Do penny stocks make up any of the stocks on your watch-list currently? Just in case they don’t, I suggest taking a look at some right now. But, I only suggest this if you have a healthy craving for potential risk. That’s penny stocks for you in a nutshell though. They tend to have more high risk, yet high reward of all the equities out there. That’s especially in the short-term.
There is one key ingredient to look at and this is volatility. Penny stock prices can swing immensely, leaving the potential to realize massive gains. That said, it appears that even the broader market is seeing extreme volatility wherever you may look. Could it be all the ongoing factors like we saw towards the end of last week with Texas and Florida making moves to slow down the full re-opening of their economies due to the spread of COVID-19?
When you look at the markets and see swings of over 1,000 points weekly, you can tell that things are abnormal from the usual flow. It might be scary to some, but for high risk investors, it is exactly what they like to see. With these current conditions, penny stock lovers see a bright future as they wake up to daily triple-digit movers. Will these conditions last? It looks like for the immediate future they just might. Therefore, I want you to take a look at these 3 penny stocks with major recent news.
New Monday Penny Stock Profile #1 To Watch Closely: Coty Inc.
Coty Inc. (NYSE American: COTY), together with its subsidiaries, manufactures, markets, distributes, and sells beauty products worldwide. The company operates in three segments: Luxury, Consumer Beauty, and Professional Beauty.
Coty Inc. (NYSE: COTY) and Kim Kardashian West announced today that they have entered into a strategic transaction to further develop Kardashian West’s business globally. Together, Coty and Kardashian West will focus on entering new beauty categories and global expansion beyond her existing product lines. Kardashian West and her team will lead all creative efforts in terms of product and communications initiatives, building on her remarkable global reach capabilities through social media.
The transaction is another step in Coty’s renewed emphasis on its beauty business and ongoing transformation into a more agile, focused company. Kardashian West is one of the world’s most recognized personalities with 300 million followers across her personal and brand social media channels, as well as being an influential voice among beauty consumers globally. In January, Coty acquired a 51% stake in Kardashian West’s half-sister Kylie Jenner’s brands.
Under the terms of the agreement, Coty will acquire a 20% ownership interest in Kardashian West’s beauty business for $200M. Coty will have overall responsibility for the portfolio’s development in skincare, haircare, personal care and nail products, leveraging its deep understanding of the industry and its commercial and go-to-market expertise. Through the relationship each party will leverage its unique strengths to further build a high growth, direct-to-consumer beauty brand.
Peter Harf, Coty Chairman and Chief Executive Officer, added, “Kim is a true modern day global icon. She is a visionary, an entrepreneur, a mother, a philanthropist, and through social media has an unparalleled ability to connect with people around the world. This influence, combined with Coty’s leadership and deep expertise in prestige beauty will allow us to achieve the full potential of her brands.”
New Monday Penny Stock Profile #2 To Watch Closely: Iterum Therapeutics plc
Iterum Therapeutics plc, (Nasdaq: ITRM) a clinical-stage pharmaceutical company, engages in developing anti-infectives for multi-drug resistant pathogens in Ireland and the United States. The company is developing sulopenem, a novel penem anti-infective compound with oral and IV formulations that is in Phase III clinical trials for the treatment of uncomplicated urinary tract infections, complicated urinary tract infections, and complicated intra-abdominal infections.
Iterum Therapeutics plc announced topline results from its Sulopenem for Resistant Enterobacteriaceae (SURE) 1 clinical trial for the treatment of Uncomplicated Urinary Tract Infections (uUTI). Sulopenem is a novel anti-infective compound that, if approved, would be the first penem antibiotic with an oral formulation indicated for treatment of uUTI.
In SURE1, there were two independent primary endpoints, with achievement of either of those endpoints expected to provide a potential path to marketing approval based on previous discussions with the U.S. Food and Drug Administration (FDA). In the population of patients with baseline pathogens resistant to quinolones, sulopenem achieved the related primary endpoint by demonstrating superiority to ciprofloxacin, providing substantial evidence of a treatment effect in patients with uUTI. With a p-value of <0.001, this result was highly statistically significant. In the second population of patients with organisms susceptible to quinolones, sulopenem was not non-inferior to ciprofloxacin and did not achieve the related primary endpoint, with the difference in outcomes driven by the rate of asymptomatic bacteriuria post treatment. In SURE1, sulopenem was well tolerated with a favorable safety profile, consistent with the SURE2 and SURE3 trials.
“We are extremely pleased to have a potential path to approval for sulopenem in uUTI. Approximately 5-6 million urinary tract infections in the U.S. every year are caused by quinolone resistant pathogens. If approved, sulopenem would provide a treatment option for women with infections due to these resistant pathogens,” said Corey Fishman, Chief Executive Officer of Iterum Therapeutics. “Sulopenem is the first new oral antibiotic to demonstrate success in treating uUTIs in a phase 3 trial in over twenty years.” Mr. Fishman continued, “We anticipate a pre-NDA meeting with the FDA in the third quarter of 2020 to discuss a path forward.”
Michael Dunne, M.D., Chief Scientific Officer of Iterum Therapeutics, stated, “Superiority trials to define the effectiveness of novel antibacterial agents are rarely performed but remain the ultimate test for defining the value of a new agent in an area of high unmet medical need. Sulopenem has demonstrated efficacy in the treatment of UTI due to a quinolone resistant organism, a scenario found in almost 30% of all urinary tract infections in women in the United States today.”
New Monday Penny Stock Profile #3 To Watch Closely: BioHiTech Global, Inc.
BioHiTech Global, Inc. (Nasdaq: BHTG), through its subsidiaries, provides technological, biological, and mechanical engineering solutions for the control, reduction, and/or reuse of organic and municipal waste worldwide. Its suite of technologies includes on-site biological processing equipment for food waste, patented processing facilities for the conversion of municipal solid waste into renewable fuel, and proprietary real-time data analytics tools to reduce food waste generation.
BioHiTech is rallying on Monday 6/29 on potential demand for Altapure disinfectant against COVID-19.
The company markets an automated remotely operated system called Altapure that, it says, can disinfect a patient’s room in 50 minutes via spraying a cloud of sub-micron fog droplets, delivering a 6-log kill of bacteria and viral pathogens, including coronavirus.