What Are the Top Low-Priced Stocks to Watch in 2021?

What Are the Top Low-Priced Stocks to Watch in 2021?

Investing in low-priced stocks can be a great way to diversify your portfolio and potentially earn a higher return on investment. However, it is important to do your research and identify stocks that have strong fundamentals andgrowth potential. In this article, we will explore some of the top low-priced stocks to watch in 2021.

1. Plug Power Inc. (PLUG)

Plug Power is a leading provider of hydrogen fuel cell systems for electric vehicles and other applications. The company has seen strong growth in recent years, and its stock price has risen by over 700% in the past year. With a market capitalization of around $17 billion, Plug Power is well-positioned to continue its growth in the coming years.

2. GameStop Corp. (GME)

GameStop made headlines earlier this year when a group of Reddit users drove up the stock price in a short squeeze. While the stock has since come down from its peak, it remains a popular choice among retail investors. With a market capitalization of around $13 billion, GameStop could continue to see volatility in the coming months.

3. AMC Entertainment Holdings Inc. (AMC)

AMC Entertainment Holdings is another stock that has seen a surge in interest from retail investors. The company operates movie theaters in the United States, and its stock price has risen by over 2,000% in the past year. While the pandemic has had a significant impact on the movie theater industry, AMC could see a rebound in the coming months as more people get vaccinated.

4. Nokia Corporation (NOK)

Nokia is a multinational telecommunications company that has been around for over 150 years. While the company has struggled in recent years, it has made significant investments in 5G technology and could see a turnaround in the coming years. With a market capitalization of around $30 billion, Nokia is a low-priced stock with significant growth potential.

5. Zomedica Corp. (ZOM)

Zomedica is a veterinary diagnostic company that has seen significant growth in the past year. The company's stock price has risen by over 1,000%, and it recently announced that it has received authorization for its first product. With a market capitalization of around $1 billion, Zomedica is a high-risk, high-reward stock that could be worth watching in 2021.

Investment Strategies for Low-Priced Stocks

Investing in low-priced stocks can be risky, as these stocks are often more volatile than their higher-priced counterparts. However, there are some strategies that investors can use to mitigate this risk:

1. Diversify your portfolio: By investing in a variety of stocks, you can spread your risk and potentially earn higher returns.

2. Do your research: Before investing in a low-priced stock, it is important to do your due diligence and research the company's financials, management team, and growth potential.

3. Consider dollar-cost averaging: Instead of investing a lump sum of money, consider investing a fixed amount on a regular basis. This can help you avoid buying at the wrong time and potentially earn a higher return on investment.

Conclusion

Low-priced stocks can be an attractive option for investors looking to diversify their portfolio and potentially earn a higher return on investment. However, it is important to do your research and identify stocks that have strong fundamentals and growth potential. By following these investment strategies, you can mitigate risk and potentially earn a higher return on investment in 2021.