2 “Strong purchases” pennies that could make big profits
Well, it’s official. Joe Biden is already president and will be supported – at least briefly – by Democratic majorities in both houses of Congress. Wall Street is taking action on the new administration and sees, among its first moves, a boost in fiscal stimulus that is likely to cut consumer spending, affect corporate profits and provide general economic support in the first half of 2021
. The situation for Goldman Sachs is investment. strategist David Costin, who enjoys short-term fiscal stimulus prospects. In his light, Costin sets Goldman’s outlook for this year at 6.4% GDP growth; it sees continued high growth next year and sets the forecast for 2022 at 4%. These figures are higher than the previously published 5.9% and 3.7%. To that end, Costin sees the S&P 500 reach 4,300 by the end of the year, a gain of 12% from current levels. “Elections have consequences. “Democratic control of Washington, D.C., after Jan. 20 will bring higher fiscal spending, faster GDP growth, more inflation and higher interest rates than previously thought,” Costin said. As markets look up, investors look for stocks that are ready to make a profit. Penny shares, stocks under $ 5 a share, are a natural place to look for potential winners. Their low price means that even a small gradual profit will turn into large percentages. However, before investing directly in a penny, Wall Street professionals advise you to look at the bigger picture and consider other factors that are not just the price. For some names that fall into this category, you really get what you pay for by offering little in the way of long-term growth prospects thanks to weak foundations, recent winds, or even large exclusive shares. Considering the risk, we used the TipRanks database to find compelling pennies with valuable labels. The platform pointed us to two tickers with sporting stock prices below $ 5 and consensus ratings “Strong Buy” from the analyst community. Not to mention the significant potential for increase is on the table. AzurRx BioPharma (AZRX) We will start with a company specializing in gastrointestinal diseases, AzurRx. This company is focused on creating non-systemic, targeted recombinant therapies for GI diseases. AzurRx has a set of three drug candidates at several levels in the development process. The key candidate for pipelines, MS1819, is being studied as a treatment for exocrine pancreatic insufficiency for patients suffering from cystic fibrosis. MS1819 is a recombinant lipase derived from a yeast strain. The drug is designed to target fat molecules in the digestive tract, allowing patients to absorb broken down fats with nutritional value. The drug is currently in phase 2, to be completed in the first half of this year. As of January 21, the first two patients in phase 2b of the OPTION 2 study were dosed with the treatment and the Data Monitoring Committee (DMC) “continues to support the program”. In another important development, AzurRx announced earlier this month that it is partnering with First Wave Bio to study the oral and rectal formulation of niclosamide for the treatment of colitis-related immune control points (ICI-AC) and COVID-19 gastrointestinal infections. The expected market for niclosamide to treat COVID-related problems exceeds $ 450 million. Based on a number of potentially significant clinical catalysts, as well as a share price of $ 0.98, several members of the street believe that now is the right time to pull the trigger. Jonathan Aschoff, of Roth Capital, is the bully of AzurRx, basing his long-term predictions on the likely success of MS1819. “We base our estimate for AZRX on projected future sales in the United States by MS1819 for the treatment of EPI due to CF and CP, using an initial annual price of approximately $ 18,000, a price that corresponds to the currently available PERT. “We plan to commercialize MS1819 in the United States in 2023, generating $ 272 million in sales in 2030. The former US commercial success for MS1819 or the commercial success of the beta-lactamase early-stage program would lead to our assessment,” Aschoff said. . The analyst is also looking forward to the initial clinical results of niclosamide in COVID-19 GI infection and in ICI-AC potential, noting: “Niclosamide was approved by the FDA in 1982 for the treatment of intestinal tapeworm infections and is on the list of major health drugs. of the World Health Organization. Given the millions of patients who have taken the drug, the safety profile has been largely established, thus reducing the risk of developing it. “Given all of the above, Aschoff rates AZRX as a purchase, and its $ 7 price point suggests a high 608% up for next year. (To follow Aschoff’s record, click here) Overall, analysts’ consensus on AZRX shares are a strong buy, with 4 recent reviews, including 3 purchases and a one-time hold, and the target of an average price of $ 4 increases the growth potential to 304%. (See analysis of AZRX shares on TipRanks) ProQR (PRQR) ProQR is a biotechnology company focused on the treatment of congenital progressive blindness, in particular, the company is working on drugs to reverse a group of genetic vision disorders called hereditary retinal diseases, which are currently not effectively treated. with a research tube of five drug candidates, at different stages of the research process, the two most distant being QR-110 (Sepofarsen) and QR-421. These two, QR-110 is currently in phase 2/3 research. This candidate is an RNA therapy designed to correct the m most common gene mutation CEP290, causing congenital amaurosis of Leber 10 (LCA10). It is a severe genetic disease of the retina that affects up to 3 in 100,000 children. QR-421 is another RNA therapy that focuses on mutations in exon 13 in the USH2A gene. These mutations cause blindness due to retinitis pigmentosa and / or Usher syndrome. QR-421 is in phase 1/2 studies to first restore lost vision or prevent loss. Covering JMP stocks, analyst Jonathan Wolleben cites Sepofarsen as a key component of his bullish thesis. “We continue to feel good about the chance of success of sepofarsen in Illuminate for a number of reasons: 1) Phase 1/2 confirms the target registration dose and dosing interval (6 months); 2) patients had clinically significant and lasting improvements in BCVA after 12 months – the primary primary endpoint; 3) supporting secondary efficiency measures (FST, mobility); 4) similar responses observed in the second treated eyes; 5) long-term safety confirms a positive risk / benefit; and 6) The illuminated patient population was enriched based on Phase 1/2 results (baseline>> = arm movement). We are assigning sepofarsen a 60% POS and the LCA10 as a $ 300 million PRQR peak penetration option, “said Wolleben. year up, along with a superiority rating (ie buy). (To watch the Wolleben record, click here) Overall, PRQR receives a unanimous rating for a strong buy from the analyst’s consensus based on 3 positive stock reviews. are currently trading at $ 4.13 and their average price of $ 20.67 is slightly higher than that of Wolleben, which suggests a growth of 400% for the next 12 months.Best Stocks to Buy, a recently launched instrument that combines all insights into TipRanks’ equity Disclaimer: The views expressed in this article are those of the analysts provided and are intended for informational purposes only. it impo rtant to do your own analysis before making any investment.