In this piece, we will take a look at the five penny stocks poised to explode. If you want to take a look at more stocks, then head on over to 10 Penny Stocks Poised To Explode.
5. Cipher Mining Inc. (NASDAQ:CIFR)
Number of Hedge Fund Holders: 17
Cipher Mining Inc. (NASDAQ:CIFR) is a bitcoin mining firm that is headquartered in New York, New York, the United States. The firm operates and owns bitcoin mining data centers.
Amidst the near deadly crash that has all but decimated the cryptocurrency market this year due to investors fleeing to safe assets, Cipher Mining Inc. (NASDAQ:CIFR)’s second quarter earnings report was all about keeping efficiency high and costs low. In a high energy price market, the firm has fixed contracts through which its costs of electricity are a little under $30 per megawatt hour (MWh). Management explained that this enables the firm to bring in $70 in profit per MWh with a $20,000 price for bitcoin and a 200 EH/s mining rate. Should it increase this rate to 225 EH/s and the price of bitcoin touches $25,000, then the profit grows to $81. Additionally, Cipher Mining Inc. (NASDAQ:CIFR) also plans to sell this electricity should the bitcoin price drop further.
Insider Monkey’s Q2 2022 survey of 895 hedge funds revealed that 16 had invested in Cipher Mining Inc. (NASDAQ:CIFR).
4. Wheels Up Experience Inc. (NYSE:UP)
Number of Hedge Fund Holders: 19
Wheels Up Experience Inc. (NYSE:UP) is an American private aviation services provider. The firm provides a range of services that include membership programs, aircraft management, chartered flights, and aircraft acquisitions and sales. It is headquartered in New York, New York.
Wheels Up Experience Inc. (NYSE:UP) is one of the largest private aviation companies in America. Its portfolio consists of 200 aircraft, and the firm provides access to more than 1,200 third party aircraft as well to its customers. The firm’s second quarter saw its prepaid block package sales grow by a whopping 180% annually and live flight sales grow by another 19% annually.
Wheels Up Experience Inc. (NYSE:UP)’s second quarter revenue of $425 million also blew the analyst consensus estimate of $309 million out of the park. Out of the 895 hedge funds polled by Insider Monkey during this year’s second quarter, 19 had held a stake in the company.
Wheels Up Experience Inc. (NYSE:UP)’s largest investor is Ben Levine, Andrew Manuel, and Stefan Renold’s LMR Partners which owns 1.3 million shares that are worth $2.6 million.
3. Allego N.V. (NYSE:ALLG)
Number of Hedge Fund Holders: 19
Allego N.V. (NYSE:ALLG) is an electric vehicle charging company. The firm has more than 30,000 charging ports in Europe, and it offers its facilities to different electric vehicles such as cars, trucks, and buses. Allego N.V. (NYSE:ALLG) is headquartered in Arnhem, the Netherlands.
Allego N.V. (NYSE:ALLG) operates in 15 European countries, making it one of the largest electric vehicle charging services providers on the continent. The firm also operates a proprietary cloud computing platform that allows it to identify its top performing locations in terms of revenue and usage, which then lets it optimize its services for revenue maximization. Allego N.V. (NYSE:ALLG) brought in EUR 50 million in revenue during the first half of this year, for a strong 150% annual growth. This also saw the firm’s charging revenue grow by 120% and its service revenue jump by 180% annually.
As this year’s June quarter ended, 19 out of the 895 hedge funds part of Insider Monkey’s research had bought Allego N.V. (NYSE:ALLG)’s shares.
2. Canoo Inc. (NASDAQ:GOEV)
Number of Hedge Fund Holders: 20
Canoo Inc. (NASDAQ:GOEV) is an American electric vehicle company that designs both vehicles and a platform on which vehicles can be designed. Its vehicles include minivans and SUVs, and the platform is a customizable chassis. The firm is headquartered in Torrance, California, United States.
Canoo Inc. (NASDAQ:GOEV) has been consistently receiving orders in 2022. In October, the firm received an order for 9,300 vans from a van rental firm, which also left the option open to increase the order size to a whopping 18,000 vehicles. This order had come within days after another one saw the firm book an initial commitment of 3,000 vans with an option to increase the order to 5,450 vans with a van leasing company.
Stifel set a $4 share price target for the firm in September 2022 as it shared that Canoo Inc. (NASDAQ:GOEV) has one of the strongest business models among its peers and established players that lets it manage costs effectively. Insider Monkey’s Q2 2022 survey of 895 hedge funds revealed that 20 had held a stake in the firm.
Out of these, Canoo Inc. (NASDAQ:GOEV)’s largest investor is Jim Simons’ Renaissance Technologies which owns one million shares that are worth $1.9 million.
1. Aurora Innovation, Inc. (NASDAQ:AUR)
Number of Hedge Fund Holders: 21
Aurora Innovation, Inc. (NASDAQ:AUR) is a firm that develops self driving technologies and is headquartered in Pittsburgh, Pennsylvania. Its software platform aims to provide a single solution for cars, trucks, and light commercial vehicles.
Aurora Innovation, Inc. (NASDAQ:AUR) outlined that it is making progress with its self driving platform during its second quarter earnings report. The firm stated that it expects the platform to have integrated all features by the first quarter of next year, and be ready for commercialization by the end of 2023. The company has also launched a pilot platform with FedEx that allows it to autonomously haul FedEx’s loads between Dallas and Houston, and Fort Worth and El Paso.
Bloomberg reported in August 2022 that the firm’s CEO is looking to sell his company to either Apple or Microsoft. DA Davidson reduced the company’s share price target to $8 from $14.25 in September 2022, stating that the firm has strong long term positioning in the market. By the end of this year’s second quarter, 21 out of the 895 hedge funds had invested in Aurora Innovation, Inc. (NASDAQ:AUR).
Disclosure: None. You can also take a look at 10 Small-Cap Stocks that Pay Dividends and 10 Biggest Industries In the US.
