Looking for penny stocks to add to your portfolio? We’ve got you covered. Here is one company that could yield some nice returns for small investors.
Penny Stocks to Watch in 2019
Valhi Inc. (NYSE:VHI) is a Dallas-based holding company producing goods across three big markets including component products, chemicals, and real estate management and development.
It manages these separate markets through three subsidiary companies, one assigned for each market sector.
The first is CompX International Inc, which handles Valhi’s components business. CompX is a leading provider of security products for offices, healthcare businesses, and postal services.
The second sector, the chemical production sector, is controlled by Kronos Worldwide Inc. Kronos creates additives used in paint, paper, and plastics.
The third sector is comprised of Valhi’s real estate and development market. It has majority control of BMI and LandWell. BMI looks after utility services, while LandWell takes care of development activities in Nevada.
As a penny stock company, Valhi is quite a diverse company, and the company’s diversity is treating it very well. VHI’s gross profits have soared almost 170% across three years. That’s impressive growth for a very short amount of time by comparison.
This penny stock might excite you further when you learn that VHI also produces a staggering 45% return on equity. The company also pays investors a 3.59% dividend yield.
Are you picking your jaw up off the floor yet? That is almost unheard of territory for penny stocks.
VHI stock has a current price target of $4.00. It is currently selling for just over $2.08 USD and is up 5.5% on the day. With a target of $4.00, that means investors could be in line to gain almost double over the next year from today’s price.
VHI offers food for thought, that’s for sure! Of course, do your own research into companies such as this and only invest what you can afford to lose!
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