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AMC & GME aren’t the only Reddit penny stocks available for purchase, according to top Wall Street analysts

Now, if you are looking for penny stocks to buy, you have surely seen a lot of attention on social media which is Reddit. The phenomenon, which began earlier this year thanks to GameStop stock (NYSE: GME), has sparked an avalanche of trading activity that has spread to other heavily shortened names. Whether it’s shabby meat alternatives like Beyond Meat (NASDAQ: BYND) or bankrupt car rental companies like Hertz (OTC: HTZGQ), Redditors go against the grain and focus on the “anti-trade” in the market. This week, AMC Theaters (NYSE: AMC) took the lead among meme stocks. It’s hard to believe the shares were trading around $ 2 a share earlier this year. The first big move, fueled by Reddit, took battered theater stocks to a high of $ 20.36 before taking an abrupt turn in the weeks that followed. As many are sure to have seen by now, this Meme stock has not only managed to rebound but hit new highs as well. Was there an important development that fundamentally changed the composition of the company? No, but Redditors have certainly fallen behind AMC stock in a big way. Hedge funds have long been seen as groups that have “controlled” the markets for far too long. This is the general thought process of retailers who use Reddit and Twitter for their soapboxes. A new chapter will be written around mid-2021. It’s no longer just a hunt for sharply shortened stocks. The same groups of retailers are finding that the “mob mentality” can dramatically affect markets. Enter penny stocks. Subreddits like r / PennyStocks are gaining thousands of followers daily and looking for the next round of the best penny stocks to buy. Reddit Penny Stocks for Instant Buy If you are a beginner or a newbie to the stock market in general, there are a few things to keep in mind. The first, and probably the most obvious, is that there is an enormous risk. Not only is this typical market risk, but given the hype surrounding Reddit, there are other things you need to consider as well. Of course, being on the right hand side of a Reddit stock trade is usually not a bad thing. Remember, there are a lot more things that can be used to find top penny stocks. One of these research tools examines what analysts are saying. Comments from a few top companies, price targets and research reports seem to have resonated well with retail investors. In this article, we’re going to discuss some of the popular penny stocks on Reddit that have also attracted interest from some of Wall Street’s top companies that cover smaller businesses. Now that you’ve seen what they discussed, some additional data can be added to your due diligence process to help determine whether certain hyped stocks are worth the risk. Buying Penny Stocks According to Wall Street Analysts: Ideanomics Inc. (NASDAQ: IDEX) Ideanomics has seen a surge in interest in Reddit over the past few weeks. Dealers are circulating interest in penny stocks for electric vehicles. If you look at Ideanomics’ model, the company is focused on a diversified entry into space. It offers everything from electric cars and motorcycles to charging systems to agricultural products for electric vehicles such as tractors. Since May 11th, IDEX stock has risen more than 30%. If Roth Capital analysts are to be believed, there could be a lot more upside, depending on your target. Roth currently has a buy rating on the Penny Stock and gave it a target of $ 7 earlier this quarter. Based on the recent $ 3 level, that would represent a move of more than 130%. Whether or not the penny stock actually reaches these levels remains to be seen. The current 52-week high is at $ 5.53, which is also the all-time high. After a sharp jump in earnings this month, retailers added IDEX to their list of penny stocks to watch. According to CEO Alfred Poor, the company’s outlook could be even better. In a conference call earlier this month, Poor stated that the WAVE charging product line is being rolled out in China with growing interest from seaports, airports and trucking companies. In addition, the first vehicles will be exported as finished products from Malaysia as part of Treeletrik orders in Indonesia. Delivery is expected to start in the third quarter with the Indonesia-based assembly facilities online in the fourth quarter or early 2022. Poor stated that the Treeletrik team elsewhere is completing this new headquarters and showroom in Kuala Lumpur with a schedule for moving in in August. The Redditors are also distributing the latest update to the Ideanomics acquisition agreement with US Hybrid, which manufactures and supplies fuel cells and powertrains, and components for zero-emission vehicles. Given the Biden government’s stance on carbon neutrality, this could be an interesting development to watch the deal close. Tellurian Inc. (NASDAQ: TELL) Tellurian stocks are also up this month on bullish retail sentiment. Since May 3rd, the TELL share has risen by more than 80%. This week it hit a high of $ 4.13, just 26 cents off the 52-week high it set in January. Tellurian wasn’t just one of the Reddit penny stocks to watch. With growing interest in reopening trading and epicenter stocks, natural gas companies have been gaining ground. These were some of the hardest hit in the early days of the pandemic thanks to a decline in travel and commerce. Tellurian stock was actively trading above $ 7 per share prior to the collapse of the pandemic last year, just to give you an idea. If the analysts at Wolfe Research are to be believed, Tellurian could return to these levels as well. The company recently raised its price target from $ 5 to $ 7 while maintaining its outperform rating. Wolfe analyst Sam Margolin noted that the prospects for Tellurian’s Driftwood liquefied natural gas project had “improved” due to a recent surge in global LNG prices. Margolin further explains that the “attractiveness of the project in commodity price environments is permanent”. Margolin’s comments, given the company’s recent agreement with Gunvor Singapore Pte Ltd. be supported further. In May, Tellurian signed a 10-year liquefied natural gas deal with Gunvor to sell and purchase 3 million tons per year during the period. Tarek Souki, Executive Vice President LNG Marketing & Trading, emphasized the potential of the business and said: “Our business model creates significant value for Tellurian. At today’s LNG prices, this agreement represents approximately $ 12 billion in revenue over the 10-year term of the agreement. Organizational Chart (NASDAQ: OGI) Some marijuana stocks have cooled in the past few weeks. However, thanks to a mix of corporate milestones and Reddit hype, Organigram’s stocks have bucked the broader trend. If you look at industry ETFs like the ETFMG Alternative Harvest ETF (NYSE: MJ) or the AdvisorShares Pure US Cannabis ETF (NYSE: MSOS), they are drawing a relatively subdued cannabis market. However, if you look at OGI stock this month, the trend is different. Stocks rose from around $ 2.50 to highs of over $ 3 this week. If the analysts at Stifel Nicolaus and Raymond James are to be believed, Organigam could have more advantages. Earlier this quarter, both companies raised their targets to $ 6, or around $ 4.97. Raymond James analysts have determined that the company’s recent M&A strategy could add to its value proposition. Analyst Rahul Sarugaser wrote, “We see today’s acquisition of EIC as a move by OGI to consolidate its already strong position in the Canadian food market and add world-class soft chew manufacturing expertise to its industry-leading automated chocolate manufacturing capabilities.” Organigram bought The Edibles & Infusions Corporation (EIC) in April for $ 22 million plus up to $ 13 million in OGI stock based on milestones. The focus of this acquisition was on access to EIC’s food portfolio. The first sale of its products is expected in the fourth quarter of this year. This M&A trend seems to be a focus for several cannabis companies right now. This week Hexo Corp. announced (NYSE: HEXO) announced a $ 925 million purchase of Redecan, creating a huge Canadian recreational cannabis company. The milestone will be split into a cash payment of $ 400 million, with the remaining portion due in shares of HEXO stock. Also, don’t forget Tilray (NASDAQ: TLRY) acquisition of Aphria. Final Thoughts on Penny Stocks Whether you are new to the penny stocks trade or a seasoned veteran, the choice to buy or sell ultimately rests on your shoulders. How you come to a decision is up to you. Outlets like Reddit, Twitter, or even financial media outlets are great places to get information and write your thesis. Analyst reviews and company headlines are also useful for researching penny stocks to buy. Because of the high quality of cheap stocks, there is usually something for everyone. Remember, penny stocks can go down just as quickly as they can go up. So it is a must to have a plan before even hitting the buy button. JeepersMedia’s “GameStop” is licensed under CC BY 2.0. For more information from Benzinga, click here for option trades from the BenzingaMORE bill, which was reintroduced in-house as the Senate prepared its own cannabis reform legislation © 2021 Benzinga does not offer investment advice. All rights reserved.

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