Before we get into the best stocks under $1, many traders will know that cheap stocks are a whole different breed.
People trade these stocks primarily because of their volatility. Penny stocks can dramatically increase or decrease in value over the course of a normal trading day.
For example, if a $0.10 stock increases to $1, you can make quite a bit of cash. So, what are the characteristics you are looking for in a decent stock under one dollar? Well, here are a few things to watch out for:
- Try to look for a quality exchange…if possible. When looking for a quality penny stock, try to find a quality exchange. We recommend tried and true options like the NYSE or Nasdaq. If you do see a stock on the OTC Markets, we think you should stick to the OTCQX. It’s the highest tier of the OTC and has the clearest standards.
- Earnings per share – Now this may be hard to come by in the world of penny stocks, but it’s worth your time to check the EPS and see if the company is profitable. It should not be a dealbreaker, but it is good to know and might give you some level of comfort.
- Trading volume – Daily trading volume is a good indicator of other traders‘ willingness to buy. You want to make sure there is some solid volume. If you want to sell, you are going to need to make sure there is someone who will take the shares off your hands. Check the volume to make sure you have some liquidity.
Looking for some higher priced picks? Check out the best stocks under $10.
Now that we have established a bit of a guidepost, let’s look at the best stocks under $1 to buy now!
Best Stocks Under $1 with Potential
While the travel industry has struggled over the past year, it is slowly starting to bounce back. Countries around the world are vaccinating their citizens and people are feeling more comfortable traveling.
Bombardier is a Canadian company that makes corporate jets. They struggled financially in years past, which is what pushed their stock price down below $1 in the first place.
However, the company has recently taken steps to get their finances back in order. They laid off thousands of employees and launched a massive corporate restructuring program.
Because this corporate restructuring was relatively recent, we’ll have to wait and see exactly how it pans out. However, this could be an exciting prospect for investors that are feeling bullish on travel stocks.
So far, things look good for this company. Their stock price has gone up dramatically since November, and they are currently trading at a year-long high.
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Golden Minerals (NYSE: AUMN)
Golden Minerals is a mining company headquartered in Colorado. They focus on gold and silver production, with mines in Mexico, Argentina, and Nevada.
This company has a large portfolio of mining properties that are already operational. They plan to start production in two of their Mexican mines over the next two years. Their Rodeo mine began production at the beginning of 2021, and their Velardena properties should be fully operational at the end of this year or early next year.
Mining companies have been tricky to invest in over the last year, as COVID-19 caused some production shutdowns. However, Golden Minerals is in a good position, as they focus mainly on gold and silver.
Gold and especially silver prices have gone up steadily in the last year. Many people turned to these precious metals as a stable investment when the market was particularly volatile.
Golden Minerals stock has generally increased in price over the last year, with some volatility. This seems to be based on excitement about the company’s production output rather than their revenue and earnings numbers, which have been less than thrilling over the past few quarters.
This company appears to be meeting its production goals for this year, which could result in a revenue increase down the line. Much of this depends on the price of gold and silver at the time, so investors will want to keep an eye on that as well.
Best Stocks Under 1 Dollar That Pay Dividends
Chesapeake Granite Wash (OTC: CHKR)
The Chesapeake Energy Corporation runs this trust, which currently has a market cap of $12.86 million. The trust owns royalty interests from Chesapeake’s oil and natural gas operations in Oklahoma.
Despite this stock’s low share price, they pay a consistent dividend of approximately $0.02 per share annually. Their share price was slowly declining for a six-month period in 2020, but started to pick up again in December.
The oil and natural gas industries have been very volatile this past year, and that is something that investors will want to watch out for with this stock. However, the dividends may make it an attractive pick for some investors, which is why this is one of the best stocks under $1!
Biotech Stocks Under $1
Adamis Pharmaceuticals (NASDAQ: ADMP)
Adamis Pharmaceuticals is a company based in San Diego that makes respiratory and allergy drugs. They focus on delivering these treatments to their patients at an affordable cost.
The company already has one product on the market called Symjepi, an epi-pen to treat allergic reactions in emergencies. They also have several projects in their pipeline right now, including injectables for opioid overdoses, a topical gel for radiation dermatitis, and an oral tablet for respiratory disease.
Adamis stock has been slowly increasing in price in late April and early May 2021. This is likely the result of a recent announcement from the company, during which they had revealed that they had a productive meeting with the FDA about their products.
Also Read: Trade Ideas Review
Pulmatrix Inc. (NASDAQ: PULM)
Pulmatrix is a biotechnology company based in Massachusetts. Their main technology is the iSPERSE technology. This technology converts a wide variety of drugs into small, dense particles that can be inhaled. This makes these drugs more accessible for a broader range of people.
The company also currently has three products in their pipeline to treat lung cancer, migraines, and ABPA in asthma patients.
Right now, Pulmatrix stock is down from the peak it hit in February. Part of this drop is due to a loss of a potential licensing deal with a Johnson & Johnson subsidiary.
It’s understandable why investors would be concerned. However, the company remains in a good place financially, with no debt and good free cash flow. Now could be a good time to invest in this innovative company while their prices are low.
Best Marijuana Stocks Under $1
TILT Holdings (OTC: TLLTF)
TILT Holdings is a company that offers products and services for marijuana brands. They provide essential support for the rapidly growing cannabis industry and help their clients adjust to shifting regulations.
The largest company in TILT’s portfolio is Jupiter Research, which designs and manufactures vaporization technology. Their other brands include Standard Farms, a medical marijuana grower in Pennsylvania, and Commonwealth Alternative Care, which makes and distributes cannabis products in Massachusetts. In the Canadian market, they own Sante Veritas Therapeutics, which owns processing facilities in Vancouver as well as their own marijuana brands.
In addition to owning these brands, TILT works with cannabis companies around the world. They assist with both production and distribution – two operations that can be difficult for small cannabis companies to scale up.
TILT Holdings has been on a steady growth trajectory since December 2020. This is definitely a stock to watch for gains as we move forward into May.
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Best Energy Stocks Under $1
Gran Tierra Energy Stocks (NYSE AMERICAN: GTE)
Gran Tierra Energy is a Canadian company with oil and gas operations worldwide. Some of their biggest operations are in Ecuador and Colombia.
The energy market struggled through 2020. However, many investors are bullish on the market as travel is starting to pick up again around the world, increasing demand for oil and gas.
Gran Tierra did have to stop production at times during 2020 due to COVID restrictions, but they’ve managed to keep their oil reserves stable to keep up with demand.
Some investors think this energy stock might be undervalued given their production and earnings. Their stock price has gone up significantly since the beginning of the year, but is still less than $1.
Looking for other investment ideas? Make sure to check out our Louis Navellier Growth Investor Review.
Cheap Stocks To Buy Now Under $1 Dollar
Castor Maritime (NASDAQ: CTRM)
Castor Maritime is a global shipping company. Their current headquarters are in Cyprus, although their ships fly under the Marshall Islands flag.
Right now, Castor Maritime runs nine dry bulk carriers and two tankers. One of these is the M/T Wonder Sirius, which they recently acquired. This acquisition gives Castor Maritime more shipping capacity.
Castor Maritime stock spiked in February during a period of extreme volatility on the market. While share prices have dropped since then, there are still a few key reasons to consider this company.
Overall, the dry bulk shipping sector has been growing lately. Pandemic-related shipping slowdowns are clearing up, which bodes well for the sector as a whole.
Additionally, Castor Maritime has committed to an aggressive growth strategy. As mentioned previously, they recently acquired the M/T Wonder Sirius. They plan to acquire even more ships in the future.
This means Castor Maritime could be an exciting pick for those who want to take a chance on penny stocks. Investors should keep an eye on the company’s financials as they continue to pursue a growth strategy.
Integrated Ventures (OTC: INTV)
Many investors have been touting cryptocurrency as the ‘next big thing’ for several years now. While popular cryptos like Bitcoin and Ethereum can be very volatile, they also have made some savvy investors very wealthy.
Integrated Ventures is a software company that works with new cryptos to launch them and keep them up and running online. They primarily develop crypto mining equipment and blockchain software.
Investing in Integrated Ventures could be an affordable way to benefit from the cryptocurrency boom without actually investing in volatile cryptos. While their stock is still under $1, their share price popped in early February. This indicates that investors are curious about exciting new crypto technology. This is definitely a stock to watch in 2021, especially with all the excitement around Bitcoin and Dogecoin right now.
Best Stocks Under $1: Conclusion
Those are the best stock under a dollar that we recommend. We have tried to cover a wide range of catalysts and market events, so do your research and see which ones best fit your own portfolio’s profile.
Are there any stocks under a dollar that we missed? Are there any stocks with serious growth potential that we need to know about in the nano-cap or small-cap space? Let us know in the comments below.