In this article, we will look at the 10 Best Day Trading Penny Stocks to Buy.
Day trading penny stocks is not a normal buy-and-hold setup. The appeal comes from movement, liquidity, and the possibility that a low-priced stock with heavy turnover can create short-term trading windows. Nasdaq, in an article entitled ‘How to Trade Volatility: An Introduction’, notes that “volatility of a financial instrument is often seen as a risk,” but adds that “it can also present opportunities” for traders who know how to navigate “dynamic market conditions.”
Volume is the other half of the story. Charles Schwab, in an article entitled ‘Trading Volume as a Market Indicator,’ says “above average and/or increasing trading volume can signal that traders are truly committed to a price move,” while “below average and/or decreasing volume can signal a lack of enthusiasm.” For penny stocks, this matters because a sharp move in a thinly traded name can be hard to enter or exit cleanly. Schwab also notes that “Market volatility brings increased opportunity to profit in a shorter amount of time,” but “also carries increased risk.” Day traders are usually looking for the combination of volatility and participation: enough price movement to trade, and enough turnover to make the move more actionable.
That is why the most interesting penny stocks for day trading are the stocks showing unusual activity, heavy volume traded, and large intraday swings that can attract short-term attention. With that in mind, let’s take a look at the 10 Best Day Trading Penny Stocks to Buy.
Our Methodology
We used the Finviz screener to identify stocks that are trading below $5 per share, have an average daily trading volume of over 1 million, and have high volatility. We then limited our final selection to companies that have recently reported noteworthy developments likely to impact investor sentiment. These stocks are also popular among analysts and elite hedge funds.
Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 498.7% since May 2014, beating its benchmark by 303 percentage points (see more details here).
10. Compass Therapeutics, Inc. (NASDAQ:CMPX)
On April 28, 2026, Canaccord lowered its price target on Compass Therapeutics, Inc. (NASDAQ:CMPX) to $7 from $13 and maintained a Buy rating. The firm said Tovecimig+paclitaxel showed improved progression-free survival versus paclitaxel monotherapy, but noted that 54% crossover complicated the interpretation of any overall survival benefit in the ITT population. Canaccord added that while the active arm showed numerically better overall survival among patients who did not crossover, it does not expect this to be enough for full FDA approval.
In a similar move, Stifel reduced its price target on Compass Therapeutics, Inc. (NASDAQ:CMPX) to $6 from $12 while keeping a Buy rating. Stifel said COMPANION-002 secondary endpoint data support the efficacy of tovecimig, shifting the discussion toward how the FDA may interpret the results. The firm noted that several questions are likely to shape the near-term narrative but reiterated its Buy rating, pointing to tovecimig optionality and an earlier-stage pipeline with upcoming catalysts.
Meanwhile, Jefferies said the 63% selloff in Compass Therapeutics appears “an over-reaction,” citing the company’s data and the biliary tract cancer opportunity, while adding that the trial’s crossover design “confounds the ITT readout” even as it maintained a Buy rating and a $9 price target.
Compass Therapeutics, Inc. (NASDAQ:CMPX) is a clinical-stage oncology-focused biopharmaceutical company developing antibody-based therapeutics for the treatment of various human diseases in the United States.
9. Ryde Group Ltd. (NYSEAMERICAN:RYDE)
On April 30, 2026, Ryde Group Ltd. (NYSEAMERICAN:RYDE) entered into a Memorandum of Understanding with VinaTaxi, a licensed taxi operator in Vietnam, to explore potential strategic collaboration in the country’s mobility and electric transport market. The companies will assess a framework to modernize mobility services by combining Ryde’s ride-hailing technology with VinaTaxi’s fleet operations. Areas under discussion include deploying Ryde’s platform across VinaTaxi’s taxi fleet, building an electric motorcycle ride-hailing ecosystem suited to Vietnam’s urban transport landscape, and gradually introducing electric vehicles to support longer-term sustainability goals.
Last month, Ryde Group Ltd. (NYSEAMERICAN:RYDE) announced the adoption of a Digital Asset Treasury, or DAT, Strategy as part of its broader treasury management and long-term balance sheet planning. The company said it is evaluating digital assets to diversify and modernize its treasury in response to the macroeconomic environment, with potential allocations to Bitcoin, Ethereum, and Solana depending on market conditions and internal approvals. The framework is intended to add flexibility in managing reserves while maintaining capital discipline and risk oversight, supported by two governance bodies: the Digital Asset Investment Committee, which oversees asset allocation and capital deployment decisions, and the Digital Asset Compliance and Risk Committee, which handles operational controls, regulatory compliance, counterparty review, and portfolio risk monitoring.
Ryde Group Ltd. (NYSEAMERICAN:RYDE) provides mobility and quick commerce solutions in Singapore, including ride-hailing, carpooling, and parcel delivery services.
8. Soluna Holdings, Inc. (NASDAQ:SLNH)
On April 28, 2026, Soluna Holdings, Inc. (NASDAQ:SLNH) announced a partnership with Sazmining, a Bitcoin Mining as a Service, or BMaaS, provider. The collaboration will support Sazmining’s second U.S.-based mining operation through an initial 3 MW deployment at Soluna’s Project Dorothy 1B, with potential to expand over time depending on demand and available capacity.
On April 21, 2026, Soluna Holdings, Inc. (NASDAQ:SLNH) expanded its partnership with Blockware by adding 3.3 MW of capacity at the Project Dorothy 1B site in West Texas. The company said this marks Blockware’s fourth expansion with Soluna and its first at Dorothy 1B, making it the first customer at the 25 MW data center co-located with the Briscoe Wind Farm. Soluna noted it recently acquired the Briscoe Wind Farm in a $53 million deal, enabling vertical integration between power generation and data center operations, while Blockware’s total deployed capacity across Soluna sites now exceeds 17 MW.
Earlier in April, Soluna Holdings, Inc. (NASDAQ:SLNH) acquired Spring Lane Capital’s equity interest in Project Dorothy 1A for $16.5M, bringing its ownership to 100% from a prior 14.6% Class B interest. The transaction, which follows the $53M Briscoe Wind Farm acquisition, gives the company full control of D1A in Silverton, Texas, and supports its plan to align the Dorothy campus with AI workloads as Dorothy 3 development progresses. The purchase will be funded through $6M paid at closing and the remainder due in July 2026, alongside a $12M unsecured promissory note maturing May 15, 2027. Soluna said it is pursuing full ownership of the broader Dorothy campus, with discussions ongoing for Dorothy 1B and Dorothy 2, while Dorothy 3 is expected to involve new equity partners aligned with its AI-focused strategy.
Soluna Holdings, Inc. (NASDAQ:SLNH) operates data centers focused on cryptocurrency mining.
7. AEye, Inc. (NASDAQ:LIDR)
On April 28, 2026, AEye, Inc. (NASDAQ:LIDR) announced a strategic commercial relationship with defense systems company SynTech to support the distribution and integration of its Apollo long-range lidar sensor across defense applications. CEO Matt Fisch said SynTech’s position in the defense ecosystem and focus on unmanned systems make it “an ideal partner,” adding that Apollo’s “long-range detection capability” and “software configurability” allow it to be deployed across varied environments to support mission effectiveness.
On April 24, 2026, Craig-Hallum initiated coverage of AEye, Inc. (NASDAQ:LIDR) with a Buy rating and a $3.50 price target. The firm described the company as a turnaround story already two years into an upswing, citing a product portfolio with an advantage in long-range lidar. Craig-Hallum said design wins across automotive and non-automotive segments could drive a financial inflection in the second half of 2026, while also pointing to multiple upcoming catalysts and a balance sheet that provides six to eight quarters of runway. The firm added that the stock is trading below cash value, which it said suggests limited downside, alongside a multi-year outlook that could support “4-5 times returns.”
AEye, Inc. (NASDAQ:LIDR) provides physical AI sensing solutions for vehicle autonomy, advanced driver-assistance systems, robotic vision, and other non-automotive applications.
6. Bed Bath & Beyond, Inc. (NYSE:BBBY)
On April 28, 2026, Wedbush raised its price target on Bed Bath & Beyond, Inc. (NYSE:BBBY) to $8 from $7 and maintained an Outperform rating following the company’s recent results. The firm noted that the first quarter marked the first meaningful year-over-year growth since the restructuring program began, indicating that stabilization efforts are now showing up in revenue. Wedbush added that Bed Bath & Beyond is now focused on accelerating growth and margins by integrating its home assets into a broader platform, and expects at least $40M in annualized cost savings and productivity gains within 12 to 18 months of full integration.
On April 27, 2026, Bed Bath & Beyond, Inc. (NYSE:BBBY) reported Q1 EPS of (24c), compared to the (25c) consensus estimate, with revenue of $247.8M versus $245.0M expected. Marcus Lemonis said the results show efforts to “stabilize and rebuild the business is taking hold,” pointing to year-over-year revenue growth alongside continued cost reductions and operational improvements. Marcus Lemonis also highlighted “better engagement” and “stronger conversion,” alongside improvements in average order value, indicating customer response to recent investments. The company said product categories and home services initiatives are driving demand, supported by digital and financial capabilities, and noted that recent moves, including the planned acquisition of The Container Store, Elfa, and Closet Works, are aligned with its “Everything Home 3 pillar ecosystem.”
On the same day, Bed Bath & Beyond, Inc. (NYSE:BBBY) announced a strategic partnership with Bilt to build a “more connected, rewarding, and seamless experience” across its portfolio, including Bed Bath & Beyond, The Container Store, Kirkland’s, Overstock, and buybuy BABY. The partnership will integrate Bilt’s customer identity, loyalty, and engagement platform into the company’s “Everything Home” ecosystem, with the company saying it reflects a shift toward “durable relationships” that evolve with customers over time.
Bed Bath & Beyond, Inc. (NYSE:BBBY) is an e-commerce-focused retailer with an affinity model that owns or has ownership interests in multiple retail brands.
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