Do You Agree With Analysts On These Penny Stocks?
With the stock market sell-off this week, investors are jittery. But this hasn’t put a pause on day traders searching for penny stocks to buy. In fact, these last few days of selling have brought waves of retail buying. The name of the game right now is “bottom-feeding,” and rightfully so. If you look at broader exchanges and ETFs, including the S&P 500 (NYSE:SPY), Nasdaq (NASDAQ:QQQ), Dow (NYSE:DIA), and even the Russell 2000 (NYSE:IWM), you’ll see that these have tested some significant technical levels this week. All four broke below their 50-day moving averages. Furthermore, the SPY dropped below its 100-day average while the IWM dipped under its 200 day. For the SPY, it hasn’t made a move like this in over a year.
The Stock Market Today
With the Federal Reserve meeting coming to a close on Wednesday, eyes are now on Fed Chair Jerome Powell. What, if any, bond-buying taper schedule will be revealed? Will interest rates get hiked sooner than expected? Is inflation not as “transitory” as was initially believed? All of these questions are becoming a source of speculation in the stock market today.
Then you’ve got the fate of China’s second-largest developer, China Evergrande, hanging in the balance. Will the country bail out the indebted real estate company? Do global financial institutions and governments step in to help? Again, more questions. In the stock market today, we’ve seen a pause to the rampant selling from earlier in the week ahead of the close of the FOMC meeting. As markets attempt to rebound, traders are looking for ways to buy the dip in beaten-down stocks. Today, we’ll look at five companies that analysts have shown interest in, along with price targets as high as 259%.
Penny Stocks To Buy [According To HC Wainwright]
Verastem is one of the penny stocks we’ve discussed recently. This was thanks to upcoming data (at the time) concerning its Phase 1/2 FRAME study in VS-6766 for low-grade serous ovarian cancer. Since the details were revealed, VSTM stock has been climbing. The company reported that it saw positive data from the treatment study. When combined with the company’s defactinib, patients demonstrated meaningful response rates. Topline results are expected during the first half of next year.
If you look at VSTM stock in a longer-term timeframe, you’ll see that it’s still well off its 2021 high. Earlier this year, Verastem shares rallied as high as $4.93 on the heels of receiving Breakthrough Therapy Designation for VS-6766 with defactinib in this specific type of ovarian cancer. Its capital-raising efforts were one of the big reasons the stock came under pressure during the summer. But even with this pullback, some analysts are becoming more bullish right now.
VSTM Stock Forecast
Earlier this month, HC Wainwright analyst…