3 Energy Penny Stocks To Watch Right Now
In the past few months, we have seen energy penny stocks make a big comeback. This makes sense given how affected the industry was by the pandemic. Early during the pandemic, energy usage including fossil fuels and renewables shot down to very low levels. With people commuting and traveling much less, the prices of many leading energy stocks dropped down substantially as a result.
Moving further into 2021 we see vaccine distribution is rolling out. This could trigger a bit of a rebirth for things like travel as well as manufacturing. Now, we are nowhere near the pre-pandemic levels when it comes to energy consumption. But, many penny stocks have started rallying once again. This could be a sign that the market believes the pandemic could be getting more under control.
One thing to keep in mind is that it may be a more gradual recovery. People are still cautious of travel especially in light of virus numbers remaining near all-time highs. Needless to say, with numerous vaccines out right now, trading has resumed in many beaten-down energy names. Within the group of stocks under $5, there are quite a lot of penny stocks to choose from especially when we’re talking about energy companies. With this in mind, here are three energy penny stocks that are making big moves.
Energy Penny Stocks to Watch
Southwestern Energy Company
One of the more modest movers of the day on January 15th is Southwestern Energy Company. With a 2.6% gain by midday, shares of SWN stock approached the $4 level. Now this gain may seem small, but it is also indicative of some stability in its trading. In the past month, shares of SWN stock are up by around 20%, and since October, it’s up by over 70%. This is a perfect illustration of the gradual growth that we are seeing in the energy sector. We can also see trends in SWN’s chart that correlate with positive news released in relation to vaccine optimism.
On January 14th, Morgan Stanley analyst Mark Carlucci, announced a “hold” rating for SWN stock. In addition, the analyst stated that SWN has a price target of $4. One of the benefits of SWN is that it is quite a broad energy penny stock. The company operates as an explorer, developer, and producer of both natural gas and oil.
Its focus is on the Northeastern U.S., including Pennsylvania and West Virginia. Based out of Texas, the company also deals in the transport and marketing of its natural gas and oil products. And with a market cap of around $2.5 billion, Southwestern Energy is by no means a small company. So if Covid can continue to get on the right path, will SWN be a penny stock to watch?
Camber Energy Inc.
One of the more volatile energy penny stocks to watch is Camber Energy Inc. on Friday, January 15th, shares of CEI stock shot up by a solid 16% during intraday trading. In the…