Stocks Under $1 That Will Explode

Looking for penny stocks under $1 that will explode? You’re not the only one … and no guarantees on whether their ‘explosion’ is a good or bad thing.

Nasdaq is the home of many of these super-cheap stocks. The exchange began life in the ‘70s as the tech upstart little brother to the NYSE. That isn’t the case any longer, as Nasdaq has become home to some of the overall market’s most exciting stocks. Blue chip stocks like Apple Inc. (NASDAQ: AAPL), Alphabet Inc. (NASDAQ: GOOGL), and Tesla Inc. (NASDAQ: TSLA) are some of the leading stocks on the entire market!

How do you keep track of the 3,300 stocks that trade on the Nasdaq? You keep a watchlist.

You should read this article because it provides a comprehensive guide on Nasdaq penny stocks, offering valuable insights into trading strategies, stock analysis, and top picks for 2025.

I’ll answer the following questions:

• What are penny stocks, and why are they significant for traders?
• Does Nasdaq have penny stocks, and what are the criteria for them?
• What happens when a penny stock moves to the Nasdaq?
• What key factors should you consider when selecting a penny stock?
• How can you identify top penny stocks to watch on Nasdaq in 2025?
• What are some examples of Nasdaq penny stocks under $1 that might explode?
• How does news and market sentiment affect penny stock prices?
• What are the risks and rewards associated with trading Nasdaq penny stocks?
• Let’s get to the content!

Read on to see my top Nasdaq penny stocks to watch in 2025!

What Are Penny Stocks?

Penny stocks are shares of small companies trading at low prices, often under $5 per share. They’re a playground for retail traders looking for big moves on a small budget. But here’s the catch: these stocks are volatile, and their low price doesn’t always mean value. They’re not your blue-chip stocks; they’re more like wild cards in the world of trading. When you’re dealing with penny stocks, you’re often looking at businesses with smaller market caps, and sometimes, less transparency.

This means doing your homework is crucial. Dive into their financials, understand their industry position, and keep an eye on their EBITDA and revenue margins. You should know what a company is before you trade it …

But remember, trading penny stocks is not about believing in a company’s story; it’s about trading patterns and price action.

If you want to go even deeper into the sketchy neighborhoods of penny stock land, check out my roundup of stocks under 10 cents. These stocks represent the lower end of the market cap spectrum, often involving higher risks and volatility. However, for the informed trader, they can offer unique opportunities for quick gains. It’s crucial to approach these stocks with a well-defined strategy, focusing on pattern recognition and market trends rather than getting swayed by the low price alone. For a deeper dive into the world of ultra-cheap penny stocks, check out this list of penny stocks under 10 cents.

Does Nasdaq Have Penny Stocks?

Yes, there are penny stocks on Nasdaq. Generally, a penny stock is a stock that trades for under $5 per share.

The Nasdaq has rules and criteria that companies must meet before they can list on the exchange. One of those requirements is that its stock trades for over $1 per share.

You can find Nasdaq penny stocks under $1 … but they won’t stay there for long. The exchange will send the company a letter. Then the company will have a certain amount of time to get its stock price over $1 and remain listed.

This is where you can see some creative pumps from companies. They may put out press releases about products or contracts, paid promotions, and maybe even do a reverse stock split to get the price up.

If you’re looking for “true” penny stocks — stocks that trade under $1 — you’ll have to look at the OTC markets.

The OTC markets are where OTC stocks and pink sheets trade. These are the most hated of all penny stocks … but they’re my favorite.

I love them because they fit my patterns best. And I don’t have to compete against hedge fund traders and algorithms.

What Happens When a Penny Stock Goes to the Nasdaq?

If a stock is listed on the OTC markets and has news that it’s uplisting to the Nasdaq, it usually creates some trader interest. There are a few reasons this can be good news…

First, the larger stock exchanges have more stringent requirements for companies to list. So if an OTC penny stock is uplisting, it can give a company some legitimacy.

Second, institutional investors and hedge funds typically don’t trade OTC stocks because there’s not enough liquidity. When a stock uplists to the Nasdaq or NYSE, they can trade it.

Last, larger exchanges are the best place for a company to have access to more investors from around the world.

All of these results spell additional volume.

What to Look for in a Penny Stock

When hunting for penny stocks, focus on a few key factors: trading volume, share price movements, and the company’s financial health. High trading volume can indicate interest and liquidity, essential for getting in and out of positions. Analyze the share price history to understand the range and volatility.

Look beyond the hype and dive into the company’s financials. Are their sales growing? Keep an eye on industry news and analyst ratings, but take these with a grain of salt. Remember, in penny stocks, information is power, but speculation is rampant. Your best bet is to develop a solid trading strategy, focusing on chart patterns and price levels, rather than getting swayed by every headline or analyst opinion.

Keeping a watchlist of promising penny stocks can be a game-changer, allowing traders to act swiftly and decisively. It’s not just about finding any penny stock, but about finding the right ones at the right time. For a curated list of penny stocks to keep an eye on, explore my top penny stocks to watch each month.

Or just read on …

5 Top Penny Stocks on Nasdaq That Might Explode

My top penny stock picks that might explode are:

• NASDAQ: HOLO — MicroCloud Hologram Inc — The Quantum Pump Meme Stock
• NASDAQ: SBET — Sharplink Gaming Inc — The 1,000%* Ethereum News Supernova
• NASDAQ: SYTA — Siyata Mobile Inc — The AI User Bump Mobile Gaming Stock
• NASDAQ: QUBT — Quantum Computing Inc — The NASA Contract Quantum Computing Stock
• NASDAQ: RGTI — Rigetti Computing Inc — The Quantum Computing Sector Leader I’m Watching for the Next Run

For more top penny stocks to watch, sign up for my no-cost weekly watchlist.

I don’t trade every stock on my watchlist or in my alerts. But I share them to educate traders.

Use this watchlist to find out what I look for in stocks and learn to become a self-sufficient trader. That means building your own watchlists.

Here are some of the penny stocks on Nasdaq that I’ll be watching in 2025…

MicroCloud Hologram Inc (NASDAQ: HOLO) — The Quantum Pump Meme Stock

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This is a huge former runner in the market. The stock’s been spiking since 2023.

For example, in February 2024 the price spiked 6,400%*.

And since its latest spike, on April 21 this year the stock held a reverse split to stay listed on the Nasdaq.

The reverse split also drastically lowered the float.

HOLO is now trading with only 4.8 million shares in the float. And when the share supply is low like that, it’s easier for the price to spike higher.

It’s a simple law of supply and demand.

Most recently, on May 22, HOLO announced progress on its quantum-computing imaging technology.

The price spiked 110%* after the news.

That’s on the low end of HOLO’s capabilities. Keep an eye out for more volatility in June.

Sharplink Gaming Inc (NASDAQ: SBET) — The 1,000%* Ethereum News Supernova

On Tuesday, May 27, SBET announced a $425 million private placement to start an Ethereum treasury strategy.

Crypto stocks are heating up again. A new crypto regulation bill is working its way through Congress, and Bitcoin is flirting with all-time highs.

June could be explosive. There’s serious momentum across the crypto sector.

Whether you’re trading intraday spikes like SBET, or riding swings on big names like Coinbase Global Inc. (NASDAQ: COIN), there’s volatility here.

SBET went full supernova on Thursday, May 29. In total, it surged a mind-blowing 1,700%* over multiple days.

This is one of 2025’s biggest supernovas so far. We see massive moves similar to this every month.

Watch my video below for more details:

Study the chart, learn the setup, and get ready for the next opportunity.

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• Oscar Health Inc.: Market Surge and Speculations
• IAG’s €500M Share Buyback Announced: Potential Impacts on Market

Siyata Mobile Inc (NASDAQ: SYTA) — The AI User Bump Mobile Gaming Stock

This stock lit up the charts in May.

On May 9, Core Gaming announced its AI Comic App reached 300,000 users. In just 24 hours after the launch.

That’s some serious viral momentum.

Now … SYTA signed a $160 million merger agreement with Core Gaming back in February. That means SYTA is riding this wave of AI-fueled momentum.

As a result, SYTA went full supernova later in May. It ran a jaw-dropping 810%* during its multi-day run.

Remember, we see multiple supernovas every month. Study the chart. Learn the catalyst. And get your mind locked in for the next explosive move.

I also have a full tutorial on how to trade these intense runners. Watch my video below:

Quantum Computing Inc. (NASDAQ: QUBT) — The NASA Contract Quantum Computing Stock

This stock is one of the most volatile in the sector — and that’s saying something. QUBT spiked 1,800%* to end 2024 … a jaw-dropping run that rewarded prepared traders.

Since then, the price has cooled off, but it’s still up massively on the year. And it’s not dead yet — despite the short reports trying to kill it.

On April 30, QUBT announced a NASA contract worth up to $406,000 to support LIDAR data analysis — a big credibility boost for a small-cap tech company.

Even more importantly, the company will officially join the Russell 3000 Index on June 27. Institutional funds that track the index could be forced to buy, creating buying pressure leading up to and after the inclusion.

Be patient here. QUBT’s chart is messy, but former runners often offer second or even third waves if the news flow stays positive.

Rigetti Computing Inc. (NASDAQ: RGTI) — The Quantum Sector Leader I’m Watching for the Next Run

RGTI has had a tough time lately, falling more than 13% after announcing an Open Market Sale Agreement with Jefferies to raise up to $350 million.

Dilution is never great news, and the stock reacted accordingly. But here’s the thing — the company still operates in one of the hottest sectors out there: quantum computing.

RGTI is building quantum processors and offering cloud quantum computing services — a space with massive long-term potential despite current challenges.

I’m watching for a technical bounce setup — and if the broader quantum sector heats up, RGTI could move fast.

*Past performance does not indicate future results

Now let’s look at some hot penny stocks on Nasdaq under $1…

5 Hot Nasdaq Penny Stocks Under $1 That Will Explode

My top Nasdaq penny stock picks under $1 are:

• • Tenaya Therapeutics Inc. [NASDAQ: TNYA]
  • Ryvyl Inc. [NASDAQ: RVYL]
  • PLUS THERAPEUTICS Inc. [NASDAQ: PSTV]
  • Blink Charging Co. [NASDAQ: BLNK]
  • Lexicon Pharmaceuticals Inc. [NASDAQ: LXRX]

Tenaya Therapeutics Inc. [NASDAQ: TNYA]

Tenaya Therapeutics Inc is a preclinical stage biotechnology company focused on discovering, developing, and delivering curative therapies that address the underlying drivers of heart disease. It is advancing product candidates from three product platforms: gene therapy, cellular regeneration, and precision medicine.

Ryvyl Inc. [NASDAQ: RVYL]

Ryvyl Inc is a technology company that develops, markets, and sells blockchain-based payment solutions, which offers improvements to the payment solutions marketplace. It offers blockchain security and USD-pegged stablecoin technology with near-real-time attestation, RYVYL is reinventing financial transactions using its coyni stablecoin platform as a transactional foundation.

PLUS THERAPEUTICS Inc. [NASDAQ: PSTV]

Plus Therapeutics Inc is a clinical-stage pharmaceutical company. The company focused on the discovery, development, and delivery of complex and innovative treatments for patients battling cancer and rare diseases.

Blink Charging Co. [NASDAQ: BLNK]

Blink Charging Co is an owner, operator, and provider of electric vehicle (EV) charging services. The company offers both residential and commercial EV charging equipment, enabling EV drivers to easily recharge at various location types. Its principal line of products and services are the Blink EV charging network (the Blink Network) and EV charging equipment (also known as electric vehicle supply equipment), and EV-related services.

Lexicon Pharmaceuticals Inc. [NASDAQ: LXRX]

Lexicon Pharmaceuticals Inc is a biopharmaceutical company. It is engaged in the discovery, development and commercialization of pharmaceutical products for the treatment of human disease. Some of its drugs candidates are LX9211, an orally-delivered small molecule drug candidate, as a treatment for neuropathic pain; and sotagliflozin, an orally-delivered small molecule drug candidate, as a treatment for heart failure and type 1 diabetes.

*Past performance does not indicate future results

That’s reason to be careful — and reason to have them on your watchlist.

The Benefits of Investing in Nasdaq Penny Stocks

Investing in Nasdaq penny stocks can be a game of high risk and high reward. These stocks offer a chance to buy a large number of shares with a relatively small amount of money, potentially leading to significant gains if the stock price spikes. Nasdaq, being a reputable exchange, adds a layer of credibility compared to penny stocks traded on less regulated platforms. For traders who do their due diligence, understand the risks, and have a clear exit strategy, Nasdaq penny stocks can be an exciting addition to their trading portfolio. Remember, it’s not about finding the next big thing; it’s about finding stocks with the potential for big moves.

Trading sector-specific stocks can further drill down on the stocks on your watchlists. Trading gold penny stocks requires an understanding of the commodities market, global economic indicators, and sector-specific news — which is good news for traders willing to put in the work. For traders looking to diversify their penny stock portfolio or capitalize on the nuances of the gold market, gold penny stocks can be an intriguing option. To learn more about trading in this specific sector, delve into my guide to gold penny stocks.

Potential Drawbacks of Investing in Nasdaq Penny Stocks

The world of Nasdaq penny stocks is not for the faint-hearted. These stocks are notoriously volatile, making them a risky bet for the unprepared trader. The low share price often comes with lower liquidity, meaning it can be hard to sell your shares at the desired price. Also, information on these companies can be scarce, leading to decisions based on speculation rather than solid data. Many of these companies are in their early stages or struggling, which adds to the risk. As a trader, you need to be aware of these drawbacks and trade with a strategy that acknowledges these risks.

Common Mistakes to Avoid When Trading Penny Stocks

Trading penny stocks is a unique battlefield, and common mistakes can cost you. First, never trade based on emotions or hype. The penny stock world is full of stories and speculation, but your decisions should be based on research and strategy. Avoid chasing a stock after it has already made a significant move; you’re likely too late to the party. Don’t ignore the importance of volume; trading in stocks with low volume can leave you stuck in a position. Also, don’t forget to set stop-loss orders to manage your risk. Remember, in penny stock trading, cutting losses quickly is just as important as capturing gains.

Conclusion

If you want to trade super-cheap penny stocks, your skills need to be on point. Trading is a battlefield. To be profitable you’ll have to fend off competition from professional traders, hedge funds, and algorithms.

In the world of “true” penny stocks, you’ll also need to see through the lies of penny stock promoters…

I use StocksToTrade every day to find the biggest percent gainers and the stocks trading the most volume. Its Breaking News Chat alert service has put many of the stocks I’m now watching on my radar.

If you want to know more about how I trade penny stocks, apply for my Trading Challenge.

You’ll also have access to all my DVDs, video lessons, archived webinars, and arguably the best chat room ever.

The Trading Challenge is your opportunity to commit to your trading education and prepare for any market.

Pay attention to risk, follow the rules, and only trade the best setups. Take singles and cut losses quickly. It’s how I’ve grown my account to $7.8 million and counting.

Do you trade Nasdaq penny stocks? Let me know in the comments … I love to hear from you!

Penny Stocks Under $1 FAQs

Where Can I Find a List of All Penny Stocks on Nasdaq?

Use a stock screener like StocksToTrade to find a list of penny stocks on Nasdaq. You can use filters to find stocks based on price, volume, market cap, or float. Visit Timothy Sykes

What Is the Cheapest Penny Stock on Nasdaq?

The cheapest penny stock on Nasdaq will be around $1. That’s because the Nasdaq exchange requires listed companies to maintain a listing price of over $1 per share. Visit Timothy Sykes

Can I Buy Penny Stocks Under 10 Cents on Nasdaq?

You won’t find many stocks under 10 cents on the Nasdaq. The exchange has a minimum listing requirement of $1, and will delist stocks that trade under that level for too long. Most stocks that trade under $1 trade on the OTC markets.

What Do Analysts Say About Stocks Under $1?

Analysts provide essential analysis and price targets for stocks under $1, often influenced by Wall Street trends and industry directions. Their opinions are usually based on various factors, including company performance, CEO strategies, and market demand. Reading articles and facts from reputable sources can offer insights into their views.

How Can I Learn About Stocks Under $1?

For those interested in investing in stocks under $1, resources like online courses, newsletters, and investment tips on platforms like YouTube and Instagram can be valuable. Following money managers and insiders in the field, and engaging with their content, can provide practical ideas and steps to identify potential stocks.

What Technology and Healthcare Stocks Under $1 Show Promise?

In the technology and healthcare sectors, look for companies involved in software development, medical devices, and patient services. Analyzing Canadian, Californian, or Chinese companies in these industries can reveal stocks under $1 with potential, especially those with FDA approvals or innovative solutions.

How Important Are Stock Catalysts and Industry Backdrop?

Understanding the catalysts that drive stock prices and the industry backdrop is crucial. Events like product launches or regulatory approvals can significantly impact stock prices, especially for companies under $1. Identifying these catalysts and understanding the difference they make can guide your investment decisions.

What Should I Consider Before Investing in Stocks Under $1?

Before investing in stocks under $1, consider the types of industries these stocks belong to and the specific names or companies that analysts and insiders focus on. It’s also wise to consider the legal disclaimer associated with such investments, as these stocks can be more volatile and risky.

How Do ETFs and Stocks Under $1 Interact in the Market?

Exchange-Traded Funds (ETFs) often track a range of assets, including low-priced stocks. When investing in stocks under $1, it’s important to see how they fit within the broader ETFs landscape. For example, some ETFs might include small-cap or niche sector stocks, which can include stocks trading under a dollar.

What Role Do Headlines and Media Play in Stocks Under $1?

Media headlines can significantly impact stocks under $1, particularly in terms of public perception and investor sentiment. For instance, positive trial results or breakthroughs in China’s markets, especially concerning technology or healthcare sectors that affect patients, can lead to a surge in stock prices. It’s crucial to follow reliable news links and understand how media coverage influences these stocks.

How Can Social Media Influence Stocks Under $1?

Social media platforms and their vast number of followers can be a powerful tool for influencing the popularity of stocks under $1. Influential figures on platforms like YouTube and Instagram can sway public opinion, sometimes based on specific instances or examples they share. However, investors should approach these sources critically and differentiate between hype and substantive information.

What Are the Key Indicators for Evaluating Low-Priced Stocks?

When evaluating low-priced stocks, consider metrics like market capitalization, average price target, and potential upside. Tools like StocksToTrade can offer insights into a stock’s performance, helping to refine investment strategy decisions.

How Do Product Launches in Electric Vehicles Impact Stock Prices?

Product launches in the electric vehicle sector can significantly impact stock prices, particularly for companies on my Robinhood Penny Stocks watchlist. Investors should monitor daily volumes and price targets to gauge market reactions and potential investment opportunities.

What Investment Strategies Are Effective for Marijuana and Drug Stocks?

For sectors like marijuana and drug products, investment strategies should consider regulatory changes and market capitalization. Using platforms like Charles Schwab can help regular investors access these markets, potentially leading to substantial upside.