When penny stocks shoot up 20% in a 24-hour period, it begins to make sense why investors take a risk backing stocks under $5. Such is the case for two companies on our radar today. RIOT and TCCO penny stocks are both heading skyward with gains upwards of 20%.
Let’s check these out.
Penny Stocks Gainers
Riot blockchain (NASDAQ:RIOT) got a nice surprise on Monday when Bitcoin price suddenly rallied and shot up over 20%. Closely reliant on the cryptocurrency industry and associated with Bitcoin, in particular, Riot Blockchain shot up with it.
Now, in pre-market trading, the RIOT penny stock is up 22.60% and selling for $4.34 on the NASDAQ exchange.
According to its website: “Riot Blockchain Inc. is focused on building, supporting and operating Blockchain technologies.”
The company does as it says on the tin. It also helps that it has its own Bitcoin mining operation. Herein is the important connection to Bitcoin so expect further gains here if Bitcoin can continue to climb.
Of course, these reliances work in reverse too, so keep a close eye.
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Penny Stock Gainers
Another small-cap company on the rise is Technical Communications Corporation (NASDAQ:TCCO). Currently selling for $4.15 USD and up 22.42%, there is no recent news to explain this jump. But such is often the case with shares selling for under $5. Penny stocks are volatile by nature so capitalizing on these sudden unexplained gains is often how investors earn their bread.
Technical Communications designs and markets military-grade communication systems, creating “custom solutions to secure voice, data and video communications in demanding environments worldwide.”
Shares that are connected to military and defense often offer investors potential. This is because America places huge importance on defense—it spent $639 billion USD on this sector in 2018 for example.
While it’s hard to know what exactly caused the TCCO penny stock to soar, while the Trump administration in power, American military stocks should be on your radar.
What penny stocks are you watching? Let us know!
Featured Image: DepositPhotos © gladcov
