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Reddit Penny Stocks to Buy? 3 Small-Caps For Your Summer Watchlist

Reddit penny stocks are back in focus as AMC stock rises; which 3 are you watching?

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This article was originally published by PennyStocks.

3 Hot Penny Stocks on Reddit For Summer 2021

As Summer comes on fast, penny stocks are heating up. While typically, the Summer is a time when the market slows down in volume, access to trading platforms like Robinhood could mean that this is a thing of the past. And, with the major influence of Reddit on penny stocks, investors can only hope that volume remains incredibly high. In the past few days, we witnessed another rise in value for AMC Entertainment Holdings Inc. (NYSE: AMC). This is due to the sway of Reddit and more specifically WallStreetBets. These traders aim to beat out large institutional short positions, and invest on emotions rather than fundamentals. While this can be a good strategy, sitting on the sidelines and finding the most talked about penny stocks on Reddit can be another good strategy. But as always, do your own research. There are hundreds if not thousands of penny stocks out there. And, only a handful offer true value to investors. Because of this, it’s easy to come across penny stocks that may look good in the short term, but have no value in the long game. [Read More] Former Penny Stocks That Exploded in Value, One Up Over 3,500% And, the influence of social media makes these stocks move extremely quickly. This can result in both big gains and big losses. But, most of the time, investors will hop on board due to the fear of missing out or FOMO. While trading penny stocks doesn’t take a doctorate in economics, it is wise to educate yourself on how to trade. This is the best way to avoid losing money and to make potentially winning buys and sells. With this in mind, let’s take a look at three Reddit penny stocks for your Summer 2021 watchlist.

3 Penny Stocks on Reddit to Watch in Summer 2021

  1. Zomedica Corp. (NYSE: ZOM)
  2. Globalstar Inc. (NYSE: GSAT)
  3. Atossa Therapeutics Inc. (NASDAQ: ATOS)

Zomedica Corp. (NYSE: ZOM)

Zomedica Corp. is a veterinary health company aimed at producing animal-focused tech products. It focuses on the unmet needs of clinical veterinarians and the animals that they serve. Its products are developed mainly for companion animals, which has become a huge market during the pandemic. It’s main product TRUFORMA, is currently being developed as a breakthrough to diagnosing common animal conditions. Specifically, it acts as a diagnostic biosensor platform for the detection of thyroid disorders in cats and dogs. Zomedica also has a collaboration agreement with Celsee Inc. to develop and commercialize liquid biopsy assays and related consumables. The goal here is to detect cancer in companion animals. On May 12th, investors got a large update from Zomedica. Only a few weeks ago, it reported its first quarter financials for the 2021 year.
“Our first product, TRUFORMA®, now is on the market and we are building out our direct sales organization to reach our customers; we are working hard with Qorvo Biotechnologies, our technology partner, to complete additional assays to complement the initial three that are currently available to customers; and we have cash and cash equivalents of more than $250 million to support our commercialization efforts and our product and corporate growth plans.” Robert Cohen, the CEO of Zomedica
While these financial results did help out, ZOM stock then fell shortly after. But now, investors are witnessing another rally with ZOM stock. From May 27th to June 3rd, ZOM stock has reached as high as over $1 per share. While right now it has settled at $0.97 per share, investors are hopeful for future momentum. With all of this in mind, will ZOM make it on to your penny stocks watchlist?
Penny_Stocks_to_Watch_Zomedica_Corp._(ZOM_Stock_Chart)

Globalstar Inc. (NYSE: GSAT)

Globalstar Inc. is a tech penny stock that provides mobile satellite services. The company offers two-way voice and data devices such as mobile voice and data satellite communications products. These are in use for a variety of applications including recreation, safety, emergency preparation, and much more. The company also sells SPOT consumer retail products. These products include personal tracking, emergency location, and messaging solutions. Additionally, its SPOT Trace product is an anti-theft and asset tracking device. GSAT has had a solid month with a lot of price action to keep track of. In the past few days however, we’ve witnessed positive momentum with Globalstar. It all started around May 6th when the company released its first quarter 2021 results. [Read More] Best Penny Stocks To Buy Now? 3 Reddit Stocks To Watch After AMC Pop CEO Dave Kagan stated, “We expected to return to pre-COVID sales levels by the second half of this year and that expectation proved to be conservative. Our sales pipeline remains robust and diverse and we’re excited to see this recent momentum.” On June 3rd, GSAT stock is up more than 5.65%. While shares shot down by over 20% on June 2nd, this could be the result of a short term correction. In regard to today’s gain, there is no direct company specific news that is causing this to happen. Despite this sizable dip, its current volume is still more than double its average. Considering this, will GSAT make it on your list of penny stocks to watch?
Penny_Stocks_to_Watch_Globalstar_Inc._(GSAT_Stock_Chart)

Atossa Therapeutics Inc. (NASDAQ: ATOS)

This next biotech penny stock, Atossa Therapeutics Inc., is a company we discuss quite frequently. This is due to its large market movements on a regular basis. But what exactly does Atossa Therapeutics do? ATOS is a clinical-stage biotech penny stock that discovers and develops medicines for oncology and infectious diseases. One of its main programs is Endoxifen which is an active metabolite of tamoxifen. Currently Endoxifen is in Phase II clinical trials to treat and prevent breast cancer. It also has AT-301 which is a proprietary drug candidate for nasal administration in patients diagnosed with COVID-19. Atossa is also developing AT-H201 which is a drug candidate to improve lung function in those with COVID-19. Its COVID related developments are certainly a contributing factor to ATOS stock’s recent gains in the market. The company released its first quarter financial results on May 14th which gave a lot of insight to where it stands right now. It also provided several updates on the majority of its clinical programs. This includes an update on its Endoxifen Phase 2 open-label clinical study. If administered in the window of opportunity between diagnosis of breast cancer and surgery, the results could be much greater than without it. Based on the positive results from this study, we could see acceleration of this program in the United States.
“We are diligently moving our existing programs forward, while actively exploring the possibility for strategic expansion into other areas where we might see near-term milestones and results. We look forward to continuing to update our stockholders on these opportunities as they develop.” The CEO of Atossa, Steven Quay
Considering this, ATOS could be a candidate for your penny stocks watchlist.
Penny_Stocks_to_Watch_Atossa_Therapeutics_Inc_ATOS_Stock_Chart

Which Penny Stocks Are You watching This Summer?

As we move further into the Summer, investors are hopeful about the future of the stock market. While trading in the past few months has been less than ideal, there are a lot of positive factors that could occur on the horizon. This includes the potential end of Covid, economic recovery, and a major worldwide reopening. [Read More] Best Penny Stocks in 2021 So Far? Here’s 4 You Should Check Out Considering this, finding the best penny stocks should involve thorough research and a commitment to investigating a company to the best of your ability. But, with so much at play right now, only time will tell how the market will move in the near future and beyond. The post Reddit Penny Stocks to Buy? 3 Small-Caps For Your Summer Watchlist appeared first on Penny Stocks to Buy, Picks, News and Information | PennyStocks.com.

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Economics

Baltimore City Responds After Dozens Of Businesses Threaten Not To Pay Taxes

Baltimore City Responds After Dozens Of Businesses Threaten Not To Pay Taxes

This weekend, the Baltimore Police Department (BPD) closed down multiple city streets around the Inner Harbor, in a stretch called "Fells Point," after dozens…

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Baltimore City Responds After Dozens Of Businesses Threaten Not To Pay Taxes

This weekend, the Baltimore Police Department (BPD) closed down multiple city streets around the Inner Harbor, in a stretch called "Fells Point," after dozens of local businesses threatened the new city government, run by Mayor Brandon Scott, to not pay taxes because they're "fed up and frustrated" with the outburst of violence. 

Last week, 37 restaurants and small businesses sent a letter to the mayor's office titled "Letter to City Leaders From Fells Point Business Leaders." They threatened to stop paying city taxes and other fees until "basic and essential municipal services are restored." This comes as Madam State's Attorney Marilyn Mosby halted petty crimes during the pandemic and made such a measure permanent - the idea was to decrease violent crime, but that seems to have severely backfired.

What's happened in the historic bar strict is absolute mayhem at night, transformed into a dangerous area where violent and rowdy crowds have ruined the once pleasant atmosphere along with multiple shootings. 

So this weekend, BPD closed down streets around Fells Point, which includes parts of Aliceanna, Thames, and Bond streets.

In addition, Maryland State Police will conduct sobriety checkpoints in Fells Point. 

Local news WJZ13's Mike Hellgren tweets a couple of images of the increased police presence across Fells Point.

One of the 37 concerned business owners on the list is Bill Packo, who owns Barley's Backyard and has been operating in Fells Point for three decades. He spoke with WJZ13 about the out of control violence and public drunkenness:

"It's a shame. What they're letting happen to Fells Point is what they let happen in the Inner Harbor, and now it has made its way here," Packo said. "There's alcohol being sold by individuals out there, drugs, and clearly we all know about the shootings that took place last weekend. But there needs to be some control out there. There is none whatsoever."

BPD's mobile police command was spotted outside another shop in the bar district. It looks very dystopic. 

Meanwhile, Scott, who was newly elected, skipped out on the virtual community town hall meeting on Thursday at 7 p.m that was to address the issues in Fells Point. 

Packo called out Scott for not attending the meeting: 

"It's an embarrassment to the city. It's an embarrassment to the mayor no matter what the schedule was," he said.

Again, as we've said before, the chaos in Fells Point comes as the city descends into what could be the most violent period ever. Mosby has halted police officers going after petty crimes that have inadvertently backfired. Another liberal-run town with good intentions in policies not exactly panning out as they thought. 

Local news WMAR2's Eddie Kadhim interviewed a man who summed up the city's response in Fells Point: 

Another man said the violent crime in low-income neighborhoods is just spilling over into the downtown area. 

Tyler Durden Sat, 06/12/2021 - 15:00

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Economics

Visualizing The History Of US Inflation Over 100 Years

Visualizing The History Of US Inflation Over 100 Years

Is inflation rising?

The consumer price index (CPI), an index used as a proxy for inflation in consumer prices, offers some answers. In 2020, inflation dropped to 1.4%, the lowest rate..

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Visualizing The History Of US Inflation Over 100 Years

Is inflation rising?

The consumer price index (CPI), an index used as a proxy for inflation in consumer prices, offers some answers. In 2020, inflation dropped to 1.4%, the lowest rate since 2015. By comparison, inflation sits around 5.0% as of June 2021.

Given how the economic shock of COVID-19 depressed prices, rising price levels make sense. However, as Visual Capitalist's Dorothy Neufeld notes, other variables, such as a growing money supply and rising raw materials costs, could factor into rising inflation.

To show current price levels in context, this Markets in a Minute chart from New York Life Investments shows the history of inflation over 100 years.

U.S. Inflation: Early History

Between the founding of the U.S. in 1776 to the year 1914, one thing was for sure - wartime periods were met with high inflation.

At the time, the U.S. operated under a classical Gold Standard regime, with the dollar’s value tied to gold. During the Civil War and World War I, the U.S. went off the Gold Standard in order to print money and finance the war. When this occurred, it triggered inflationary episodes, with prices rising upwards of 20% in 1918.

However, when the government returned to a modified Gold Standard, deflationary periods followed, leading prices to effectively stabilize, on average, leading up to World War II.

The Move to Bretton Woods

Like post-World War I, the Great Depression of the 1930s coincided with deflationary pressures on prices. Due to the rigidity of the monetary system at the time, countries had difficulty increasing money supply to help boost their economy. Many countries exited the Gold Standard during this time, and by 1933 the U.S. abandoned it completely.

A decade later, with the Bretton Woods Agreement in 1944, global currency exchange values pegged to the dollar, while the dollar was pegged to gold. The U.S. held the majority of gold reserves, and the global reserve currency transitioned from the sterling pound to the dollar.

1970’s Regime Change

By 1971, the ability for gold to cover the supply of U.S. dollars in circulation became an increasing concern.

Leading up to this point, a surplus of money supply was created due to military expenses, foreign aid, and others. In response, President Richard Nixon abandoned the Bretton Woods Agreement in 1971 for a floating exchange, known as the “Nixon shock”. Under a floating exchange regime, rates fluctuate based on supply and demand relative to other currencies.

A few years later, oil shocks of 1973 and 1974 led inflation to soar past 12%. By 1979, inflation surged in excess of 13%.

The Volcker Era

In 1979, Federal Reserve Chair Paul Volcker was sworn in, and he introduced stark changes to combat inflation that differed from previous regimes.

Instead of managing inflation through interest rates, which the Federal Reserve had done previously, inflation would be managed through controlling the money supply. If the money supply was limited, this would cause interest rates to increase.

While interest rates jumped to 20% in 1980, by 1983 inflation dropped below 4% as the economy recovered from the recession of 1982, and oil prices rose more moderately. Over the last four decades, inflation levels have remained relatively stable since the measures of the Volcker era were put in place.

Fluctuating Prices Over History

Throughout U.S. history. there have been periods of high inflation.

As the chart below illustrates, at least four distinct periods of high inflation have emerged between 1800 and 2010. The GDP deflator measurement shown accounts for the price change of all of an economy’s goods and services, as opposed to the CPI index which is a fixed basket of goods.

It is measured as GDP Price Deflator = (Nominal GDP ÷ Real GDP) × 100.

According to this measure, inflation hit its highest levels in the 1910s, averaging nearly 8% annually over the decade. Between 1914 and 1918 money supply doubled to finance war efforts, compared to a 25% increase in GDP during this period.

U.S. Inflation: Present Day

As the U.S. economy reopens, consumer demand has strengthened.

Meanwhile, supply bottlenecks, from semiconductor chips to lumber, are causing strains on automotive and tech industries. While this points towards increasing inflation, some suggest that it may be temporary, as prices were depressed in 2020.

At the same time, the Federal Reserve is following an “average inflation targeting” regime, which means that if a previous inflation shortfall occurred in the previous year, it would allow for higher inflationary periods to make up for them. As the last decade has been characterized by low inflation and low interest rates, any prolonged period of inflation will likely have pronounced effects on investors and financial markets.

Tyler Durden Sat, 06/12/2021 - 19:00

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Visualizing The Biggest Companies In The World In 2021

Visualizing The Biggest Companies In The World In 2021

Since the COVID-19 crash, global equity markets have seen a strong recovery. The 100 biggest companies in the world were worth a record-breaking $31.7 trillion as of March 31 2021,…

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Visualizing The Biggest Companies In The World In 2021

Since the COVID-19 crash, global equity markets have seen a strong recovery. The 100 biggest companies in the world were worth a record-breaking $31.7 trillion as of March 31 2021, up 48% year-over-year. As a point of comparison, the combined GDP of the U.S. and China was $35.7 trillion in 2020.

In today’s graphic, Visual Capitalist's Jenna Ross uses PwC data to show the world’s biggest businesses by market capitalization, as well as the countries and sectors they are from.

The Top 100, Ranked

PwC ranked the largest publicly-traded companies by their market capitalization in U.S. dollars. It’s also worth noting that sector classification is based on the FTSE Russell Industry Classification Benchmark, and a company’s location is based on where its headquarters are located.

Within the ranking, there was a wide disparity in value. Apple was worth over $2 trillion, more than 16 times that of Anheuser-Busch (AB InBev), which took the 100th spot at $128 billion.

In total, 59 companies were headquartered in the United States, making up 65% of the top 100’s total market capitalization. China and its regions was the second most common location for company headquarters, with 14 companies on the list.

Risers and Fallers

What are some of the notable changes to the biggest companies in the world compared to last year’s ranking?

Tesla’s market capitalization surged by an eye-watering 565%, temporarily making Elon Musk the richest person in the world. Food delivery platform Meituan and PayPal benefited from growing e-commerce popularity with their market capitalizations growing by 221% and 151% respectively.

Tech companies TSMC and ASML Holdings were also among the top 10 risers, thanks to a shortage of semiconductor chips and growing demand.

On the other end of the scale, Swiss companies Nestlé, Novartis, and Roche Holding were all among the bottom 10 companies by market capitalization growth. China Mobile was the only company to decline with a -12% change. The company was delisted from the New York Stock Exchange as a result of an executive order issued by former president Donald Trump, and recently announced its intention to list on the Shanghai Stock Exchange.

A Sector View

Across the 100 biggest companies in the world, some sectors had higher weightings.

Technology had the highest market capitalization and was also the most common sector, with Big Tech dominating the top 10. Companies in the consumer discretionary, financials, and health care sectors also had a strong representation in the ranking.

Despite having only five companies on the list, the energy sector amounted to almost 10% of the top 100’s market capitalization, mostly due to Saudi Aramco’s whopping valuation.

An Uncertain Recovery

From near market lows on March 31, 2020, all sectors saw increases in their market capitalization. However, top 100 companies in some sectors outperformed their respective industry index, while others did not.

Basic materials and industrials, both cyclical sectors, were high performers in the top 100 and outperformed their respective industry indexes. Technology companies also outperformed, and accounted for $255 billion or 31% of all shareholder distributions by the top 100, far more than any other sector. Apple alone spent $73 billion on share buybacks and $14 billion in dividends in the 2020 calendar year.

On the other hand, the worst-performing sectors in the top 100 were health care, utilities, and energy. While the index performance for health care and utilities was also relatively poor, the wider energy sector performed fairly well.

It’s perhaps not surprising that all sectors saw positive returns since their low levels in March 2020, buoyed by fiscal stimulus and central bank policies. As countries begin to reopen, will the value of the biggest companies in the world continue to climb?

Tyler Durden Sat, 06/12/2021 - 23:00

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