We’re officially a full week into the new decade, and investors will surely be eager to start it off on the right foot. Well, fear not, because we’re here with Tuesday’s pick of penny stocks you might want to keep an eye on to set your portfolio alight in 2020. Today, we’re looking at aTyr Pharma and Pulmatrix.
Penny stocks trade for $5 or less, and they are often a divisive subject among investors and speculators. Some see them as a fantastic opportunity to turn a minimal investment into a maximum return, while others see the high level of risk attached as a major deterrent. However, if you can stomach the risk, then you should definitely consider these two stocks. Let’s take a look.
aTyr Pharma Inc (NASDAQ:LIFE)
aTyr Pharma is a San Diego-based biopharmaceutical company that focuses on developing treatments for rare diseases that have an immune imbalance, which greatly limits treatment options. Technically, this isn’t a penny stock right now, having crossed the $5 threshold on Monday after announcing a collaboration with Japanese company Kyorin to develop and commercialize a treatment for specific lung diseases. The deal could see aTyr receive up to $167 million USD depending on the success of the treatment.
Currently trading for $5.89, this stock gained nearly 120% in the final quarter of 2019 and looks set for further gains off the back of the Kyorin deal.
Pulmatrix Inc (NASDAQ:PULM)
Pulmatrix is another biopharmaceutical penny stock that has recently seen its share price skyrocket off the back of a major announcement. Specializing in developing inhaled therapies for pulmonary diseases, the company announced last week that it had inked a major deal with pharma heavyweight Johnson & Johnson (NYSE:JNJ) to create a portfolio of kinase inhibitors using its patented iSPERSE platform in conjunction with JNJ’s Lung Cancer Initiative.
Should the partnership achieve certain milestones, Pulmatrix could be in line to receive over $100 million USD from JNJ. The announcement of the deal has seen this penny stock nearly double in the last week alone to currently trade at $1.50.
That’s our pick of penny stocks to watch this Tuesday; we’ll be back with more on Thursday, but let us know if any catch your eye between now and then. Happy hunting!
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