CRP, BFG: 2 penny stocks under 50 cents that grabbed attention today

Be the First to Comment Read

CRP, BFG: 2 penny stocks under 50 cents that grabbed attention today

 CRP, BFG: 2 penny stocks under 50 cents that grabbed attention today
Image source: Kris Patrick, Shutterstock.com

Highlights

  • Penny stocks are low priced stocks and have a small market cap.
  • Chatham Rock and Burger Fuel gained 15.91% and 6.25% on Tuesday.
  • Before investing in penny stocks, investors must do proper due diligence and fundamental research on the company.

NZX returned to trading on Tuesday after remaining closed for Good Friday and Easter Monday. The NZ sharemarket fell on 19 April as investors remained concerned about high inflation and interest rates.

On Tuesday, the NZX 50 index ended in red at 11,835.88, down by 0.47%. However, its sub-index S&P/ NZX SmallCap Index gained 0.27% to end at 90,451.9.

DO READ: NZX 50 falls 0.47% on inflation and rate hike concerns

Penny stocks are low priced stocks and have a small market cap. These stocks trade for less than a dollar and are generally associated with high risk.

Let’s look at 2 NZX penny stocks trading under 50 cents that ended in green today.

Source: © 2022 Kalkine Media®

Chatham Rock Phosphate Limited (NZX:CRP)

Chatham Rock has a market cap of $21.63 million and has given a YTD return of 102.38%. The Group announced that FIRB approved CRP subsidiary Korella Mining Pty’s purchase of Korella Mining Tenament.

The Group had signed a term sheet to acquire the Korella phosphate mine in Australia on 15 October 2021. Korella mine in North-West Queensland on mining lease ML90209 that is in force until 2033.

DO READ: RUA, CBD: 2 NZX cannabis stocks in focus after launch of Rua's first medicine

The first sales of Korella phosphate are likely to happen in July, and the cash made by the phosphate sales will be a breakthrough for the Company.

Shares of Chatham Rock gained 15.91% in trading on Tuesday to close at $0.255.

Burger Fuel Group Limited (NZX:BFG)

Food and beverage firm Burger Fuel has a market cap of $17.11 million and has given a YTD return of -5.55%.

Burger Fuel experienced short-term, temporary shop closures from late April to March 2022 within the franchise system due to self-isolation requirements amid the Omicron outbreak in the country.

ALSO READ: ATM, FCG, SML- Look at some popular dairy companies in New Zealand

The Group’s UAE Master License holder AKI Group stopped running the Burger Fuel brand from 1 April 2022. BFG is evaluating options for the UAE region.

Shares of Burger Fuel gained 6.25% in trading on Tuesday to close at $0.34.

Bottom Line

Investors must do proper due diligence and fundamental research on the company before investing in penny stocks. These stocks have the ability to move rapidly after any update or development within the Company.

(NOTE: Currency is reported in NZ Dollar unless stated otherwise)

NZX returned to trading on Tuesday after remaining closed for Good Friday and Easter Monday. The NZ sharemarket fell on 19 April as investors remained concerned about high inflation and interest rates.

On Tuesday, the NZX 50 index ended in red at 11,835.88, down by 0.47%. However, its sub-index S&P/ NZX SmallCap Index gained 0.27% to end at 90,451.9.

Disclaimer

Speak your Mind

Featured Articles

We use cookies to ensure that we give you the best experience on our website. If you continue to use this site we will assume that you are happy with it. OK