3 US Penny Stocks With Market Caps Under $500M To Consider

Major U.S. stock indices have recently slipped from record highs as investors brace for a wave of earnings reports, highlighting the market's ongoing volatility and uncertainty. Despite these fluctuations, penny stocks continue to present intriguing opportunities for investors looking to explore potential growth in smaller or newer companies. While the term "penny stock" might seem outdated, these investments can still offer significant upside when backed by strong financials and sound fundamentals.

Top 10 Penny Stocks In The United States

Name	Share Price	Market Cap	Financial Health Rating
BAB (OTCPK:BABB)	$0.7987	$5.8M	★★★★★★
LexinFintech Holdings (NasdaqGS:LX)	$2.95	$485.02M	★★★★★★
RLX Technology (NYSE:RLX)	$1.65	$2.1B	★★★★★★
ARC Document Solutions (NYSE:ARC)	$3.42	$147.91M	★★★★★★
Permianville Royalty Trust (NYSE:PVL)	$1.595	$52.63M	★★★★★★
Golden Growers Cooperative (OTCPK:GGRO.U)	$4.50	$69.71M	★★★★★★
Imperial Petroleum (NasdaqCM:IMPP)	$3.76	$114.05M	★★★★★★
MIND C.T.I (NasdaqGM:MNDO)	$1.88	$39.56M	★★★★★★
Zynerba Pharmaceuticals (NasdaqCM:ZYNE)	$1.30	$65.6M	★★★★★☆
CBAK Energy Technology (NasdaqCM:CBAT)	$1.07	$96.23M	★★★★★☆

Click here to see the full list of 749 stocks from our US Penny Stocks screener.

Let's dive into some prime choices out of the screener.

Talkspace (NasdaqCM:TALK)

Simply Wall St Financial Health Rating: ★★★★★☆

Overview: Talkspace, Inc. is a virtual behavioral healthcare company operating in the United States with a market cap of approximately $465.95 million.

Operations: The company generates revenue from its Pharmacy Services segment, which amounted to $172.54 million.

Market Cap: $465.95M

Talkspace, Inc., a virtual behavioral healthcare company, has been actively expanding its reach through strategic partnerships with organizations like Amazon Health Services and the Professional Tennis Players Association. These collaborations aim to enhance accessibility and affordability of mental health services across the U.S. Despite being unprofitable, Talkspace has shown revenue growth with US$91.47 million reported for the first half of 2024, up from US$68.98 million in 2023. The company is debt-free and holds sufficient cash reserves to cover liabilities, positioning it well for future growth opportunities in the mental health sector.

• Dive into the specifics of Talkspace here with our thorough balance sheet health report.
• Understand Talkspace's earnings outlook by examining our growth report.

Kodiak Sciences (NasdaqGM:KOD)

Simply Wall St Financial Health Rating: ★★★★★★

Overview: Kodiak Sciences Inc. is a clinical-stage biopharmaceutical company focused on researching, developing, and commercializing therapeutics for retinal diseases, with a market cap of approximately $1.90 billion.

Operations: Kodiak Sciences Inc. does not report any revenue segments as it is currently in the clinical-stage of developing therapeutics for retinal diseases.

Market Cap: $190M

Kodiak Sciences, a clinical-stage biopharmaceutical company, remains pre-revenue with less than US$1 million in revenue. Despite its unprofitability and volatile share price, it is debt-free and has sufficient cash runway for over a year. Recent leadership changes include the appointment of Dolly Chang as Chief Scientific Officer to bolster its ophthalmology pipeline. The company's net loss decreased to US$45.12 million for Q2 2024 from US$80.19 million the previous year, indicating some financial improvement despite ongoing challenges in achieving profitability or significant revenue growth in the near term.

• Jump into the full analysis health report here for a deeper understanding of Kodiak Sciences.
• Gain insights into Kodiak Sciences' future direction by reviewing our growth report.

Acumen Pharmaceuticals (NasdaqGS:ABOS)

Simply Wall St Financial Health Rating: ★★★★★☆

Overview: Acumen Pharmaceuticals, Inc. is a clinical-stage biopharmaceutical company focused on developing targeted therapies for Alzheimer's disease, with a market cap of approximately $171.83 million.

Operations: Acumen Pharmaceuticals, Inc. currently does not report any revenue segments.

Market Cap: $171.83M

Acumen Pharmaceuticals, a pre-revenue biopharmaceutical firm, is focused on developing therapies for Alzheimer's disease. Despite its unprofitability and shareholder dilution over the past year, it maintains a cash runway exceeding three years and has more cash than debt. The company's recent focus has been on the development of sabirnetug, an innovative treatment targeting toxic amyloid-beta oligomers in early Alzheimer's patients. Recent clinical trials have shown promising results in terms of safety and biomarker improvements. However, its volatile share price reflects market uncertainties common among clinical-stage biotech firms without significant revenue streams.

• Click to explore a detailed breakdown of our findings in Acumen Pharmaceuticals' financial health report.
• Assess Acumen Pharmaceuticals' future earnings estimates with our detailed growth reports.

Turning Ideas Into Actions

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Seeking Other Investments?

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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