While that’s a great gain, we’re recommending a different stock to our readers. This stock is positioned for huge returns and is less volatile.
Instead, the company we’ll show you today is on the cusp of turning Silicon Valley on its head by ushering in a new era of truly wire-free charging. Before we reveal the pick, here are the top 10 penny stocks to watch this week…
Marathon Patent Group Inc., an intellectual property licensing and management company, has become a cryptocurrency play. The company announced it would acquire cryptocurrency miner Global Big Venture Inc. on Nov. 2.
Shares of Marathon Patent Group Inc. rallied 341% after the price of Bitcoin surged from $5,857 on Nov. 12 to $9,561 over 15 days.
|Penny Stock||Current Share Price||Nov. 20-24 Gain (as of Nov. 24)|
|Marathon Patent Group Inc. (Nasdaq: MARA)||$5.95||340.74%|
|Valeritas Holdings Inc. (Nasdaq: VLRX)||$5.22||94.78%|
|U.S. Global Investors Inc. (Nasdaq: GROW)||$4.91||91.05%|
|Micronet Enertec Technologies Inc. (Nasdaq: MICT)||$1.41||83.09%|
|Celsion Corp. (Nasdaq: CLSN)||$3.26||68.04%|
|LM Funding America Inc. (Nasdaq: LMFA)||$3.54||67.77%|
|ENDRA Life Sciences Inc. (Nasdaq: NDRA)||$3.75||63.04%|
|Acasti Pharm Inc. (Nasdaq: ACST)||$1.96||56.68%|
|Seven Stars Cloud Group Inc. (Nasdaq: SSC)||$3.14||53.17%|
|Atomera Inc. (Nasdaq: ATOM)||$4.41||51.55%|
While MARA’s share price gains are impressive, it’s still a risky play. The hype surrounding Bitcoin is spilling into the stock market, with investors looking to make Bitcoin-like returns at a thousandth of the price of Bitcoin. Today’s volume for MARA shares are more than 21.5 times greater than average volume. Meaning shares of MARA are riskier than a traditional stock.
You see, most penny stocks are speculative investments, which can have huge price swings in a short amount of time. In this case, over the last three years, MARA’s share price was as high as $30 in January 2015 and as low as $0.64 in June 2017, before climbing up to $6.51.
Our Money Morning experts are more interested in finding stocks to buy in companies with the best chance of making you money.
That’s where Money Morning Small-Cap Strategist Sid Riggs comes in.
He’s an expert at delivering readers investment opportunities with massive upside potential at low upfront cost. Consider his pick from December 2013 – Neurocrine Biosciences Inc. (Nasdaq: NBIX). NBIX was trading for just $9 per share when Sid recommended it, and now it has surged 688.8%, to $71, today.
Today, Sid recommends an Israeli-based company that provides vehicle-management products and services. While that might not sound explosive, the company is actually positioned to be a key leader in the cloud-based “Internet of Things” for vehicles and fleets.
Here’s why this stock could soar next year.
The Best Small-Cap “Internet of Things” Stock to Buy Before 2018
Founded in 1991, Pointer Telocation Ltd. (Nasdaq: PNTR) designs cloud software to manage commercial vehicles in real time. Some applications include truck fleet management, stolen vehicle retrieval, roadside assistance, and vehicle-to-vehicle communication.
Pointer already has a fully developed and connected cloud system for vehicles, unlike its competitors, who are still developing these technologies.
It’s a huge advantage that’s already being reflected in the company’s earnings results.
During the company’s Q3 2017 earnings call on Nov. 15, management announced record-high sales of $20.23 million, which marked the sixth consecutive quarter of revenue beating analysts’ expectations.
Nearly two-thirds of its revenue for the quarter came from recurring sources, which grew 27%, to $13.3 million.
Sid first recommended shares of PNTR on Sept. 8, when it traded at $15.40 per share. Since that date, shares are up 12.34%, to $17.30 today.
But Sid believes Pointer still has significant upside ahead of it. That means it’s still a value buy right now…
Next year’s estimated earnings per share (EPS) of $1.33 would be an increase of 51% over current-year EPS of $0.88. With a forward price-to-earnings ratio of 21, according to S&P Capital IQ, analysts are predicting Pointer’s stock to reach as high as $27.93. That represents 61.44% upside from current levels.
Pointer has met or exceeded EPS expectations in seven of the last eight quarters. Sid predicts PNTR’s winning streak of earnings reports will only continue.
*This has been a guest post by Money Morning*