Penny Stock Goldmines: 3 Gems to Grab for Massive Gains by 2024

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The massive euphoria in penny stocks has not repeated since 2021. The reason is tight monetary policies that have dampened overall market sentiments. At the same time, recession fears and geopolitical tensions have played spoilsport. Investors are unwilling to speculate even on attractive penny stocks to buy amidst these uncertainties. Of course, there are individual stories that have skyrocketed backed by business catalysts.

I however feel that the coming year might be eventful for penny stocks. It’s likely that monetary policy tightening will end in the current year. Any meaningful economic slowdown would translate into renewed expansionary policies. It’s likely to be good for penny stocks.

My focus is on non-speculative penny stocks that represent companies with attractive business fundamentals. I believe that over the next 15 months, these stocks can deliver multi-bagger returns. Let’s discuss the reasons to be bullish.

Polestar Automotive (PSNY)

Polestar Automotive (NASDAQ:PSNY) stock has been trending lower and currently trades at $3.6. I however believe that the electric vehicle stock is poised to surge above $10 in 2024. There are a few fundamental reasons to be bullish.

First, Polestar has taken several initiatives to cut costs. In all probability, the company’s EBITDA losses will narrow significantly in the next few quarters. This is a key stock upside trigger. Besides cost-cutting, operating leverage will contribute to the narrowing of EBITDA-level losses.

Furthermore, Polestar is positioned for robust growth in vehicle deliveries next year after a subdued 2023. The reason to be bullish is the potential commencement of deliveries of Polestar 3 and Polestar 4 in the first few months of 2024.

It’s worth noting that Polestar is available online in 27 markets in North America, Europe, and Asia Pacific. With an attractive model pipeline and wide presence, the growth outlook is robust.

Kinross Gold (KGC)

It’s been a while that I have maintained my view on Kinross Gold (NYSE:KGC) being potentially involved in a merger and acquisition transaction. It was recently reported that Artemis Gold (OTCMKTS:ARGTF) is a takeover target with Kinross being a possible suitor.

This news can be purely speculative. However, I strongly believe that Kinross will be acquiring gold assets in the coming months.

As of Q2 2023, Kinross reported a liquidity buffer of $1.9 billion. Further, the company is likely to deliver annual operating cash flows of $1.2 to $1.5 billion. Considering the financial flexibility, an acquisition makes sense since the company has stable production guidance through 2025. Any potential acquisition will boost the production outlook.

Another point to note is that with rising geopolitical tensions the outlook is bullish for gold. Also, with the rate hikes largely done, gold is likely to trend higher from current levels. I would not be surprised if KGC stock delivers 2x or 3x returns by the end of 2024.

Trulieve Cannabis (TCNNF)


It’s been a bad year for Trulieve Cannabis (OTCMKTS:TCNNF) with the stock having declined by 46%. I however believe that the stock is oversold and poised for a strong comeback rally.

As an overview, Trulieve is a vertically integrated cannabis company with a presence in multiple states in the U.S. As more states legalize cannabis, the company is well-positioned to maintain healthy growth.

For Q2 2023, the company reported revenue of $282 million and an adjusted EBITDA of $79 million. Revenue growth was impacted by the company’s exit from California and Massachusetts.

However, it’s worth noting that the company has generated $24 million in cash year-to-date. As financial flexibility increases, the company will be positioned for strong growth in a federal-level cannabis legalization scenario. Therefore, the company’s focus to transform into a leaner organization will create value in the coming years.

On the date of publication, Faisal Humayun did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the Publishing Guidelines.

Faisal Humayun is a senior research analyst with 12 years of industry experience in the field of credit research, equity research and financial modeling. Faisal has authored over 1,500 stock specific articles with focus on the technology, energy and commodities sector.

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