Best Penny Stocks Under $2 in 2022

Penny stocks are a terrific way to get started in the stock market if you don't have much money to invest. Right in this guide, we will talk about the list of best stocks under $2 in 2022 to pick right now.

The term "penny stock" refers to any stock less than $5. Penny stocks, on the whole, are prone to extreme price swings.

Because of the market's volatility, this isn't always a negative thing. Profiting from penny stocks requires following the market's waves and seeking out stocks with regular price jumps.

However, several high-quality firms in various industries are now selling for less than $2 a share.

To help you get fully started, here are some ideas.

Is it a good idea to invest in only $2 worth of stocks?

If you're a novice trader and don't want to risk a lot of money, buying stocks for less than $2 is excellent. Even if these stocks aren't expensive, there's a real chance that they might double or treble in value in a short period.

As many of the world's most fascinating firms were initially valued at less than $2 per share, penny stock investing may pay off if you're strategic.

There are, hence, a few significant points to keep in mind while acquiring these low-cost stocks. The market for these penny stocks is considered to be quite volatile.

This is an excellent opportunity for the knowledgeable investor, but it's unlikely that penny stocks under $2 will ever be worth thousands. Investing in low-priced companies necessitates thorough due diligence.

Before adding them to your portfolio, you should grasp their company model and previous performance.

Where can you buy cheap penny stocks under $2?

Since the NASDAQ and the NYSE have particular standards regarding the number of shares and trading volume for listing, just a few sub-$2 equities are available on the leading exchanges.

We recommend Robinhood or Webull if you wish to explore these markets. Because of its simple user interface, Robinhood is best suited for more inexperienced traders. Most of Webull's audience comprises more seasoned investors looking to go a step further.

Fidelity's trading app is an excellent place to check for OTC stocks. Low-priced tickers can be traded without paying a commission at Fidelity.

List of best penny stocks under $2 in 2022

1. CymaBay Therapeutics (NASDAQ: CBAY)

At CymaBay Therapeutics, Inc., we focus on developing and providing treatments to treat chronic disorders of both the liver and other organs. 

MBX-8025, a selective peroxisome proliferator-activated receptor delta agonist, is the company's lead product. It is currently in phase III clinical trials to treat primary biliary cholangitis (PBC). There is a Phase 2b clinical trial for treating patients with nonalcoholic steatohepatitis. 

MBX-2982, a treatment for hypoglycemia in type 1 diabetics, is also being developed by the business. For the development of seladelpar for PBC treatment, it has an agreement with ABW Cyclops SPV LP and possesses a worldwide license from Janssen Pharmaceuticals, Inc.

This license is to develop and market medicines with efficacy against an unidentified metabolic condition. Metabolex, Inc. was the company's last name. Since its incorporation in 1988, CymaBay Therapeutics, Inc. has been based in Newark, California.

2. Cidara Therapeutics

Long-acting anti-infectives for the treatment and the prevention of infectious illnesses and cancer are at the heart of Cidara Therapeutics, Inc.'s biotechnology mission. 

An echinocandin antifungal known as Rezafungin acetate is the company's most promising pharmaceutical candidate for treating and preventing invasive fungal infections, such as candidemia and candidiasis. 

Conjugates for treating and preventing influenza, RSV, HIV, and the COVID-19-causing SARS-CoV-2 strains are also developed using Cloudbreak. 

In July 2014, the firm changed its name from K2 Therapeutics, Inc. to Cidara Therapeutics, Inc. Incorporated in 2012; Cidara Therapeutics, Inc. is a San Diego-based company.

3. Clarus Therapeutics

Oral testosterone replacement treatment is the primary focus of Clarus Therapeutics Holdings, Inc., a pharmaceutical firm based in the United States. 

JATENZO, a soft oral gel formulation of testosterone undecanoate, is available for males with hypogonadism.

The Royal Institution for Advancement of Learning/McGill University has a license agreement with the company to develop and commercialize McGill's proprietary technology designed to treat conditions associated with human CoQ10 deficiencies.

Havas Therapeutics has a license agreement for products to treat androgen therapies for inflammatory breast disease and certain forms of breast cancer. 

4. Greenlane

As a leading manufacturer and distributor of cannabis accessories, Greenlane Holdings, Inc. has a strong presence in the US, Canada, and Europe. 

Two divisions, Consumer and Industrial, make up the company's business model. Vaporizers, pipes, rolling papers and packaging, grinders, garment lines, and other smoking and vaporization-related accessories and items are offered by the firm and bubblers and rigs. 

VIBES, Pollen Gear, Marley Natural, Aerospaced & Groove grinders, Marley Natural, K. Haring Glass Collections, Eyce silicone pipes, Higher Standards, and DaVinci vaporizers are some of the names under which the company sells its goods. 

Other e-commerce sites include Vapor.com, HigherStandards.com, Aerospaced.com, Harringglass.com, Eycemolds.com, and Vapor.ca, as well as Puffitup.com, which is a subsidiary of the corporation. 

8500 smoke shops, cannabis dispensaries, and specialized merchants service the company's clientele. Boca Raton, Florida-based Greenlane Holdings, Inc. was established in 2005 and had its corporate headquarters there.

5. Unity Biotechnology 

One of Unity Biotechnology's main goals is to find new ways to reduce, stop, or even reverse the progression of age-related disorders. 

Phase II clinical trials of UBX1325, the company's principal medication candidate, are being conducted to see if it may cure age-related eye illnesses such as diabetic macular oedema, age-related macular degeneration, and diabetic retinopathy. 

Other drugs being developed by the company include the anti-Tie2 monoclonal antibody UBX2050 for treating age-related eye illnesses and the anti-a-Klotho hormone medication candidate UBX2089 for a variety of neurologic conditions. 

In January 2015, the firm renamed itself Unity Biotechnology, Inc. from Forge, Inc. South San Francisco is the headquarters of Unity Biotechnology, Inc., founded in 2009.

6. Fortress Biotech 

Pharmaceutical and biotechnology products are developed and sold by Fortress Biotech, Inc., a biopharmaceutical firm. 

Cosmetic items include Ximino capsules, Targadox, Exelderm, Ceracade, Luxamend, and Accutane capsules used to treat severe acne, stubborn nodular acne, ringworm, and jock itch symptoms, as well as dry skin disorders, such as eczema and psoriasis. 

CUTX-101, an injection which is for the treatment of Menkes disease, is one of its late-stage product candidates, as is Cosibelimab, which is used to treat metastatic cancers.

CK-101 is used to treat patients with EGFR mutation-positive NSCLC; CAEL-101 is used to treat amyloid light chain amyloidosis. The triplex vaccine is for the treatment of cytomegalovirus, which is also one of its late-stage product candidates. 

The preclinical product candidates include AAV-ATP7A gene therapy, AVTS-001 gene therapy, CK-103 BET inhibitor, CEVA-D and CEVA-102, CK-302, an anti-GITR, CK-303, an anti-CAIX, ConVax, and ONCOlogues, an oligonucleotide platform.

It has agreements with universities, research institutions, and pharmaceutical businesses to collaborate on research and development. 

Coronado Biosciences, Inc., the company's old name, was renamed Fortress Biotech, Inc. in April of that year. Bay Harbour Island, New York-based Fortress Biotech, Inc. was founded in 2006.

7. Infinity Pharmaceuticals, Inc

New treatments for cancer patients focus on the biopharmaceutical business Infinity Pharmaceuticals Inc. 

Phase 2 clinical studies for treating metastatic triple-negative breast cancer and urothelial cancer and Phase 1/1b clinical trials for solid tumors, IPI-549, a clinical-stage immuno-oncology product candidate, inhibit phosphoinositide-3-kinase-gamma. 

PI3K delta/gamma isoforms focus on the company's collaboration with Intellikine, Inc.; with Verastem, Inc. It is working on duvelisib research and commercialization; with PellePharm, Inc.

Cambridge, Massachusetts-based Infinity Pharmaceuticals, Inc. was founded in 1995.

8. Syros Pharmaceuticals 

As a biopharmaceutical firm, Syros Pharmaceuticals, Inc. focuses on developing cancer and monogenic disease therapies. They are also establishing a pipeline of gene control drugs. 

"SY-2101, a novel oral form of arsenic trioxide, is for treating patients with acute promyelocytic leukemia. SY-5609, a cyclin-dependent kinase seven inhibitor, is among the company's leading product candidates. 

A selective retinoic acid receptor alpha agonist, Tamibarotene, is currently in Phase III clinical trials. It is for a genomically defined subset of patients with myelodysplastic syndrome.

Founded in 2011, Syros Pharmaceuticals, Inc. is based in Cambridge, Massachusetts.

9. Applied Genetic Technologies

Biotechnology business Applied Genetic Technologies Corporation, a clinical-stage, develops revolutionary genetic medicines for people with uncommon and severe illnesses. 

Achromatopsia and X-linked retinitis pigmentosa are two of the three ophthalmology development initiatives. They are in the advanced stages of clinical trials at Genentech. Optogenetic product candidates are also being developed to treat progressive retinal disease. 

The business has also started preclinical projects in otology and central nervous system illnesses. It includes frontotemporal dementia and Amyotrophic Lateral Sclerosis. 

The University of Florida, Bionic Sight, LLC, and Otonomy, Inc. have partnership agreements. It was established in 1999 and is based in Alachua, Florida. Applied Genetic Technologies Corporation

10. Sientra

Medical aesthetics products are developed and sold by Sientra, Inc., a medical aesthetics firm with operations in the United States and abroad. 

Silicone gel implants, tissue expanders, and scar management solutions are available under the Sientra Round. Sientra Teardrop, AlloX2, Dermaspan, Softspan, and BIOCORNEUM are used in breast augmentation and breast reconstruction surgeries. 

Additionally, the firm offers cosmetic and nasal implants, saline-filled sizers, and body sculpting devices. You may use it for various medical specializations, including plastic surgery and dermatology. 

In April 2007, the firm changed its name from Juliet Medical, Inc. to Sientra, Inc. A California-based company, Sientra, Inc., was founded in 2003.

11. Synlogic 

Biopharmaceutical business Synlogic, Inc. is developing synthetic biotic medications. It aims to treat metabolic and immunological illnesses in the United States via research and development. 

SYNB1891, an intratumorally given synthetic biotic medication, is now in Phase-1 clinical trials to treat solid tumors and lymphoma. This is another product in development by the firm. F. Hoffmann-La Roche Ltd.

It is based in Cambridge, Massachusetts, where the company has its headquarters.

12. Harpoon Therapeutics

An immunotherapy firm in the clinical stages called Harpoon Therapeutics, Inc. It develops innovative T cell engagers that use the body's immune system to treat cancer patients and other illnesses in the United States of America. 

Its TriTAC product candidate includes HPN328 in Phase I/II clinical trials to treat small-cell lung cancer and other Delta-like canonical Notch ligand 3-expressing tumors. 

HPN217 is in Phase I/II clinical trials to treat multiple myeloma, and HPN536 is in Phase I/IIa clinical trials to treat ovarian and pancreatic cancer and other therapies for mesothelin-expressing cancers. 

To treat numerous solid tumors, HPN601 is its preclinical stage product. As of 2015, the corporate headquarters of Harpoon Therapeutics, Inc. may be found in South San Francisco, the state of California.

13. Sema4's 

Sema4 Holdings Corp., better known as Sema4, is a health information firm that uses data to improve disease diagnosis, treatment, and prevention. 

The firm offers Centrellis, an AI-driven health intelligence platform that provides biopharma with actionable insights, preclinical and clinical trial assistance, and advanced sequencing services to speed up drug discovery, development, and commercialization. 

Preventive, therapy, and post-treatment care are possible using Sema4 Signal and carrier screening, non-invasive prenatal testing, newborn screening, and genetic cancer testing. 

In addition, COVID-19 testing solutions are offered by the business. Stamford, Connecticut-based Sema4 Holdings Corp. was established in 2020 and is a subsidiary of the company's subsidiary.

14. ObsEva 

ObsEva SA, a biopharmaceutical business, aims to discover, develop, and commercialize new treatments for reproductive health and pregnancy problems. 

Linzagolix, an oral gonadotropin, treats endometriosis discomfort and heavy monthly flow caused by uterine fibroids in premenopausal women. It releases a hormone receptor antagonist, which is being developed and is now in Phase III clinical trials. 

Ebopiprant, an oral and selective prostaglandin F2a, or PGF2a receptor antagonist, is in Phase II clinical trial. This is a once-daily treatment for preterm labor in weeks 24 to 34 of gestational age. 

Nolasiban, an oral oxytocin receptor antagonist, is in a Phase-I clinical trial to enhance clinical pregnancy and live birth rates in women undergoing in vitro fertilization. The company is also developing. With a headquarters in Geneva, Switzerland, ObsEva SA was established in 2012.

15. Ayala Pharmaceuticals, Inc.

Patients with uncommon and aggressive tumors are the focus of Ayala Pharmaceuticals, an oncology business in clinical development and commercialization. 

ADCC patients with Notch-activating mutations may benefit from the company's flagship pharmaceutical candidate. AL101 is a potent, selective, and injectable gamma-secretase inhibitor (GSI) in Phase II clinical trials. 

Ayala Pharmaceuticals Inc. and Novartis International Pharmaceutical Limited have entered into a partnership arrangement for multiple myeloma. Rehovot, Israel's capital city, is where the business was established in 2017.

16. X4 Pharmaceuticals

Drugs for treating uncommon disorders focus on X4 Pharmaceuticals Inc., a clinical biopharmaceutical business in the late stages of development. 

It is also working on X4P-002 to treat brain tumors and on X4P-003 to treat diseases related to CXCR4 and primary immunodeficiencies. Both drugs are in clinical trials at the time of this writing. 

If you'd like to use mavorixafor in combination with checkpoint inhibitors or other drugs in cancer indications, you'll have to get a license from Abbisko Therapeutics. The firm was established in 2010 and is based in Boston, Massachusetts.

The Stocks under $2: FAQs

1. Is investing under two dollars in stocks a daunting task?

Our top options for this price range have been shared with you. Globalstar's satellite network is just now beginning to take shape as a significant participant in terms of communication. Denison Mines has just scratched the surface of the uranium reserves in which it has a financial stake.

2. In which $1 stock should you invest?

At this point, we've classified GEE Group as one of our favorite stocks. The ticker is on the cutting edge in the job market and is expected to expand significantly. Check out our list of the top stocks to buy for under $1 for additional inspiration.

3. In your opinion, what is the best five-dollar stock to invest in?

At the moment, Buzzfeed is a popular online media outlet. If social media isn't your thing, check out our list of the top stocks under $5.

4. What resources are best to use for locating penny stocks?

Some penny stocks have enough trading volume to be listed on the NASDAQ or NYSE exchanges. Others can be found on more volatile over-the-counter marketplaces. It doesn't matter whatever route you take; a decent trading platform will enable you to look for equities that appeal to you.

5. What are the excellent stocks to buy for beginners?

Volatility in penny stocks is expected, leading to significant profits or losses in minutes. Large exchange stocks can provide a solid platform for long-term investments outside the penny stock bracket.

Bottom line

To end with the discussion, we will say that before you invest in any of the penny stocks, make sure you have in-depth knowledge about them. See what point it can give you profits and under what circumstances it can come across with losses. 

Grab the list we shared with you, and start investing right now!