Can you buy penny stocks on Robinhood? 5 To watch this week

5 penny stocks on Robinhood to watch this week

Are you looking for penny stocks to buy? You are not alone and the last few weeks have been great for small caps. When the market goes haywire like an election period, it can be hard to find your rhythm. This is mainly due to the fact that a considerable number of traders will sit on the sidelines to avoid volatility. I think that’s what we saw a few weeks ago.

But in this coming week, it looks like trading volumes are returning and stocks are on the move. This year has seen a huge spike in new trading accounts. We conducted a study on Penny Stocks brokerage growth statistics for 2020 and found a big leap in new trading accounts. One of the fastest growing companies was Robinhood. Although it is a private company, analysts estimate that around 5 million new accounts were opened on the app during the first 9 months of the year.

[Read More] 4 penny biotech stocks to watch this week following the November key updates

Now, I know what many of you will say: “Robinhood may not be the best broker for traders”. But all opinions aside, the fact remains, apart from the TDAmeritrade / Charles Schwab merger data, Robinhood tops the list when it comes to user growth. So obviously, as trading momentum picks up, riskier asset classes become a focal point. Enter penny stocks and millions trying to learn how to make money with them.

Robinhood Penny Stock to Watch

1. 22nd Century Group Inc. (XXII Stock Exchange Report)
2. Coty Inc. (Report on COTY shares)
3. Chembio Diagnostics Inc. (CEMI share ratio)
4. Ayro Inc. (AYRO share ratio)
5. Marathon Patent Group Inc. (MARA Stock Report)

All the new traders out there are asking: “Can you buy penny stocks on Robinhood?“The answer is yes, but there is a problem. While brokers like TD / Schwab, Etrade, Interactive Brokers and others give you access to all penny stocks, Robinhood and Webull, for that matter, don’t. With just a few exceptions, these mobile-optimized brokers only allow access to NYSE and NASDAQ-listed penny stocks.

This might seem like a “big deal” but, for the most part, the combined number of penny stocks on Robinhood and Webull is in the thousands. So your choices are pretty open. With that in mind, here is a list of penny stocks for your list this week. Will they be on the buy or sell side right now?

Penny Stock of Robinhood to buy [or sell] # 1: 22nd Century Group Inc.

22nd Century Group Inc. has been one of the penny stocks to watch over the past few months. Since it hit a 52-week low of $ 0.55 in September, Stock XXII has been on the rally path. When talking about vice stocks to watch out for, 22nd Century is usually part of the conversation involving penny stocks. The company worked on developing a low-nicotine tobacco product. In fact, one of the main initiatives for the company is to obtain FDA clearance for its VLN modified risk tobacco.

Last month 22nd Century obtained a new US patent related to reducing nicotine in the tobacco plant. This has given the company a path forward in bringing very low nicotine traits to almost all types of tobacco. The company reported earnings this month, beating analysts’ estimates on EPS and sales. The 22nd century saw a 3% loss per share which was better than the estimated 4% loss per share. Furthermore, its $ 7.3 million in sales were 32% higher than Wall Street predicted.

Another thing to note is that 22nd Century continues to evolve its cannabis arm as well. In its earnings update, the company expressed its goal of forming operational partnerships that will allow it to offer full commercial breeding, cultivation and purification services of extracts using its own hemp / cannabis plants under development. So we’ll have to see how that part of the 22nd century plan plays out going forward.

Penny Stock of Robinhood to buy [or sell] # 2: Coty Inc.

Another one of the penny stocks to watch over the past few weeks has been Coty Inc. We have been discussing the company quite frequently lately amidst the recent surge in consumer stocks. Coty is a luxury brand builder. The company sells fragrances, cosmetics, and skin and body care products. Coty licenses brands such as Calvin Klein, Hugo Boss, Gucci, Davidoff, CoverGirl, Rimmel, and Sally Hansen. Specifically, Coty licensed the rights to Kylie. With the eponymous Kylie Jenner, it is becoming one of the fastest growing and most engaged beauty brands on social media.

[Read More] 4 penny stocks to watch in November 2020; 1 up more than 100% in the fourth quarter

This helped drive some growth for the company and recently translated into strong fiscal results for the first quarter of 2021. The company announced net revenue of $ 1.69 billion, which surpassed estimates of 1. 08 billion dollars. Furthermore, earnings per share were 11 cents. Compared to the loss of 5 cents per share, these blew Wall Street expectations for the quarter. Sue Nabi, CEO of Coty, said “Our first quarter results testify that a stronger, more focused and more flexible Coty is emerging in the midst of the Covid-19 pandemic and better prepared to deal with any future market disruption” .

Additionally, traders may have something else to monitor in November. This concerns the company’s proposed sale of its professional hair retail business. This would include the Wella, Clairol, OPI, and ghd brands. The expected closing date is November 30 at a price of $ 2.5 billion. Also, keep in mind that this is a 60% sale of the business and Coty will continue to keep 40% of it.

Penny Stock of Robinhood to buy [or sell] # 3: Chembio Diagnostics Inc.

We have discussed Chembio Diagnostics Inc. a few times in the past few months. In fact, the last time we checked the company, Chembio announced that the FDA has approved its Pre-Market Approval Application (PMA) for the HIV-Syphilis DPP system. However, the company’s most recent focus has been on coronavirus testing. Of course, this remains a big point of interest for the market amid record levels of COVID cases recently.

In October, Chembio submitted an emergency use authorization application for its SARS-CoV-2 Antigen DPP test system. It was designed to detect SARS-CoV-2 antigens in just 20 minutes. Last week, more news was released by Chembio after Friday’s closing bell, which could affect Monday morning. The company announced that its subsidiary Chembio Diagnostics Brazil Ltda. Has received regulatory approval from Agência Nacional de Vigilância Sanitária to commercialize the SARS-CoV-2 Antigen DPP test system in Brazil.

Javan Esfandiari, Chembio Vice President and Chief Science & Technology Officer said, “Allowing patients and providers to know this information at the point-of-care in 20 minutes can help further reduce the risk of virus transmission and improve outcomes. of patients “.

With this news, we will have to see how the market reacts on Monday. However, what we can already see is that after-sales trade has seen a sharp spike. Will it continue this week?

Penny Stock of Robinhood to buy [or sell] # 4: Ayro Inc.

Ayro Inc. is no stranger to our list of penny stocks on Robinhood to watch. It was one of the hottest stocks to watch in November. Additionally, for most of the past 2 quarters, AYRO stock has been experiencing a significant level of attention and momentum. The company’s part of the booming electric vehicle industry. With electric vehicle stocks on the rise during the second half of this year, traders are looking for cheap stocks to buy. The main reason I think is that companies like Nio Inc. (NIO Stock Report) and even Arcimoto Partners (FUV Stock Report) have risen so much but at some point this year they were penny stocks.

With the likes of other companies like Electrameccanica Vehicles Corp. Ltd. (Stock Report ONLY) becoming the newest “penny stock graduate,” AYRO is one of the few popular EV penny stocks to keep an eye on, currently. This week could be another active week for the industry as Nio releases earnings on Tuesday.

[Read More] What are the good penny stocks to invest in? 5 real estate stocks to keep an eye on

While traders should be aware of the momentum of sympathy fueling the latest AYRO rally, there are other key things to keep in mind. Specifically, what the company has in progress with the recent partnership agreement between AYRO and Karma Automotive. The partnership includes a plan to manufacture over 20,000 light trucks over the next three years. It is also reportedly worth $ 300 million. Those who have this on their list of penny stocks to watch may consider EV stocks could experience greater volatility this week.

Penny Stock of Robinhood to buy [or sell] # 5: Marathon Patent Group Inc.

Marathon Patent Group Inc. falls into the category of bitcoin and blockchain stocks. The company specifically focuses on cryptocurrency mining and has been one of the most popular stocks to watch recently. With other companies like Grayscale Bitcoin Trust (GBTC Stock Report) hitting record highs in 2020, one can make the obvious case for a bullish position on bitcoin right now. Rightly so, as the cryptocurrency has reached some of its highest levels since 2018.

Marathon’s recent earnings results didn’t paint the brightest picture of last quarter EPS growth. However, the company’s future prospects, based on management comments, could be bright based on recent sales figures.

Merrick Okamoto, Chief Executive Officer, said, “With just 2,060 miners running in September, when Bitcoin was trading at $ 10,000, the company generated $ 650,000 in Bitcoin revenue, our largest quarterly Bitcoin revenue in history. By the end Q2 in 2021, we will have 23,560 miners deployed, which equates to a more than 1100% increase in mining capacity. At current Bitcoin prices, our distribution of new miners has the potential to produce a more than 11-fold increase in mining capacity. our monthly revenue compared to our September 2020 revenue production. “

With more uncertainty about the future of stimulus against the backdrop of low interest rates, will this be another big week for bitcoin and blockchain stocks?