If you’re looking for high-risk, high-reward, penny stocks could be a perfect fit. Not many other investment options offer the ability to leverage small sums of money that can double or triple within a few days or even hours. If 2020 and 2021 have taught us anything, it’s that the stock market is its own animal. While the economy was trying to recover last year, stocks were reaching all-time highs. As the economy has started turning things around thanks to vaccine distribution, stocks are red hot.
Nothing has become more evident than the impact that retail traders have had. Obviously, the big movers like GameStop (NYSE: GME) clearly demonstrated this early in 2021. However, as the year rolls on, new trends are emerging. It’s not just “short squeeze stocks” or “Reddit penny stocks.” Now we see trends emerge in certain industries.
This is another highlight when it comes to penny stocks. Many of the underlying companies are early-stage or emerging growth companies. The business models alone offer up the potential for investors to see companies start from the ground up. One of the latest emerging trends has been in the healthcare space. In particular, alternative medicines to combat the opioid epidemic.
Are Psychedelic Stocks On Your Watch List In 2021?
Much like what we saw during the early days of legalizing cannabis, psychedelics are on the fringes of the medical industry. Right now the main focus is on neurological disorders and dysfunctions that traditional opioid treatments have targeted. However, opioids have been closely linked to high levels of abuse and addiction leading to an actual epidemic.
According to the U.S. Department of Health and Human Services*, over 70,000 people died in 2019 due to overdosing. Another 1.6 million had an opioid use disorder within the past year and more than 10 million people misused prescription opioids in the past year.
The Journal of Psychopharmacology* found that psychedelic use in place of opioids showed a 27% reduced risk of past-year opioid dependence and a 40% drop in the risk of past-year opioid abuse. Aside from marijuana, the Journal reported that “no other illicit drug was associated with reduced risk of past-year opioid dependence or abuse.”
With science pointing to a solution, 2020 and 2021 have seen the emergence of a new string of public companies exploring psychedelic-assisted treatment options. This is a very young industry right now, but recent milestones suggest that there could be a novel treatment for mental disorders.
Psychedelic Penny Stocks To Watch
Call them mushroom stocks, psychedelic stocks, shroom stocks, etc. All of the companies involved are exploring and researching new ways of medical treatment. This includes everything from controlled recreational use in places that allow for it. There are also platforms being investigated for…