Top 24 AI Penny Stocks to Grow Your Portfolio in 2021
AI penny stocks are becoming more popular as the AI market gains momentum.
Penny stocks can be rewarding by themselves. But once you add on top of that a fast-evolving, new market, it turns into a different game.
But of course, with great reward, comes great risk. If you don’t already know, penny stocks are volatile. This can be good or bad.
It could be good because the market can rise quickly and dramatically.
But that’s also what can make it bad. If it can rise quickly, it can drop just as much in the same amount of time or less.
Penny stocks are often younger companies with a small market cap. Usually only a little experience as a company, too. There are many ways a penny stock can lose momentum.
But if you know what to look for in a small company, you can find some real winners.
AI captures the minds of all. It’s helpful, applicable, and cutting-edge.
Artificial intelligence (AI) is a futuristic concept. And although it’s a new one, it’s in the thick of becoming normalized. The truth is that AI is in many of the things we use every day and is rapidly expanding to new markets across the world.
This makes prime investing opportunities for investors like us. Finding a handful of rock-solid companies and buying stock could give you incredible gains in a few years.
Below, I found some AI penny stocks for you to take a deeper look at. Many of them have a small market cap and that can mean even more potential to grow.
Top AI Penny Stocks
- Cheetah Mobile (NYSE: CMCM)
- Artificial Intelligence Technology Solutions (OTC: AITX)
- Blackberry (NYSE: BB)
- Remark Holdings (Nasdaq: MARK)
- Duos Technologies Group (Nasdaq: DUOT)
- BM Technologies (NYSE: BMTX)
- Creative Realties (Nasdaq: CREX)
- Didi Global (NYSE: DIDI)
- Asure Software Inc. (Nasdaq: ASUR)
- GTY Technology Holdings (Nasdaq: GTYH)
- Ideanomics (Nasdaq: IDEX)
- Intellicheck (Nasdaq: IDN)
- Immersion Corporation (Nasdaq: IMMR)
- IronSource Ltd (NYSE: IS)
- Aurora Mobile Ltd (Nasdaq: JG)
- Kubient (Nasdaq: KBNT)
- LAIX (NYSE: LAIX)
- Oblong (Nasdaq: OBLG)
- OneConnect Financial Technology (NYSE: OCFT)
- The OLB Group (Nasdaq: OLB)
- OppFi (OTC: OPFI)
- Innodata (Nasdaq: INOD)
- Amesite (Nasdaq: AMST)
- Powerbridge Tehnologies (Nasdaq: PBTS)
What to Look for in an Artificial Intelligence Penny Stock
Just like any other stock, you want to make sure the company ticks a few boxes before you invest your money.
The first thing you want to look for is whether the company is in a strong, growing market. You also want to know what the company is about, its mission, what market it’s in, and its competitive advantage. You can usually find all these pieces on the company’s website.
Next, find out what the history of the stock chart looks like. Type in the company’s name, followed by the word “stock.” If it’s a publicly traded and listed company, you’ll get the stock chart on the top of the search results.
When I analyze a stock chart, I take note of the current price. Then I find out what it has been doing in the past week, then month, then year, then five years and finally “max.”
I could be looking for several different patterns for any given stock. When analyzing penny stocks though, I’m looking for these things in chronological order:
- A high relative price in the company’s stock history
- Followed by a significant drop or correction
- Followed by a significant period where the price drop slowed and hovered
- Followed by some little spikes that seem to be slowly getting larger and larger, kind of like that bear is picking its head up and morphing into a bull. (This step is not vital, but it is helpful when I am predicting whether a stock price will rise again soon.)
You also want to find out if the company is profitable. You can do this by checking earnings reports on the company website.
These are just a few things to look out for before investing. And it’s always important to do your own due diligence. Over time, you’ll gain a deeper understanding of investing and can make better decisions. You can also sign up for Investment U below. It’s a free e-letter that shares investment tips and tricks.
How to Find More AI Penny Stocks
Coming to InvestmentU.com or a similar site for recommendations is a great start. It can give you a starting point and a handful of quality stocks to do more research on. Plus, you get confidence in buying them because you learn from someone who has experience.
I also recommend learning how to use Yahoo Finance’s stock screener. It’s easy to use if you know what you’re looking for. It gets you quick, customized results.
Where to Buy AI Penny Stocks
Artificial Intelligence Penny Stocks are everywhere. Most stock screeners don’t yet have an AI filter. But you can still find them.
When using a stock screener, make the price below $1-$10 (or whatever price you’re looking for). Set the industry to Technology. Have the screener produce the results.
If there are more than a handful of stocks that come up, I will add another filter. I like the “1 Yr. % Change in Leveraged Free Cash Flow.” This helps me narrow down results to companies that are increasing their profits. Not only that, but they’re also putting those profits back into the company for growth.
I also really like to use the “Return on Assets %” tool.
After I get a handful of results, I will research each individual stock to see if the company uses AI. If they do, then I’ll write it down on a list and continue with my due diligence.
Opportunities Beyond Artificial intelligence Penny Stocks
AI penny stocks are investments worth at least looking into. With a fast-growing market, expansion is inevitable and happening under our noses.
Penny stocks in this industry could blow up. This is because of AI’s massive potential and practical applications. Although, there are many trends worth investing in. Here are some more industries and stocks to consider…
As mentioned, you can also sign up for Investment U below. It’s a free e-letter that’s packed with useful research and insight. You’ll find tips and tricks from a wide range of investment experts.
About Vanessa Adelman
Vanessa Adelman graduated with an Interdisciplinary degree. She majored in Entrepreneurship, Painting, Music and Film. Shortly after, she received a copywriting mentorship with Mark Morgan Ford. Then, she earned her AWAI Verification. Now, Vanessa freelances in the financial direct response industry. She’s been investing since 2016. In her free time, she enjoys books about money and wealth. She loves being with her boyfriend, hunting, fishing and going on outdoor adventures.