A string of recent positive economic data including reduced U.S. trade gap in Nov 2014 (lowest level in nearly a year), dip in U.S. jobless claims, layoffs for the year 2014 marked the lowest in 17 years and solid rise in U.S payrolls as the economy generated 2.95 million new jobs, the strongest annual showing since 1999 point to a strengthening U.S economy.
Today
we have shortlisted 8 U.S penny stocks (< $5) across sectors with Betas of
>1, suggesting that they are expected to outperform the market (benchmark)
in the ongoing bull run. Moreover, these stocks are expected to report decent sales growth (>5%) and high EPS growth (>27%) for the period Q4’FY14. During the past one month, majority of the stocks have registered price gains with daily average trading volumes in excess of 100,000.
| Company Name |
Ticker |
Exchange |
Market Cap |
Last Price |
Average Volume |
Price Change (1-Month) |
Beta |
Sales Growth Q4′ FY14E |
EPS Growth |
|
Dot Hill Systems Corp |
HILL |
NASDAQ |
300.2 |
4.96 |
260,269 |
16.4% |
1.7 |
23.4% |
269.2% |
|
Navios Maritime Acquisition Corp |
NNA |
NYSE |
574.8 |
3.79 |
543,519 |
21.9% |
1.4 |
7.4% |
257.5% |
|
Sonus Networks Inc |
SONS |
NASDAQ |
926.7 |
3.75 |
2,073,707 |
3.0% |
1.6 |
8.9% |
210.0% |
|
Cowen Group Inc |
COWN |
NASDAQ |
520.4 |
4.58 |
657,187 |
0.7% |
1.1 |
9.1% |
56.5% |
|
Safe Bulkers Inc |
SB |
NYSE |
306.2 |
3.67 |
608,385 |
-9.2% |
1.4 |
9.3% |
46.3% |
|
Cumulus Media Inc |
CMLS |
NASDAQ |
916.3 |
3.88 |
1,034,242 |
0.3% |
1.4 |
5.6% |
33.7% |
|
Merge Healthcare Inc |
MRGE |
NASDAQ |
371.8 |
3.77 |
529,192 |
10.2% |
1.4 |
5.2% |
33.3% |
|
Pacific Drilling SA |
PACD |
NYSE |
774.9 |
3.69 |
1,191,575 |
-16.3% |
1.3 |
11.6% |
27.1% |
Source: Bloomberg
Company Description
Dot Hill Systems Corp (NASDAQ: HILL)
Dot Hill Systems Corp. is a provider of enterprise storage for organizations requiring high networked storage and data management solutions in open systems architecture.
Navios Maritime Acquisition Corp (NYSE: NNA)
Navios Maritime Acquisition Corporation is an owner and operator of tanker vessels focusing in the transportation of petroleum products (clean and dirty) and bulk liquid chemicals.
Sonus Networks Inc (NASDAQ: SONS)
Sonus Networks, Inc. provides voice infrastructure products. The company’s hardware and software enables customers to deploy an integrated, packet-based network carrying both voice and data traffic. Sonus markets and sells its products to service providers, including long distance carriers, wholesale carriers, Internet service providers, and cable operators.
Cowen Group Inc (NASDAQ: COWN)
Cowen Group, Inc. is a diversified financial services firm. The company provides alternative investment management, investment banking, research, and sales and trading services. Cowen Group specializes in the healthcare, technology, media, telecommunications, consumer, metal and mining, energy, aerospace, defense and transportation industries around the world.
Safe Bulkers Inc (NYSE: SB)
Safe Bulkers Inc. is an international provider of marine drybulk transportation services transporting bulk cargoes particularly grain, iron ore, and coal. The company has a fleet of panamax, kamsarmax, and post-panamax class vessels.
Cumulus Media Inc (NASDAQ: CMLS)
Cumulus Media Inc., a radio broadcasting company, owns and operates radio stations in major media markets in the United States. The company also operates a nationwide radio network.
Merge Healthcare Inc (NASDAQ: MRGE)
Merge Healthcare Inc. provides medical imaging and information management software and services. The company offers clinical and medical imaging software applications and development tools.
Pacific Drilling SA(NYSE: PACD)
Pacific Drilling SA offers ultra-deepwater drilling services to the oil and natural gas production industry. The company rents its drilling rigs, related equipment and work crews on a day rate basis to drill wells for its customers. Pacific Drilling operates worldwide.
