An analysis of today’s top gainers’ list showed Sharps Compliance Corp. (NASDAQ: SMED), Canoo (NASDAQ: GOEV) and Histogen Inc. (NASDAQ: HSTO). In this article, we’re looking for 3 stocks under $10 that are on a major run & could explode even further in the coming days as their catalysts play out. Get alerts on these 3 top gainers and many others right here.
Stocks Under $10 #1: SMED
News of its acquisition by an affiliate of Aurora Capital Partners – a leading middle-market private equity firm, resulted in a 66% overnight increase in Sharps Compliance Corp. (NASDAQ: SMED). As a leading full-service national provider of comprehensive waste management solutions, SMED’s acquisition is an amazing sign of progress and continues to stir talks among many investors.
According to the agreement, Aurora will commence an all-cash tender offer to acquire all of the issued and OS of Sharps for a PPS of $8.75 – a premium of almost 207% over SMED’s closing share price. This transaction has been unanimously approved by the company’s BOD and shareholders are already bullish given the significant premium and the strong partner to support future growth.
$SMED to be acquired by Aurora Capital affiliate for $8.75 per share https://t.co/HG2EZu7RL8
— notreload (@thudderwicks) July 12, 2022
In connection with the entry into the merger agreement, certain SMED directors and executive officers have entered into tender & support agreements with Aurora to tender in the offer all their shares. Aurora’s investors include leading public and corporate pension funds, endowments and foundations active in private equity investing.
Following its massive 66% overnight increase, SMED is now trading at its newly formed resistance of $8.41. The stock shows strong steady support at 2.86. Accumulation saw a steep sudden decline despite being steady for the past couple of weeks. Meanwhile, the MACD is bullish following a series of bearish crossovers and the RSI is holding at 90 – indicating the stock is extremely overbought.
The significant drop in accumulation could be the result of investors cashing out for-profits after the run-up. Despite that, the MACD and RSI continue to highlight investors’ bullish sentiment. However, given that the stock is now trading at its resistance, investors could wait for the stock to cool off before securing a position. Find the best entry points on stocks under $10 & so much more…
Stocks Under $10 #2: GOEV
GREAT NEWS for GOEV today!! Canoo (NASDAQ: GOEV) – a high-tech advanced mobility company – is seeing new highs since it signed a definitive agreement with Walmart (NYSE: WMT) earlier today. According to the agreement, Walmart intends to purchase 4,500 all-electric delivery vehicles, with the option to purchase up to 10,000 units.
Commenting on this lucrative partnership, Tony Aquila – GOEV’s Chairman and CEO – is bullish on the company’s future saying:
We are proud to have been selected by Walmart, one of the most sophisticated buyers in the world, to provide our high-tech, all-electric, American made Lifestyle Delivery Vehicle to add to their impressive logistics capabilities.”
The American-made commercial fully electric Lifestyle Delivery Vehicle (LDV) is well optimized for sustainable last mile delivery use cases. As with all the company’s vehicles, the LDV utilizes true steer by wire technology, reducing moving parts and cabin intrusion, resulting in more usable interior space and a panoramic window to improve road visibility.
Clealry, Aquila believes this partnership could benefit Walmart greatly. He added that:
Walmart’s massive store footprint provides a strategic advantage in today’s growing ‘Need it now’ mindset and an unmatched opportunity for growing EV demand, especially at today’s gas prices.”
Given that the LDV is engineered for high frequency stop-and-go deliveries as well as speedy vehicle to door drop-off, Walmart is well-positioned to use the vehicles to deliver online orders in a sustainable way – ultimately serving its goal to achieve zero-emissions by 2040. While the LDV is expected to begin hitting the road in 2023, both companies intend to launch advanced deliveries in the coming weeks in order refine and finalize vehicle configuration.
Currently trading at $3.62, GOEV has a newly formed resistance at 4.38 and support at 2.36 and 2.08. Accumulation has dropped significantly and continues to trend downwards, while the MACD is bullish but seems poised for a bearish crossover. The RSI is at 68 indicating the stock is overbought and is trending downwards.
Stocks Under $10 #3: HSTO
On July 12th, Histogen Inc. (NASDAQ: HSTO) – the clinical-stage therapeutics company known for developing restorative therapeutics focused on treatments for infectious and inflammatory diseases – announced it has entered into a securities purchase agreement with a single healthcare-focused institutional investor to issue 1,774,309 Series A common shares at a purchase PPS of $2.818.
Priced at the market under Nasdaq rules, HSTO expects this private placement to result in gross proceeds of approximately $5 million – before deducting placement agent fees and other offering expenses payable by the company. With this in mind, the company intends to utilize net proceeds from this private placement for working capital and general corporate purposes.
H.C. Wainwright & Co. is acting as the exclusive placement agent for the private placement and the closing of the private placement is expected to occur on or about July 15th. Upon closing, investors expect the company to show major signs of growth and development that could be highly reflected in HSTO’s stock price.
Let’s look at where the stock’s at now…
Now trading at $3.75, HSTO has a new resistance at 4.14 and support at 3.24 and 2.27. Accumulation has dropped significantly after being steady for the past few weeks. The MACD is on a bullish crossover but seems poised for another crossover soon. The RSI is 66 and is trending upwards – indicating the stock is currently overbought.
BOTTOM LINE
With these massive developments and major announcements, it is no surprise SMED, GOEV and HSTO are among the best stocks under $10 today!! However, given the catalysts discussed in this article, many are bullish these 3 penny stocks under $10 won’t stay that way for long. Get free alerts straight to your inbox & be the first to know of ALL the BEST penny stocks to trade (before they explode).
As always, good luck to all (except the shorts)!
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Disclosure: We have no business relationship with any company whose stock is mentioned in this video. Viral Stocks is not an investment advisor and this video does not provide investment advice. Always do your own research, make your own investment decisions, or consult with your nearest financial advisor. This video is not a solicitation or recommendation to buy, sell, or hold securities. This video is our opinion and is meant for informational and educational purposes only and does not provide investment advice. Past performance is not indicative of future performance.
