Over the last 7 days, the United States market has risen 6.8%, and over the past 12 months, it is up 5.9%, with earnings forecasted to grow by 14% annually. For those looking to invest in smaller or newer companies, penny stocks — despite their somewhat outdated name — can still offer surprising value in such a buoyant market environment. By focusing on stocks with strong financial foundations and clear growth potential, investors may uncover opportunities that balance risk with promising returns; this article highlights three such penny stocks that demonstrate financial strength and long-term potential.
Name | Share Price | Market Cap | Financial Health Rating |
Safe Bulkers (NYSE:SB) | $3.46 | $364.86M | ★★★★☆☆ |
Tuya (NYSE:TUYA) | $2.02 | $1.2B | ★★★★★★ |
Smith Micro Software (NasdaqCM:SMSI) | $0.805 | $14.15M | ★★★★☆☆ |
Global Self Storage (NasdaqCM:SELF) | $5.00 | $55.56M | ★★★★★☆ |
Flexible Solutions International (NYSEAM:FSI) | $3.86 | $48.44M | ★★★★★★ |
Imperial Petroleum (NasdaqCM:IMPP) | $2.34 | $70.67M | ★★★★★★ |
BAB (OTCPK:BABB) | $0.77975 | $5.63M | ★★★★★★ |
QuantaSing Group (NasdaqGM:QSG) | $3.08 | $226.43M | ★★★★★★ |
Lifetime Brands (NasdaqGS:LCUT) | $4.00 | $88.43M | ★★★★★☆ |
New Horizon Aircraft (NasdaqCM:HOVR) | $0.389 | $13.14M | ★★★★★★ |
Click here to see the full list of 785 stocks from our US Penny Stocks screener.
Below we spotlight a couple of our favorites from our exclusive screener.
Simply Wall St Financial Health Rating: ★★★★★★
Overview: Clover Health Investments Corp. offers Medicare Advantage plans in the United States and has a market cap of $1.88 billion.
Operations: The company's revenue primarily comes from its Insurance segment, which generated $1.37 billion.
Market Cap: $1.88B
Clover Health Investments, with a market cap of US$1.88 billion, remains unprofitable but has reduced its losses over the past five years by 11% annually. Despite a negative return on equity, the company is debt-free and maintains a solid cash runway for over three years due to positive free cash flow. Recent leadership changes include Dr. Shelly Gupta as Chief Medical Officer, expected to enhance clinical operations and value-based care initiatives. The company anticipates insurance revenue between US$1.8 billion and US$1.875 billion for 2025, reflecting steady growth amidst ongoing operational challenges and insider selling activities.
Simply Wall St Financial Health Rating: ★★★★★★
Overview: Verve Therapeutics, Inc. is a clinical-stage company focused on developing gene editing medicines for treating cardiovascular disease in the United States, with a market cap of $289.47 million.
Operations: The company generates revenue from its Pharmaceuticals segment, amounting to $32.33 million.
Market Cap: $289.47M
Verve Therapeutics, with a market cap of US$289.47 million, is currently unprofitable but debt-free and maintains a solid cash runway for over three years based on its current free cash flow. The company recently announced positive initial data from its Heart-2 Phase 1b clinical trial for VERVE-102, targeting LDL-C reduction in patients with HeFH or premature CAD. Despite high share price volatility and declining earnings forecasts, Verve's short-term assets significantly exceed liabilities, providing financial stability to support ongoing trials. The FDA clearance of their IND application marks a key milestone as they prepare for Phase 2 trials later this year.
Simply Wall St Financial Health Rating: ★★★★★★
Overview: United States Antimony Corporation is engaged in the production and sale of antimony, silver, gold, precious metals, and zeolite products in the United States and Canada, with a market cap of $319.82 million.
Operations: The company generates revenue through its two main segments: Antimony, contributing $12 million, and Zeolite, adding approximately $2.94 million.
Market Cap: $319.82M
United States Antimony Corporation, with a market cap of US$319.82 million, is unprofitable but has a solid cash runway exceeding three years and more cash than total debt. Despite high share price volatility and an inexperienced management team, the company’s short-term assets of US$20.7 million comfortably cover both short- and long-term liabilities. Earnings are forecast to grow significantly at 63.27% annually, although past losses have increased by 9.8% per year over five years. The upcoming earnings release on March 20 may provide further insights into its financial trajectory amidst industry challenges.
This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
Companies discussed in this article include NasdaqGS:CLOV NasdaqGS:VERV and NYSEAM:UAMY.
This article was originally published by Simply Wall St.
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