Look At These 5 NZX Penny Stocks Less Than $1 For Growth

Summary

  • CAV set for growth as Bremworth gets MPI funding.
  • AFL partner NZL completes the acquisition of 14 farms.
  • SKT ties up with NBC Universal to bring more content on demand to customers.

Some investors prefer to invest in large, mature companies, while some like to put their money in small growth-oriented ones after examining their current value, growth plans and performance. Even penny stocks have been able to give good returns to investors. They have a low price but can prove to be multi-baggers if chosen wisely.

These stocks, no doubt, are risky because of their volatile nature, but are a darling of investors who thrive on volatility. Let’s look at a some penny stocks that emerged strong even after the coronavirus pandemic.

Cavalier Corporation Limited (NZX:CAV)

CAV is a growth stock. New Zealand’s leading wool carpet manufacturer, Cavalier, received NZ$1.9-M funding from the government as a part of Sustainable Food and Fibre Futures (SFFF) investment programe. The grant will help Bremworth in co-funding its NZ$4.9-M research program. This is a three-year programe, which will involve the research and development of natural and green alternatives for carpet manufacturing.

On 2 June, the stock closed at NZ$0.430, up by 1.18% at the time of writing

Allied Farmer Limited (NZX:AFL)

This is a rural services company. It offers specialised services such as dairy stock trading, merchandising and real estate in rural areas. In spite of tough conditions last year, the Company was able to maintain its services through skilled manpower and innovation.

Today, the Company announced that its partner NZL had completed the acquisition of 14 Van Leeuwen farms through shareholders’ approval. Even its earnings for the year were strong. AFL announced on the NZX that it would provide soon the information about the impact on its earnings to the shareholders. The Company has been innovating and has taken several initiatives during the COVID-19 pandemic.

Also Read: Rural Services entity, Allied Farmers to procure 50% stake in NZRLMP

On 2 June, the stock closed up 3.51% at NZ$ 0.590 at the time of writing.

Cannasouth Limited (NZX:CBD)

This Company is in the biopharma space. The Company has great potential even though its stock has shown volatility due to the regulatory environment. Recently, the Company acquired a new technology for growing cannabis in green houses, something that gives the Company an edge over others. This technology is being preferred by large markets like Germany and other EU Countries.

On 2 June, the CBD stock was up by 2.04% at NZ$ 0.480.

Wellington Drive Technologies Limited (NZX:WDT)

This Company provides cloud-based solutions and Internet of Things (IoT) technologies for fleet management. Its quarter update reflected strong trading and big increase in its forward order position. The results of the quarter were in line with the guidance and confirmed that the Company was returning to profitability after a difficult 2020. Wellington Chairman and acting CEO Gottfried Pausch said that not only was the Company recovering but it was also on the growth path in the short and medium terms driven by market share gains.

Also Read: Could These 6 NZX Penny Stocks Emerge As Multibaggers?

On 2 June, WDT stock was flat at NZ$0.089 at the time of writing.

Sky Network Television Limited (NZX:SKT)

SKT is the most popular television network in the country. Recently, the Company entered into an agreement with NBC Universal Network. This deal will make SKT offer more content on demand on several platforms. It will bring to the customers the content in many genres like news, comedy and drama and also facilitates more content on demand.

On 2 June, Sky Network Television Limited traded flat at NZ$0.171 at the time of writing.

Also Read: 6 NZX Stocks With The Maximum Volume Today

Also read: Prominent NZX stocks that waxed and waned today - PHL, BGI, SVR, SPY

Comment


Disclaimer

   
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