As the U.S. stock market reaches new heights with record closings for the S&P 500 and Nasdaq, investors are exploring diverse opportunities beyond large-cap tech stocks. Penny stocks, while often associated with smaller or newer companies, remain a relevant area for those seeking unique investment possibilities. Despite their vintage-sounding name, these stocks can offer surprising value when backed by strong financials, providing potential for significant returns and stability.

Top 10 Penny Stocks In The United States

Click here to see the full list of 709 stocks from our US Penny Stocks screener.

Let's take a closer look at a couple of our picks from the screened companies.

Broadwind

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

Overview: Broadwind, Inc. manufactures and sells structures, equipment, and components for clean tech and other specialized applications primarily in the United States with a market cap of $41.80 million.

Operations: The company generates revenue through three primary segments: Heavy Fabrications ($91.73 million), Gearing ($39.02 million), and Industrial Solutions ($26.23 million).

Market Cap: $41.8M

Broadwind, Inc. has shown a mixed performance, with third-quarter 2024 sales declining to US$35.5 million from US$57.16 million the previous year and net income dropping significantly. Despite this, the company remains profitable over five years with a 33.8% annual growth in earnings and maintains high-quality earnings. Its financial position is bolstered by short-term assets exceeding both short-term and long-term liabilities, though interest coverage remains weak at 2x EBIT. Shareholder dilution occurred recently due to an increase in authorized shares, while management's experience averages nearly five years, suggesting stability amidst volatility concerns.

• Get an in-depth perspective on Broadwind's performance by reading our balance sheet health report here.
• Examine Broadwind's earnings growth report to understand how analysts expect it to perform.

Kronos Bio

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

Overview: Kronos Bio, Inc. is a clinical-stage biopharmaceutical company dedicated to developing therapeutics for cancer and other serious diseases in the United States, with a market cap of $57.32 million.

Operations: The company generates revenue of $9.86 million from its biopharmaceutical product development activities.

Market Cap: $57.32M

Kronos Bio, Inc. is navigating challenges typical for penny stocks, including recent management changes with Deborah Knobelman assuming leadership roles. The company faces delisting risks from Nasdaq due to its stock trading below US$1, though it has a 180-day window to rectify this. Despite being unprofitable and experiencing shareholder dilution, Kronos Bio's short-term assets of US$127.9 million comfortably cover its liabilities, providing a stable financial cushion. The company's strategic exploration of partnering opportunities for its p300 KAT inhibitor programs highlights potential growth avenues in oncology and autoimmune diseases amidst ongoing revenue generation efforts.

• Click to explore a detailed breakdown of our findings in Kronos Bio's financial health report.
• Learn about Kronos Bio's future growth trajectory here.

PMV Pharmaceuticals

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

Overview: PMV Pharmaceuticals, Inc. is a precision oncology company focused on developing small molecule and tumor-agnostic therapies targeting p53 mutations in cancer, with a market cap of $83.83 million.

Operations: PMV Pharmaceuticals, Inc. has not reported any revenue segments.

Market Cap: $83.83M

PMV Pharmaceuticals, Inc., a pre-revenue biotech firm with an $83.83 million market cap, is navigating typical penny stock challenges. The company remains unprofitable but holds a strong cash position with short-term assets of $189.6 million exceeding liabilities, offering financial stability for over three years without debt concerns. Recent developments include a $200 million shelf registration filing and ongoing clinical trials for rezatapopt, which received FDA Fast Track designation. Despite being dropped from the S&P Global BMI Index and facing declining earnings forecasts, PMV's strategic focus on precision oncology could offer future growth potential in its niche market.

• Dive into the specifics of PMV Pharmaceuticals here with our thorough balance sheet health report.
• Gain insights into PMV Pharmaceuticals' future direction by reviewing our growth report.

Make It Happen

• Explore the 709 names from our US Penny Stocks screener here.
• Are any of these part of your asset mix? Tap into the analytical power of Simply Wall St's portfolio to get a 360-degree view on how they're shaping up.
• Discover a world of investment opportunities with Simply Wall St's free app and access unparalleled stock analysis across all markets.

Curious About Other Options?

• Explore high-performing small cap companies that haven't yet garnered significant analyst attention.
• Jump on the AI train with fast growing tech companies forging a new era of innovation.
• Find companies with promising cash flow potential yet trading below their fair value.

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.

Companies discussed in this article include NasdaqCM:BWEN NasdaqGS:KRON and NasdaqGS:PMVP.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com