In this article, we discuss 5 biotech penny stocks that Redditors love. If you want to read about some more biotech stocks popular on Reddit, go directly to 10 Biotech Penny Stocks Redditors Love.
5. ElectroCore, Inc. (NASDAQ:ECOR)
Number of Hedge Fund Holders: 4
ElectroCore, Inc. (NASDAQ:ECOR) is a medical device firm that focuses on the development of non-invasive vagus nerve stimulation therapies. On April 5, the company announced that it had entered into an agreement with Teijin Limited, a conglomerate based in Japan, to license exclusive rights to a non-invasive vagus nerve stimulation technology for commercialization in the country. The tech is used to treat a range of primary headache disorders. The firm will receive a non-refundable, upfront payment for the tech.
ElectroCore, Inc. (NASDAQ:ECOR) posted earnings for the first quarter of 2022 on May 5, reporting a revenue of close to $2 million, up over 58% compared to the revenue over the same period last year and beating estimates by $0.16 million.
At the end of the fourth quarter of 2021, 4 hedge funds in the database of Insider Monkey held stakes worth $852,000 in ElectroCore, Inc. (NASDAQ:ECOR), compared to 5 in the previous quarter worth $2.3 million.
4. Pluristem Therapeutics Inc. (NASDAQ:PSTI)
Number of Hedge Fund Holders: 4
Pluristem Therapeutics Inc. (NASDAQ:PSTI) is a biotech firm specializing in cell therapeutic products and related technologies. In early January, the stock jumped more than 30% after the company announced that it would be partnering with Tnuva Group, one of the largest food producers in Israel, for the development and launch of cultured cell-based products for the food industry. The latter is expected to invest over $7 million in the project with the option to invest double this amount within twelve months.
Some other projects that Pluristem Therapeutics Inc. (NASDAQ:PSTI) is working on include research related to the potential of PLX cell therapies in preventing and treating medical conditions caused during space missions.
Among the hedge funds being tracked by Insider Monkey, New York-based investment firm ARK Investment Management is a leading shareholder in Pluristem Therapeutics Inc. (NASDAQ:PSTI), with 1 million shares worth more than $1.5 million.
3. Brickell Biotech, Inc. (NASDAQ:BBI)
Number of Hedge Fund Holders: 5
Brickell Biotech, Inc. (NASDAQ:BBI) is a biotech firm working on drugs for the treatment of autoimmune, inflammatory, and other debilitating diseases. On May 3, the stock soared by close to 30% after the company announced that it had sold the rights of sofpironium bromide to Botanix Pharmaceuticals. The drug is used as a topical therapy for treating primary axillary hyperhidrosis, or excessive underarm sweating. The company will receive an upfront payment of around $9 million and milestone payments of up to $168 million from the sale.
On March 8, William Blair analyst Tim Lugo initiated coverage of Brickell Biotech, Inc. (NASDAQ:BBI) stock with an Outperform rating and a price target of $2, noting the current valuation offered a strong risk/reward profile for investors.
At the end of the fourth quarter of 2021, 5 hedge funds in the database of Insider Monkey held stakes worth $865,000 in Brickell Biotech, Inc. (NASDAQ:BBI), up from 3 the preceding quarter worth $1.2 million.
2. Asensus Surgical, Inc. (NYSE:ASXC)
Number of Hedge Fund Holders: 6
Asensus Surgical, Inc. (NYSE:ASXC) is a North Carolina-based medical device company. In 2022, the firm expects to achieve the full scale commercialization of articulating instruments globally, file for regulatory clearance of Senhance – a treatment for pediatric indication, as well as make progress on expanded machine vision capabilities for the Intelligent Surgical Unit. These pipeline projects will serve as growth catalysts for the stock that is trading at a much attractive valuation following a broad lull around the growth sector.
Asensus Surgical, Inc. (NYSE:ASXC) recently posted earnings for the first quarter of 2022, beating market estimates on earnings per share by $0.01 and reporting a revenue of more than $1 million during the period.
At the end of the fourth quarter of 2021, 6 hedge funds in the database of Insider Monkey held stakes worth $4.5 million in Asensus Surgical, Inc. (NYSE:ASXC), compared to 3 in the preceding quarter worth $1.1 million.
1. Seelos Therapeutics, Inc. (NASDAQ:SEEL)
Number of Hedge Fund Holders: 10
Seelos Therapeutics, Inc. (NASDAQ:SEEL) is a biopharma firm developing drugs for the treatment of central nervous system, respiratory, and other disorders. Late last year, the firm announced that it had obtained an exclusive worldwide license agreement for Wafermine, a drug developed by iX Biopharma. The company agreed to pay an upfront payment of $9 million for the purchase. Seelos will use the rights to test the drug as a treatment for indications such as chronic neuropathic pain.
On March 14, B Riley analyst Mayank Mamtani maintained a Buy rating on Seelos Therapeutics, Inc. (NASDAQ:SEEL) but lowered the price target to $4 from $6, noting the “higher cost of capital to support the company’s relatively higher operating expenditure ramp”.
Among the hedge funds being tracked by Insider Monkey, California-based investment firm Woodline Partners is a leading shareholder in Seelos Therapeutics, Inc. (NASDAQ:SEEL), with 4 million shares worth more than $6.5 million.
You can also take a peek at 10 Best Healthcare Dividend Stocks to Buy Now and 10 Dividend Stocks with Over 20 Years of Dividend Increases.
