutral with a price target of $6, noting that the shares were undervalued given the potential a new cancer drug of the firm, presently under development, offered.
Out of the hedge funds being tracked by Insider Monkey, New York-based investment firm Consonance Capital Management is a leading shareholder in Infinity Pharmaceuticals, Inc. (NASDAQ: INFI) with 6.5 million shares worth more than $21 million.
You can also take a peek at 10 Best Medical Stocks Under $10 and 10 Best One Dollar Stocks to Buy Now.
