The Only Three Penny Stocks I would Buy

       For anyone that knows me and my investing style- I like long-term investing... Stocks that have a proven track record with a massive fan base and healthy financial statement. But that doesn't mean that from time to time my eyes don't wander to the elusive value penny stock.

       For the most part- penny stocks are penny stocks for a reason... They are usually unprofitable, have poor management and cant delivery quality, competing products. But that's not the case with all penny stocks, some just haven't reached their full potential yet. (see Monster beverage, Starbucks and Xerox.)

       So for that simple reason, I always keep my eyes open for high potential penny stocks.

1. Zynga (ZNGA)
Currently trading at $4.18, Zynga creates and develops social games for Android, IOS, and Facebook. Owning some of the most popular social games ever- Such as Farmville, Mafia Wars and Words with Friends it's no wonder why they have nearly a billion dollars in revenue in 2017. The revenue, by the way, has risen every year for the last four years. Which has lead to the company having a positive net income for the first time ever. What's even more impressive is that they have been able to raise revenue and income without adding any debt. Their balance sheet is showing $0 debt for both long and short term.

But what I like most about this stock is simple, the potential. Recently Zynga and Disney have partnered up to create the star wars mobile game. If they nail this game and really get gamers involved... It could be a game changer (pun intended). For those that don't think a single game could generate enough to make a huge difference, look at Clash of Clans, which generates $5 million a day in revenue.

2. Patriot one technologies 

The Canadian technology company specializes in anti-terrorism equipment. Currently trading at $1.80 per share- which is a 45% increase from just three months ago. Patriot one technology really has cutting edge technology. Still in their early stages of research and development, they have developed a scanner that can detect when someone has a gun, knife or bomb on them. But what's most impressive about this technology is that is scans people automatically, without their knowledge.

In August 2018 they reached in principle with a major international defense contractor pursuant. Subject to government approval, this contract would give funds to further develop the award-winning PATSCAN CMR. 

Some resorts in Las Vegas have already started using these as they are more efficient than older, obsolete technology.

3. 22nd Century group

Countries all around the globe are starting to pursue nicotine reduction policies- which is great news for 22nd century who is able to grow tobacco with 97% less nicotine. Trading at $2.82- The founder, John Pandolfino asked the question " If you can buy beer without alcohol and coffee without caffeine, why can't you buy cigarettes without nicotine?". Which is what he set out to do.

The most popular product being the X-22, which is used as an aid to quitting conventional cigarettes. They give the satisfaction of the smoking while weaning the smoker off of the nicotine. Some of their other products such as the spectrum have been used in research by NIDA (National Institute on Drug Abuse).

They have grown revenue by 300% since 2014, they have over 7B in intangible assets and have paid off all debt.

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