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These 2 Penny Stocks Are Poised to Go Boom, Say Analysts
Wall Street has mixed feelings about penny stocks. These tickers changing hands for less than $5 per share either draw investors in with their high return potential or send them running for the hills, but why?When we say high return potential, we aren’t exaggerating. The bargain price points allow investors to snap up more shares than possible when investing in other more well-known names. What’s more, even what feels like trivial share price appreciation can translate to massive percentage gains.That said, there’s a legitimate reason some investors are wary when it comes to penny stocks. The risk involved with these plays scares off the faint hearted as very real problems like weak fundamentals or overwhelming headwinds could be masked by the low share prices.So, how should investors approach a potential penny stock investment? By taking a cue from the analyst community. These experts bring in-depth knowledge of the industries they cover and substantial experience to the table.Bearing this in mind, we used TipRanks’ database to find two compelling penny stocks, according to Wall Street analysts. Both tickers boast a Strong Buy consensus rating and plenty of upside potential.Matinas BioPharma (MTNB) By using its lipid nano-crystal platform (LNC) delivery technology, Matinas BioPharma hopes to solve complex challenges related to the oral delivery of small molecules, gene therapies, vaccines, proteins and peptides. Currently going for $0.87 apiece, several members of the Street believe its share price presents an attractive entry point.Writing for BTIG, 5-star analyst Robert Hazlett points to MAT2203 as a key component of his bullish thesis. The therapy was designed as a liposomal nanocrystal (LNC) version of the broad-spectrum anti-fungal amphotericin B that allows for oral delivery of the drug.Ahead of the Phase 2 EnACT trial evaluating the candidate in cryptococcal meningitis, with enrollment for Cohort 2 set to begin in the near-term and the next DSMB data expected in mid-2021, Hazlett points out that this is the “first of potentially several indications with the novel antifungal.”Further explaining his optimism about the therapy, Hazlett stated, “There was unanimous recommendation by the independent DSMB to move to the second cohort of patients in of EnACT, which is a validating event for MAT2203, as progression through the cohorts is assessed by the rate of CSF fungal clearance and the absence of fungal count rebound, and progression through the cohorts of EnACT therefore signals MAT2203’s activity and its successful crossing of the blood-brain barrier (BBB) to maintain a reduced fungal count in the CSF.”Additionally, the enrollment for ENHANCE-IT, a head-to-head trial of MAT9001 compared to Amarin’s Vascepa, has been completed. MAT9001 is MTNB’s free fatty…