3 Energy Penny Stocks To Watch Right Now
In the past few months, we have seen energy penny stocks make a big comeback. This makes sense given how affected the industry was by the pandemic. Early during the pandemic, energy usage including fossil fuels and renewables shot down to very low levels. With people commuting and traveling much less, the prices of many leading energy stocks dropped down substantially as a result.
Moving further into 2021 we see vaccine distribution is rolling out. This could trigger a bit of a rebirth for things like travel as well as manufacturing. Now, we are nowhere near the pre-pandemic levels when it comes to energy consumption. But, many penny stocks have started rallying once again. This could be a sign that the market believes the pandemic could be getting more under control.Â
Top Penny Stocks For December’s Energy Stock Watch List
Why Are These 4 Penny Stocks Catching Attention?
This year has been one to remember for penny stocks. While 2020 got off to a rough start, in the past six months, many small-cap stocks have seen dramatic gains. Specifically, energy penny stocks are seeing heightened attention in recent weeks. There are a few reasons why this is the case. For one, COVID has resulted in a lower energy demand than in many years prior.
With everyone stuck at home around the world, less fuel and energy is being consumed. But, with a vaccine being distributed as we speak, some investors believe that energy consumption could move back toward pre-COVID levels. This is, of course, relatively speculative but if COVID cases decline, more people will undoubtedly be out and about.