3 Penny Stocks To Buy On Robinhood For Under $4 Right Now

Robinhood Penny Stocks To Buy For Under $4, Are They Worth The Risk?

In this article about penny stocks, we’re going to take a look at a handful of names trading under $2 right now. But as you can see from the title, they’re not just any cheap stocks. They’re penny stocks on Robinhood. The platform has become one of the most popular used among retail traders. Despite the many technology-based shortcomings of the app, traders continue using it for its easy access to public markets.

Why is Robinhood so popular? It was one of the first to offer fee-free trading to retail investors. While plenty of other brokerages have adopted this low or no-fee approach, the masses of retail traders have spoken. The quick means of placing buy and sell orders with minimal technical “clunkiness” has become an appeal for new traders. Furthermore, the app has now extended access to Pre-IPO opportunities.

The first to launch on Robinhood was the Figs Inc (NYSE: FIGS) IPO. The app offered select accounts the opportunity to buy shares of FIGS stock at the predetermined IPO price of $22. Considering that the NYSE listing started trading around $28, it appeared to have been a successful first-go for those lucky enough to purchase shares.

Penny Stocks On Robinhood

Before you start looking for penny stocks on Robinhood, there are some things to understand. First, it is a less advanced application when it comes to technical analysis. There are charts but very few tools to use compared to other platforms. You’ve also got to understand that not all penny stocks are accessible on Robinhood. With only a few exceptions, the platform limits access to NYSE and Nasdaq-listed stocks only.

That means the hyped-up sub-penny stock you read about on a social media forum isn’t likely to be accessible if you’re using Robinhood. Needless to say, there are still plenty of other penny stocks to buy. Today’s article will have a closer look at 4 that can be bought for under $2 right now.

Robinhood Penny Stocks To Buy For Under $4: Uranium Energy Corp (NYSE: UEC)

A recent trend we’ve seen emerge centers around uranium stocks. Thanks to all of this focus on infrastructure and clean energy, nuclear power has gotten recharged. With money to support the development of advanced nuclear energy, it makes sense that investors would be looking for some exposure. Uranium Energy Corp has been one of the beneficiaries of the upbeat market sentiment.

[Read More] Biotech Penny Stocks To Watch For June 2021

Since election day, the uranium stock has climbed from under $1 to a high of $3.40 during the June 4th after-hours session. While trading has been relatively range-bound for the last few weeks, UEC stock, overall, has maintained its uptrend along its 50-day moving average. In fact, each time it has tested this technical level, shares have managed to bounce and make higher lows. In light of the current discussion around President Biden’s infrastructure plan, things have started gaining steam recently.

Toward the end of May, Uranium Energy announced that it raised its uranium holdings. The company acquired an additional 200,000 pounds of U.S. warehoused uranium. UEC’s physical uranium initiative is fully funded with cash on hand and now includes 2.305 million pounds of U.S. warehoused uranium. This is at a volume-weighted average price of $30 per pound with varying delivery dates through June 2023. The company also acquired an additional 1 million shares of Uranium Royalty Corp (NASDAQ: UROY) to maintain existing strategic ownership of Uranium Royalty.

In light of the latest infrastructure hype, there could be something to watch for when it comes to uranium stocks this week.

penny stocks to buy right now on robinhood Uranium Energy Corp. UEC stock chartEvofem Biosciences Inc. (NASDAQ: EVFM)

Traders have had a love/hate relationship with Evofem Biosciences over the last few months. Everything from insider selling to equity offerings has sent share prices lower. However, last week, things seem to have perked up a bit, and you likely won’t find a news catalyst to pin it to. If you do a little bit of light digging into the company’s filings, you’ll find a few things.

First, you’ll see Evofem published a new investor deck via 8-K. While this isn’t a major groundbreaking event, it is something to consider in light of its latest presentation at the Jefferies Healthcare Conference. The company gave an overview last Friday starting at 10:30 AM EST. There were a few intermittent spikes of momentum throughout the day, but nothing as big as the after-market session had in store.

While EVFM stock closed the day at $0.8654, post-market trading saw the penny stock trading much higher. At one point, shares reached highs of $0.9863. By the end of the session, the biotech penny stock was sitting at $0.94. What was a catalyst? In a Schedule 13, G Morgan Stanley reported a 5.1% stake in the company. With this institutional attention becoming a focus for retail traders, it will be interesting to see how EVFM stock begins the week on Monday morning.

Looking further out, the company has been raising money to expand on its commercialization strategy. This includes full commercialization activities related to Phexxi®, the company’s lead female contraceptive product. Evofem also plans to deploy capital to support its ongoing EVOGUARD Phase 3 clinical trial evaluating EVO100 to prevent chlamydia and gonorrhea in women.

penny stocks to buy right now on robinhood Evofem Biosciences Inc. EVFM stock chartAcasti Pharma Inc. (NASDAQ: ACST)

Another one of the biotech penny stocks that could be on the radar this week is Acasti Pharma. In fact, the last few weeks of action have seen much higher daily trading volumes compared to the beginning of Q2.

Something that has helped drive this is the company’s acquisition news. Last month Acasti announced that it signed a definitive agreement to acquire Grace Therapeutics. This will provide Acasti with a pipeline of rare and orphan disease programs. Some programs, in particular, include Grace’s 3 clinical-stage assets that have all received Orphan Drug Designations from the FDA.

“As a result of the merger, we anticipate the combined company will have the financial resources to fund our lead programs to critical value inflection points. Our board of directors have approved the proposed transaction with Acasti, which is also supported by Grace’s shareholders,” explained Vimal Kavuru, co-founder and chairman of Grace.

[Read More] Why Investing in Penny Stocks in 2021 is Unlike Any Other Time

After a strong move over the last week, ACST stock is coming into the new week stronger than it did the last. With retail traders following the progress of this deal, it will be interesting to see if this bullish trend continues.

penny stocks to buy right now on robinhood Acasti Pharma ACST stock chartWhat Penny Stocks Are On Your List Right Now?

These are only a few penny stocks on Robinhood gaining attention right now. With another big week ahead, I’m sure there will be plenty more that we’ll discuss. With a resurgence in small-caps thanks to meme stocks like BlackBerry, AMC, & GameStop stock, summer could be an exciting time for cheap stocks.

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