10 Stocks Under $5 That Will Explode

8. CytomX Therapeutics, Inc. (NASDAQ:CTMX)

CytomX Therapeutics, Inc. (NASDAQ:CTMX) earns a spot on our list of the best penny stocks set to explode.

As of April 8, 2026, all covering analysts rate CytomX Therapeutics, Inc. (NASDAQ:CTMX) as a “Buy,” with the consensus price target of $12 indicating a 179.07% upside.

In addition to pre-funded warrants for 1,179,245 shares issued to specific investors in place of common stock, CytomX priced an underwritten public offering of 45,990,567 common shares at $5.30 each on March 17, 2026.

The agreement was scheduled to close on March 19, 2026, subject to customary conditions, with CytomX Therapeutics, Inc. (NASDAQ:CTMX) expected to generate roughly $250 million in gross proceeds before discounts and expenses. Furthermore, underwriters were given a 30-day option by the company to purchase up to 7,075,471 more shares.

According to CytomX Therapeutics, Inc. (NASDAQ:CTMX), the proceeds will be used for working capital, capital expenditures, general corporate purposes, and the development of Varseta-M and other pipeline programs.

CytomX Therapeutics, Inc. (NASDAQ:CTMX) has more flexibility moving forward with its clinical program following the raised financing.

CytomX Therapeutics, Inc. (NASDAQ:CTMX) develops conditionally activated biologics targeting the tumor microenvironment, including antibody-drug conjugates, T-cell engagers, immune modulators, and its PROBODY platform for oncology and preclinical applications.