What Are the Top Penny Stocks in Health Care?

What Are the Top Penny Stocks in Health Care?

Penny stocks are generally defined as low-priced stocks that trade for less than $5 per share. While they can be risky investments, they also have the potential to offer high returns. In the health care sector, there are several penny stocks that investors should keep an eye on. In this article, we will take a closer look at the top penny stocks in health care and what makes them attractive to investors.

1. Acasti Pharma Inc. (ACST)

Acasti Pharma is a biopharmaceutical company that specializes in developing cardiovascular therapies. The company's lead product candidate is CaPre, which is a prescription omega-3 phospholipid concentrate. Acasti is currently conducting Phase 3 clinical trials for CaPre, and the drug has the potential to be a game-changer in the treatment of hypertriglyceridemia. With a market capitalization of just $79 million, Acasti is a promising penny stock for investors looking for exposure to the biotech industry.

2. Evofem Biosciences Inc. (EVFM)

Evofem Biosciences is a women's health company that develops innovative products for contraception and sexual health. The company's lead product candidate is Phexxi, which is a non-hormonal contraceptive gel that can be used on-demand. Phexxi has already been approved by the FDA and is expected to launch in the US market in September 2020. With a market capitalization of just $366 million, Evofem is a penny stock with significant upside potential.

3. Novavax Inc. (NVAX)

Novavax is a biotech company that focuses on developing vaccines for infectious diseases. The company's lead product candidate is a COVID-19 vaccine, which is currently in Phase 2 clinical trials. Novavax has received funding from both the US government and the Coalition for Epidemic Preparedness Innovations (CEPI) to develop its COVID-19 vaccine. With a market capitalization of just $2.5 billion, Novavax is a penny stock that offers investors exposure to the high-growth vaccine industry.

Investment Strategies for Penny Stocks

Investing in penny stocks can be risky, but there are a few strategies that investors can use to minimize their risk. One strategy is to diversify your portfolio by investing in several penny stocks instead of just one. Another strategy is to do your research and only invest in penny stocks that have strong fundamentals and a solid business plan. Finally, investors should be prepared to hold onto their penny stocks for the long-term, as they may take longer to realize their potential.

In conclusion, penny stocks in the health care sector can offer investors high returns, but they also come with significant risks. Acasti Pharma, Evofem Biosciences, and Novavax are three penny stocks that investors should keep an eye on. By diversifying your portfolio, doing your research, and being patient, you can potentially realize significant gains from investing in penny stocks.