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11 Best New Penny Stocks to Buy Right Now

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On July 28, the Opening Bid team at Yahoo Finance and Victoria Fernandez, chief market strategist at Crossmark Global Investments, discussed the rise in cheap stock trading and what it can mean for the broader market.

There has been an increase in the trading of cheap stocks this year. According to data from Jefferies, stocks priced under $5 make up more than 25% of all stock trades so far this year.

Victoria Fernandez explained that many of these cheap stocks are shorted and attract day traders instead of long-term investors. She noted that these are quick trades and they tend to be small amounts. Fernandez said this kind of trading could be driven by a “gambler’s addiction,” with people looking for quick market plays and not solid, long-term investments that she would suggest people to invest in.

Fernandez also highlighted that Goldman Sachs has seen a rise in speculative trading. Call options are increasing while the market’s volatility index is sitting at around 15. She explained that this means that investors are not fearful right now.

This low fear and high speculative trading, according to Fernandez, indicates a strong risk-on sentiment in the market. However, Wall Street has warned time and again that when the market looks like this, it can easily pull back or suddenly drop.

Given the current market conditions, investors need to be careful with penny stocks and focus on long-term potential rather than quick gains.

With this background in mind, let’s take a look at the 11 best new penny stocks to buy right now.

A trader at a stock exchange, vigorously watching the stocks’ trends in the stock market.

Our Methodology

To compile our list of the 11 best new penny stocks to buy right now, we used the Finviz stock screener to look for companies that went public in the last 2 years. We sorted our results based on market capitalization and picked the top 50 stocks with a share price of under $5 as of July 25, 2025. Next, we focused on the top 11 stocks most favored by institutional investors. Data for the hedge fund sentiment surrounding each stock was taken from Insider Monkey’s Q1 2025 database of 1,000 elite hedge funds. Finally, the 11 best new penny stocks to buy right now were ranked in ascending order based on the number of hedge funds holding stakes in them as of Q1 2025.

Why do we care about what hedge funds do? 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).

11 Best New Penny Stocks to Buy Right Now

11. Richtech Robotics Inc. (NASDAQ:RR)

Share Price: $2.01

Number of Hedge Fund Holders: 7

Richtech Robotics Inc. (NASDAQ:RR) is one of the best new penny stocks to buy right now. On June 30, Richtech Robotics Inc. (NASDAQ:RR) announced that it has entered into a new sales deal with Beijing Tongchuang Technology Development Co., Ltd. through its Chinese joint venture, Boyu Artificial Intelligence Technology Co., Ltd.

The sales agreement, which has been valued at more than $4 million, includes the sale, service, and software licensing of three of Richtech Robotics Inc.’s (NASDAQ:RR) main products. These are ADAM, Scorpion, and Titan.

This deal helps Richtech Robotics Inc. (NASDAQ:RR) expand its footprint in China. The deal is also expected to potentially bring additional opportunities for the company across the Asian market.

Richtech Robotics Inc. (NASDAQ:RR) expects this agreement to increase its fourth quarter revenue and also drive recurring revenue in the future. This partnership supports the company’s plan to expand worldwide.

Richtech Robotics Inc. (NASDAQ:RR) is an automated solutions company that provides collaborative robotic solutions specializing in the service industry, such as the hospitality and healthcare sectors.

10. Alumis Inc. (NASDAQ:ALMS)

Share Price: $3.88

Number of Hedge Fund Holders: 9

Alumis Inc. (NASDAQ:ALMS) is one of the best new penny stocks to buy right now. On May 21, Alumis Inc. (NASDAQ:ALMS) reported that it has completed its merger with ACELYRIN, Inc.

As part of this transaction, each ACELYRIN shareholder will get 0.4814 shares of Alumis Inc. (NASDAQ:ALMS) common stock for every share of ACELYRIN they own. ACELYRIN has ceased trading.

Following this transaction, the company now has a much stronger balance sheet to support Alumis Inc. (NASDAQ:ALMS). This merger has created a leading clinical-stage immunology company with a diversified portfolio of product candidates.

Additionally, this merger allows Alumis Inc. (NASDAQ:ALMS) to move forward with its plans and advance its pipeline through planned key data readouts. The company now has a cash runway that extends into 2027.

Alumis Inc. (NASDAQ:ALMS) is a late-stage biopharma company focused on developing targeted therapies for a range of immune-mediated diseases.

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The $250 Trillion AI Hype is Real. A few years from now, you’ll probably wish you’d bought this stock.

Dr. Inan Dogan

Dr. Ian Dogan

Co-Founder and Research Director at Insider Monkey

When Jeff Bezos said that one breakthrough technology would shape Amazon’s destiny, even Wall Street’s biggest analysts were caught off guard.

Fast forward a year and Amazon’s new CEO Andy Jassy described generative AI as a “once-in-a-lifetime” technology that is already being used across Amazon to reinvent customer experiences.

At the 8th Future Investment Initiative conference, Elon Musk predicted that by 2040 there would be at least 10 billion humanoid robots, with each priced between $20,000 and $25,000.

Do the math. According to Musk, this technology could be worth $250 trillion by 2040.

Put another way, that’s roughly equal to:

  • 175 Teslas
  • 107 Amazons
  • 140 Metas
  • 84 Googles
  • 65 Microsofts
  • And 55 Nvidias

And here’s the wild part — this $250 trillion wave isn’t tied to one company, but to an entire ecosystem of AI innovators set to reshape the global economy.

It’s a leap so massive, it could reshape how businesses, governments, and consumers operate worldwide.

Even if that $250 trillion figure sounds ambitious, major firms like PwC and McKinsey still see AI unlocking multi-trillion-dollar potential.

How could anything be worth that much?

The answer lies in a breakthrough so powerful it’s redefining how humanity works, learns, and creates.

And this breakthrough has already set off a frenzy among hedge funds and Wall Street’s top investors.

What most investors don’t realize is that one under-owned company holds the key to this $250 trillion revolution.

In fact, Verge argues this company’s supercheap AI technology should concern rivals.

Before I reveal the details, let’s talk about how some of the richest people on the planet are positioning themselves.

  • Bill Gates sees artificial intelligence as the “biggest technological advance in my lifetime,” more transformative than the internet or personal computer, capable of improving healthcare, education, and addressing climate change.
  • Larry Ellison — through Oracle, is spending billions on Nvidia chips and partnering with Cohere to embed generative AI across Oracle’s cloud and apps.
  • Warren Buffett — not known for tech hype — says this breakthrough could have a ‘hugely beneficial social impact.

When billionaires from Silicon Valley to Wall Street line up behind the same idea — you know it’s worth paying attention to.

Even as we admire what Tesla, Nvidia, Alphabet, and Microsoft have built, we believe an even greater opportunity lies elsewhere…

But the real story isn’t Nvidia — it’s a much smaller company quietly improving the critical technology that makes this entire revolution possible.

And judging by what I’m hearing from both Silicon Valley insiders and Wall Street veterans…

This prediction might not be bold at all:

A few years from now, you’ll wish you’d owned this stock.

The best part? You can discover everything about this company and its groundbreaking technology right now.

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Trust me — you’ll want to read this report before putting another dollar into any tech stock.

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Wall Street calls this $3 stock a “Melting Ice Cube.” They said the same thing about BTI before it returned 90%.

Dr. Inan Dogan

Dr. Ian Dogan

Co-Founder and Research Director at Insider Monkey

My name is Inan Dogan. I’m the co-founder and Research Director of Insider Monkey. I have an important message for you today.

Since March 2017, my stock picks have returned 16.5% annually. Today, I’ve found an opportunity even bigger than my British American Tobacco call.

Two years ago, Wall Street wrote off British American Tobacco (BTI) as a “melting ice cube.” The stock had crashed 40% from its peak, and consensus said the business was dying.

We looked under the cover and realized they were wrong.

We alerted our subscribers, and BTI returned 90% in just 16 months.

Now if you had invested just $10,000 in BTI in June 2024, you’d be sitting on $19,000 in October 2025.

Today, we have identified a nearly identical pattern in a digital-first giant trading at $3.

While the market panics over a surface-level revenue decline, our PhD-led research shows management has actually surgically cut $100 million in waste to focus on high-margin growth.

This pattern is a hallmark of our 16.5% annual return track record. The current opportunity offers a 400% upside potential—dwarfing even our 90% BTI return.

Get the ticker for our new “Underdog” pick and the full BTI case study for just 99 cents.

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1. Head over to our website and subscribe to our Premium Readership Newsletter for just $0.99.

2. Enjoy a month of ad-free browsing, exclusive access to our in-depth report on the Trump tariff and nuclear energy company as well as the revolutionary AI-robotics company, and the upcoming issues of our Premium Readership Newsletter.

3. Sit back, relax, and know that you’re backed by our ironclad 30-day money-back guarantee.

Don’t miss out on this incredible opportunity! Subscribe now and take control of your AI investment future!

Regular price $9.99/mo. Cancel anytime.