In this article, we will look at the 10 Best Strong Buy Penny Stocks to Buy Now.
On July 28, Alan Rechtschaffen, UBS Global Wealth senior portfolio manager, appeared on CNBC’s ‘Money Movers’ to talk about the markets, his Fed outlook, and more. He stated that the market rally represents “the prices catching up with policy,” as people appear to have faith in the tariff negotiation strategy of the present.
He added that the next phase of this rally could be prompted by the Fed lowering interest rates, or generated by attention to the infrastructure changes going on in the United States. According to him, “the market has room to run from here.”
Rechtschaffen acknowledged that the tariffs would have an impact on the economy, as it has seen high tariffs as part of an apparently successful negotiation strategy.
READ ALSO: 14 Best Biotech Penny Stocks to Buy Right Now and 10 Best Strong Buy Stocks to Buy Under $10.
However, he added that we haven’t seen inflation creep into the economy because of the tariffs, as one might have expected to happen. Companies selling the products have absorbed a significant amount of the costs.
As inflation numbers remain tepid, it “behooves” the Federal Reserve to lower interest rates, and Rechtschaffen sees the Fed lowering interest rates by 100 basis points by the middle of next year.
With these market trends in view, let’s look at the best strong buy penny stocks to buy now.
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Our Methodology
We used Finviz and Tipranks to make a list of strong buy stocks with a stock price under $5 and selected the top 10 with consensus Strong Buy ratings and the highest number of hedge fund holders as of Q1 2025. We sourced the hedge fund sentiment data from Insider Monkey’s database, and also added the analyst upside potential for each stock. The list is sorted in ascending order of hedge fund holders.
Note: All data was sourced on August 1.
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 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here).
10 Best Strong Buy Penny Stocks to Buy Now
10. DeFi Technologies Inc. (NASDAQ:DEFT)
Stock Price: $2.73
Analyst Upside: 113.61%
Number of Hedge Fund Holders: N/A
DeFi Technologies Inc. (NASDAQ:DEFT) is one of the best strong buy penny stocks to buy now. On July 22, DeFi Technologies Inc. (NASDAQ:DEFT) announced that its subsidiary, Valour Inc., and Valour Digital Securities Limited, together known as “Valour”, exceeded $1 billion in assets under management. Valour is a leading issuer of exchange traded products.
The milestone marks a 31% growth since May 30, attributed to increasing prices of digital assets across its globally diversified ETP portfolio and strong investor demand.
Management also stated that Valour is expanding into high-growth markets across the globe, including Africa, Asia, and the Middle East, primarily through strategic partnerships with AsiaNext, SovFi, the Nairobi Securities Exchange, and Misyon Bank.
DeFi Technologies Inc. (NASDAQ:DEFT) provides investment services and plans to acquire debt, equity, or other securities of private or publicly traded companies or other entities. Its offerings include DeFi ETNs, DeFi Governance, DeFi Venture, and DeFi Treasury.
9. Opko Health Inc. (NASDAQ:OPK)
Stock Price: $1.28
Analyst Upside: 134.38%
Number of Hedge Fund Holders: 26
Opko Health Inc. (NASDAQ:OPK) is one of the best strong buy penny stocks to buy now. On July 31, Opko Health Inc. (NASDAQ:OPK) reported its fiscal Q2 2025 results, with consolidated total revenues for the quarter reaching $156.8 million compared to $182.2 million in the same quarter last year.
Operating loss for the quarter was $60.0 million, down from $61.7 million in Q2 2024.
Revenue from products in its Pharmaceuticals segment underwent a slight growth to $40.7 million in Q2 2025 from $40.5 million in Q2 2024, reflecting increased sales volumes in certain international operations. These trends were partially offset by lowered sales in its Chilean subsidiary, primarily due to a mild winter cold and flu season and foreign currency impacts.
Revenue from services in the diagnostics segment dropped to $101.1 million in Q2 2025 compared to $129.4 million in the prior year period. Management attributed the decrease to lower clinical test volume principally as a result of the sale of certain BioReference assets.
Opko Health Inc. (NASDAQ:OPK) is a biopharmaceutical and diagnostics company that provides healthcare services. Its operations are divided into the Diagnostics and Pharmaceuticals segments.
