In this article, we will look at the 12 Best Strong Buy Penny Stocks to Invest In Now.
On July 10, Jeremy Siegel, WisdomTree and Wharton School finance professor, appeared on CNBC’s ‘Closing Bell’ to talk about where the markets go from here. The previous Friday, he stated that he had never seen such volatility between sectors, growth stocks, value stocks, sharp pullbacks, and sharp reversals before. We saw some of those again, but he is feeling more favorable this time.
He was of the view that the earnings that are coming in, and this does not apply to the hyperscalers or tech alone, are showing good results, and the number of warnings, for instance, is very much lower, and everything looks good. It is also important to remember that we are reporting on the second quarter, where oil hit a 110 and 120. He agrees that oil has behaved surprisingly well in the face of no definitive agreement yet between Iran and the US.
READ ALSO: 10 Best Oil and Gas Stocks to Buy for the Next Decade AND Stocks On The Rise: 10 Best Stocks to Invest In.
Siegel further stated that he is still wondrous of the fact that, despite the conflict, with Hormuz basically still closed, oil is in the low 70s. He further believes that the market could see another leg up in the coming weeks.
With these broader market trends in view, let’s look at the best strong buy penny stocks to invest in now.
Our Methodology
We used the Finviz stock screener to identify the best Strong Buy stocks under $5. We then selected the top 12 stocks most popular among hedge funds as of Q1 2026, using the hedge fund sentiment data from Insider Monkey’s database. The stocks are arranged in ascending order of hedge fund sentiment.
Note: All data was recorded on July 11.
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. Insider Monkey’s quarterly newsletter strategy selects 14 small-cap and large-cap stocks every quarter and has returned 599.2% since May 2014, beating its benchmark by 372 percentage points (see more details here).
12 Best Strong Buy Penny Stocks to Invest In Now.
12. Keel Infrastructure Corp. (NASDAQ:KEEL)
Number of Hedge Fund Holders: N/A
Keel Infrastructure Corp. (NASDAQ:KEEL) is one of the best strong buy penny stocks to invest in now. Citizens initiated coverage of Keel Infrastructure Corp. (NASDAQ:KEEL) with an Outperform rating on June 24 and set a price target of $10. The firm told investors in a research note that Keel Infrastructure Corp. (NASDAQ:KEEL) is following the lead of others in repurposing existing power capacity once used for bitcoin mining to provide high-performance compute capacity to hyperscale customers. Citizens believes that the company will benefit from the same trends that have caused the majority of its peers to significantly outperform the S&P 500 this past year, further contending that economic terms for suppliers of high performance compute supplies “have greatly improved, and demand for powered capacity continues to increase”.
In a separate development, Keel Infrastructure Corp. (NASDAQ:KEEL) announced on June 29 its addition as a member of the broad-market Russell 3000® Index, effective as of the U.S. market open that day, as part of the first 2026 Russell indexes reconstitution.
Keel Infrastructure Corp. (NASDAQ:KEEL) is involved in the building of AI-focused data centers and energy assets. The company’s focus is on infrastructure and energy required to support high-performance computing and AI workloads.
11. Incannex Healthcare Inc. (NASDAQ:IXHL)
Number of Hedge Fund Holders: 1
Incannex Healthcare Inc. (NASDAQ:IXHL) is one of the best strong buy penny stocks to invest in now. Incannex Healthcare Inc. (NASDAQ:IXHL) announced on June 25 the granting of a key patent by the United States Patent and Trademark Office (USPTO) titled “Compositions and Methods of Treatment for Obstructive Sleep Apnea.” Management stated that the granted patent includes claims directed to the proprietary IHL-42X composition and its associated therapeutic methods to treat Obstructive Sleep Apnea (OSA), and added that the patent is anticipated to have a baseline expiry date of 9 July 2040. Incannex Healthcare Inc. (NASDAQ:IXHL) is in the process of exploring its eligibility for patent term extension following potential U.S. Food and Drug Administration (FDA) approval, with a goal of further bolstering the long-term exclusivity of the asset.
The company also stated that the grant of this patent marks a notable milestone in the advancement of IHL-42X and materially bolsters its intellectual property portfolio, supporting its lead clinical program. Incannex Healthcare Inc. (NASDAQ:IXHL) added that it is continuing to actively review data generated across the IHL-42X development program.
Incannex Healthcare Inc. (NASDAQ:IXHL) is a biotech company involved in the development of cannabinoid and psychedelic compound medicines. The company’s focus is on the research and development of medicinal cannabis pharmaceutical products and psychedelic medicine therapies to treat a range of indications.
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