7 Most Popular AI Penny Stocks Under $5

5. Inuvo, Inc. (NYSE:INUV)

Number of Hedge Fund Holders: 2

Inuvo, Inc. (NYSE:INUV) is a US-based advertising technology and services company that provides AI-integrated software solutions to businesses for effective advertising. The company’s customers include brands, advertising agencies, and platforms that buy and sell advertising space.

Inuvo, Inc. (NYSE:INUV) generated $18.21 million in Q2 2024. While this was $2.76 million lower than estimates, it exhibited a 9.35% year-over-year growth and was up by about 6.5% from Q1. The loss per share was $0.01, less than the $0.02 loss per share of Q1.

The net loss improved to $1.7 million compared to $3.4 million in the previous year, reflecting a ~50% year-over-year improvement.

The company is focused on scaling revenue from signing mid-sized agencies and brands directly and attracting clients including major technology companies and global car manufacturers, through improvements in self-service features.

One of the company’s biggest partners is Google. Google’s recent announcement on giving consumers more control over cookies is seen as a positive shift for Inuvo, Inc. (NYSE:INUV), as their AI tech does not rely on cookies for ad targeting, unlike competitors.

Predictive Media Mix Modeling is a data-driven approach for businesses to understand how different marketing channels contribute to their sales or marketing aims. The company’s new product in this segment uses advanced analytics to predict the most effective allocation of marketing, which is being recognized by many major clients. The company in its latest earnings call also announced entering into a master services agreement with a large global retailer. All this together makes Inuvo, Inc. (NYSE:INUV) one of the best AI penny stocks to buy right now with material growth potential.

The stock is held by 2 hedge funds as of June 30. The bigger shareholder is Renaissance Technologies with a position worth $154,336.