5 Top Penny Stocks to Buy on Webull

My top Webull penny stock picks are:

NYSE: AMC — AMC Entertainment Holdings Inc — The Meme Stock Winner That Jack Crushed
NYSE: GME — GameStop Corp — The Supernova Meme Stock With the Roaring Kitty Catalyst
NASDAQ: FFIE — Faraday Future Intelligent Electric Inc — The 9,600%* Meme Stock Runner That Jack Nailed
NASDAQ: MGOL — MGO Global Inc — The Earnings Meme Stock Winner
NYSE: HIMS — Hims & Hers Health Inc — The Breaking News Weight Loss Winner

Remember: This is a watchlist, not a buy list. I won’t trade these stocks unless they fit my preferred setups.

The best traders watch more than they trade. That’s what I’m trying to model here. Pay attention to the work that goes in, not the picks that come out.

5 Best Penny Stocks to Watch on Webull

Penny stocks on Webull offer traders opportunities to engage with high-volatility investments, providing the potential for substantial returns. These stocks, typically priced under $5, can exhibit significant price movements within short periods. Monitoring these penny stocks can help traders capitalize on market trends and volatility.

AMC Entertainment Holdings Inc (NYSE: AMC) — The Meme Stock Winner That Jack Crushed

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My first Webull penny stock pick is AMC Entertainment Holdings Inc (NYSE: AMC).

Jack Kellogg is one of my most successful students.

He joined the Trading Challenge in 2017 after graduating high school. And in 2020, during the initial meme-stock craze, he passed the $1 million milestone.

Jack didn’t stop there … Currently, he’s sitting at $12.5 million in trading profits (that includes his losses).

Take a look at his profit chart below:

There’s no telling what his account could look like at the end of 2024. We’re in a HUGE meme-stock resurgence right now.

Already, Jack’s been banking on some of the biggest runners in the market. AMC is a prime example.

It’s a legendary meme-stock runner from 2020 and 2021.

On Sunday, May 12, meme-stock trader, Keith Gill posted a cryptic image to X. As a direct result, the share price of AMC spiked the next day, Monday, May 13.

I covered the whole story in this blog post.

You have to understand: the resurgence of one meme stock can affect the whole sector. AMC wasn’t the only meme stock to spike.

GamesStop Corporation (NYSE: GME) spiked.
BlackBerry Limited (NYSE: BB) spiked.
Bed Bath & Beyond would have spiked too if it wasn’t bankrupt and delisted …

These stocks are all HUGE sympathy plays in the meme-stock sector.

Jack’s Profits

Jack experienced this volatility once before, in 2020 and 2021 when he crossed $1 million in profits.

And now he’s ready to bank again. Take a look at two of his AMC trades below:

Starting stake of $3,599,367:

Starting stake of $462,745:

AMC passed $11 per share on May 14. In total, it spiked 300%* before pulling back.

But back in 2021, AMC spiked past $60 …

(The yearly chart shows AMC spiked much higher because of a reduction in the total share count. It’s a ratio issue.)

There’s no telling how high the price could spike in 2024. Currently the chart is consolidating around $4, more than 50% off of the highs.

Wait for the chart to match one of the patterns within our trading framework. We could see a #5 bounce any day.

GameStop Corp (NYSE: GME) — The Supernova Meme Stock With the Roaring Kitty Catalyst

My second Webull penny stock pick is GameStop Corp (NYSE: GME).

You probably heard about the GameStop spike in 2020 and 2021.

This meme stock influenced the subsequent 2021 spike in AMC shares as well …

(Each stock boasted a MASSIVE short ratio, but social media and the Reddit armies took a greater liking to GME.)

It was one of the most remarkable moves the market had seen in years. As evidenced by the complete lack of understanding from major media sources lolol.

My students and I knew exactly what was happening … And right now, in 2024, it’s happening all over again.

Let me explain:

GME and AMC don’t deserve to spike +100%. These are horrible companies with horrible financials.

Because the stocks are crap, a lot of major Wall Street players were shorting them. It’s a good strategy: Crap stocks will probably drop.

There’s One Major Issue

If there are too many short sellers in a stock, the strategy can become overcrowded. That’s the “short ratio” that I spoke about earlier.

When short sellers exit a position, they buy-to-cover. And if the short ratio is too high, the momentary bullish momentum can cause a domino effect of short sellers blowing up.

It looks like a massive stock spike that traders are banking off of. But in reality, it’s mostly short sellers blowing up. Except for a select few traders savvy enough to profit off the common price action. Like me and my students.

We knew GME and AMC were going to run after the Roaring Kitty social media post by Keith Gill.

And Jack banked off of GME just like he did on AMC.

The spike got to 270%* before it pulled back…

Take a look at his trade below, with a starting stake of $249,873:

And like AMC, there’s no telling how high GME could spike!

It’s still below the highs from 2021 …

FOMO is a powerful emotion. Everyone who missed out on GME last time is likely itching to bank this time around.

It’s very possible the true GME spike is yet to come.

Prices are consolidating around $20 right now. That could be the base for its next spike …

Don’t risk your hard earned cash on a massive profit opportunity like this. We’re tracking these meme stocks LIVE every day. Follow the process that we use to profit:

>> Join The Next Trading Live Stream <<

Take notes from professionals like Jack Kellogg and myself.

Faraday Future Intelligent Electric Inc (NASDAQ: FFIE) — The 9,600%* Meme Stock Runner That Jack Nailed

My third Webull penny stock pick is Faraday Future Intelligent Electric Inc (NASDAQ: FFIE).

You don’t need to be a professional trader to profit off of these moves.

Jack is one of the best traders in our community. But there are A LOT of people profiting right now who aren’t as successful as Jack.

See one of my student’s posts on X that I reposted below. They traded another hot stock right now, Barnes & Noble Education Inc. (NYSE: BNED):

Jack’s success is something to strive for. But recognize that all of my students start from humble beginnings. And we take it one trade at a time …

FFIE is the biggest meme stock of 2024 thus far. In one week it spiked 9,600%.*

Here’s one of the trades that Jack made on FFIE, with a starting stake of $56,700:

Now, most small-account traders don’t have $50k to put toward a stock.

That’s OK.

FFIE never traded above $4 … You could start with $100 in your account. Heck, you could start with $10.

That’s the beauty of this niche: Massive percent gains are accessible for traders with small accounts.

Even for brand new traders, there are opportunities to profit!

Here’s how you can capitalize:

Thanks to the emergence of AI in 2023, I built an AI bot capable of following my trade process. It’s the same process all of my millionaire students and I use to profit.

The first week of the FFIE stock spike, my AI bot XGPT alerted four different profitable trade entries!

See the chart below, every candle represents one trading minute:

FFIE chart multi-day, 1-minute candles Source: StocksToTrade

>> Get the next AI stock pick <<

You don’t need to be an expert.

You just need to follow the rules.

MGO Global Inc (NASDAQ: MGOL) — The Earnings Meme Stock Winner

My fourth Webull penny stock pick is MGO Global Inc (NASDAQ: MGOL).

This market is perfect for small-account traders. It’s perfect for me and my students.

In case you weren’t convinced, I’ll keep dropping examples.

Take a look at the X post that I included below:

Ummmmm … 20% is not small, Ricardo, lol.

20% is huge!

Hedge fund managers would LOVE to make 20% on the year.

And my students and I are finding opportunities like this within a single day in the 2024 stock market.*

Let’s explore a follow-up opportunity on MGOL:

On May 21, the stock spiked 570%* before noon.

Most traders missed out … Unless they were watching the Breaking News system.

Take a look at the premarket alert we got for MGOL after the company announced filing its Form 10-Q for earnings. Every candle represents one trading minute:

MGOL chart intraday, 1-minute candles Source: StocksToTrade

And if my students missed the Breaking News alert, that afternoon the XGPT AI trading bot alerted a potential overnight swing trade.

The chart is below, every candle represents one trading minute:

MGOL chart multi-day, 1-minute candles Source: StocksToTrade

Whether it was from Breaking News or XGPT, my students had ample time to build a position on this intense runner.

The spike measured 730%* in less than two days.

Keep an eye on key support levels like $1.25. It could rally and push higher in this intense 2024 market.

Hims & Hers Health Inc (NYSE: HIMS) — The Breaking News Weight Loss Winner

My fifth Webull penny stock pick is Hims & Hers Health Inc (NYSE: HIMS).

On Monday, May 20, my students and I got a Breaking News alert stating Hims & Hers Health Inc. (NYSE: HIMS) announced consumer access to GLP-1 injections.

The injections help consumers self-administer medications for diabetes and weight loss. And the move reportedly decreases the overall cost for consumers.

As a direct result, prices spiked 35% that day. And my students were alerted right when the news came out.

Take a look at the chart below. Every candle represents one trading minute:

HIMS chart intraday, 1-minute candles Source: StocksToTrade

It’s possible that the stock pushes higher in the next few days …

I’ve seen advertisements for this company all-over social media. It’s a big name in the at-home-health-care sector.

But in the short term, I traded it for some sizable profits thanks to the Breaking news alert. You can see my trades below.

With a starting stake of $41,853:

With a starting stake of $73,800:

For the largest profit opportunities …

Use Breaking news to find these spikes early! And keep an eye on HIMS’ price action as traders continue to digest the company’s news.

What Is Webull?

Webull is an online broker that aims to help beginners jump right into trading or investing. Since it’s a mobile-first brokerage, Webull offers a robust mobile app that prioritizes ease of use.

Who Uses Webull?

Webull says it’s geared toward beginners, but I think it’s better for intermediate traders. While the app is very user-friendly, there aren’t a lot of educational resources, and the customer service is mediocre, which doesn’t help if new users run into trouble.

What Makes Webull Different

Webull is often compared to Robinhood because both brokerages are designed for new traders. However, Webull offers more advanced features like in-depth analysis tools, paper trading, and price alerts that also cater to intermediate or advanced traders.

I’ve written about Robinhood being too bare-bones for retail traders looking to get into penny stocks. Webull is somewhat better than Robinhood’s overly simplified platform, thanks to its more advanced features.

That doesn’t mean that you should avoid other platforms — my advice is to try as many as you can and find the one you like best! Check out my article on the top penny stocks to watch on Robinhood to get a broader idea of the trading battlefield. It will help you understand different markets and diversify your picks.

Check it out here: Top 8 Penny Stocks to Watch on Robinhood.

Benefits of Using Webull

So, what do you get when you use Webull? Here are some advantages of this platform for retail traders:

Appeals to Both Beginner and Intermediate Traders

While the learning resources might be a bit thin, I think Webull is still a good option for both beginner and intermediate traders, giving it a broader appeal than beginner-focused brokers like Robinhood.

Webull provides advanced features like technical indicators, advanced orders, and in-depth charting with a clean, intuitive, and user-friendly interface. This means intermediate traders can use them immediately, and beginner traders will have an easier time learning these tools.

Offers a Lower Barrier to Entry

Fractional shares aren’t the same thing as penny stocks. They don’t have the same risks or rewards — which is what small-account traders should be focused on.

But any time a broker has an additional offering, I consider it a plus, even if I don’t use it. The same goes for the small list of OTCs that Webull started trading in 2022.

Provides Competitive Fees and Rates

In these days of no commission trading, it’s easy to overlook the fees that brokers do charge. Webull allows traders to short, which is a minefield for these sneaky charges… But the 6.99% margin rate that most small-account traders will pay through the broker is quite reasonable.

Webull doesn’t charge commission fees on stock trades, like most brokers. One small difference between Webull and other brokers is that it doesn’t charge for options trades… Most brokers charge around $0.65.

Potential Drawbacks of the Platform

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No stock broker is perfect, and Webull is no exception. Here are some drawbacks to consider before choosing the platform:

Limited Access to the Penny Stock Market

In June 2022, Webull changed its longtime policy and started to allow OTC stock trading on a very limited basis. This is a move away from similar major exchange-only brokers like Robinhood, but still only allows access to a small portion of the penny stock market.

You’re limited to just 200 of the most valuable OTC companies, all of which have a $5 billion or greater market cap. That means that most of these stocks aren’t penny stocks.

Complicated Penny Stock Trade Requirements

Since Webull’s OTC selection isn’t penny stock heavy, most penny stocks on Webull are on major exchanges. NYSE and Nasdaq both require the stocks they list to be over $1 per share — or risk being delisted — so we already know that the number of sketchy penny stocks on Webull is going to be limited.

Add in the penny stock buying requirements that we’ll cover below, and Webull complicates penny stock trading more than your average broker.

No StocksToTrade Integration

If you use StocksToTrade like me, you’ll want to integrate it with your broker and simplify your stock buying process. Unfortunately, Webull doesn’t offer StocksToTrade integration yet.

Penny Stocks on Webull Under $1

Most OTC stocks on Webull aren’t penny stocks, which cuts down on the majority of sub-$1 penny stocks. Due to the major exchanges’ listing requirements, most sub-$1 penny stocks on Webull are from companies in danger of being delisted.

Additionally, there are strict and complicated requirements for sub-$1 penny stock transactions:

You can’t buy sub-penny stocks at all.
You must buy at least 1,000 shares of stocks priced between $0.01 and $0.099.
You must buy at least 100 shares of stocks priced between $0.10 and $0.99.

If you don’t want to fulfill these transaction minimums, there are no such requirements on penny stocks priced at $1 or more. And the minimums aren’t hard to hit — they start at $10 per order.

Why Buy Penny Stocks on Webull

Webull has many restrictions on penny stock trades, so why use this broker? I don’t discourage you from using Webull — it still has pretty good margin rates and the tools are powerful enough for some intermediate traders. You want the broker that works best with your trading style, whatever it is.

However, if you want to use StocksToTrade as your trading platform, you’ll need to look for another broker.

Want to try trading penny stocks with StocksToTrade? Sign up for a 14-day trial now and experience all of its features — only $7!

How to Buy Penny Stocks on Webull

Buying penny stocks on Webull is easy. Follow these steps to make your first purchase:

Open Webull and log into your account.
Use the search bar to find the penny stock you’re interested in.
Click on the stock to view its details and recent performance.
Tap ‘Trade’ to open the order screen.
Enter the number of shares you wish to buy and set your order type (e.g., market order or limit order).
Review your order and tap ‘Buy’ to execute the trade.

Understanding asset volatility and risk management is crucial when trading penny stocks. Due to their low prices, penny stocks are more susceptible to significant price swings, which can lead to big gains AND losses in a short period.

Risk management strategies, such as setting stop-loss orders, can help protect your investments.

Can You Trade Penny Stocks on Webull?

Yes, you can trade penny stocks on Webull. The platform allows trading of these low-priced securities, providing traders with access to a wide range of penny stocks.

It’s important to be aware of specific restrictions and requirements Webull imposes for trading penny stocks. These are some important ones:

Liquidity: Penny stocks often have low liquidity, leading to potential difficulties in buying or selling large quantities.
Market Data: Real-time market data is essential for trading penny stocks effectively, which may require a subscription.
Market Reach: Webull limits the OTC stocks you can trade through its platform, which will eliminate some opportunities.

How to Trade Penny Stocks on Webull

Trading penny stocks on Webull involves using various account types and utilizing the platform’s tools to make informed decisions. Both cash and margin accounts can be used, depending on your trading strategy and risk tolerance.

Tools and features useful for penny stock traders:

Advanced Charting: Analyze stock performance with detailed charts and technical indicators.
Real-Time Quotes: Access real-time market data for accurate trading decisions.
Paper Trading: Practice trading without risking real money.
Watchlists: Create and monitor watchlists to keep track of potential trades.
Alerts: Set price alerts to stay updated on market movements.

Set Up and Fund Your Webull Account

Setting up a Webull account is a straightforward process that can be completed in a few steps:

Download the Webull app or visit the Webull website.
Click on ‘Sign Up’ and complete the registration form.
Verify your email and phone number.
Provide necessary personal information and complete the identity verification process.
Submit your application and wait for approval.

Once your account is set up, you can fund it through various options, including bank transfers, ACH deposits, and wire transfers. The processing time for these methods varies, with bank transfers typically taking 1-3 business days and wire transfers being faster but potentially incurring fees.

Understand Penny Stocks on Webull

Webull penny stocks are typically defined as stocks trading for less than $5 per share, but this isn’t a technical definition. These stocks are often associated with smaller companies and can be found on major exchanges or over-the-counter markets.

Risks and potential rewards:

High Volatility: Significant price swings can lead to rapid gains or losses.
Low Liquidity: Difficulty in buying or selling large positions.
Market Manipulation: Susceptible to pumps from promoters and enthusiastic newbies.
Growth Potential: Potential for substantial returns if the company performs well.

Research and Select Penny Stocks

Effective research is crucial for selecting penny stocks on Webull. Utilize Webull’s tools and external resources to make informed decisions.

Strategies for researching penny stocks:

Use Webull’s advanced charting tools to analyze trends and patterns.
Check company financials and news for recent developments.
Read analyst reports and opinions to gauge market sentiment.
Monitor trading volumes and liquidity.

Due diligence involves looking at key financial metrics such as earnings per share (EPS), revenue growth, and debt levels. Thorough research helps in identifying stocks with strong fundamentals and growth potential.

Trade Penny Stocks

Placing a penny stock trade on Webull involves the following steps:

Log into your Webull account.
Search for the penny stock you want to trade.
Tap on the stock to open its details page.
Click on ‘Trade’ and enter the number of shares.
Choose your order type (market, limit, etc.).
Review your order and submit it.

Tips for effective trading:

Use limit orders to control the purchase price.
Avoid market orders in low-liquidity stocks to prevent slippage.
Monitor market trends and news for timing trades.

Monitor Your Trades

Monitoring your penny stock trades on Webull is essential for managing your portfolio effectively.

Webull’s monitoring tools:

Set price alerts to receive notifications on stock movements.
Use watchlists to keep track of multiple stocks simultaneously.
Review performance metrics and trade history regularly.

Adjust your strategies based on market movements. If a stock is performing well, consider taking profits. If it’s underperforming, evaluate whether to hold or cut losses.

Consider Trading Strategies

It all comes down to your strategy. Here are some popular ones.

Scalping: Profiting from small price changes.
Swing Trading: Holding stocks for a few days to capitalize on short-term trends.
Momentum Trading: Riding the wave of strong price movements.

Adapting strategies based on market conditions and individual risk tolerance is crucial. This flexibility helps in navigating the volatile nature of penny stocks and maximizing returns.

Penny stocks are DANGEROUS if you don’t have a well-honed strategy. There are some specific steps I follow to find the stocks I want to target and build trading plans around. For the full guide, visit my article on How to Find Penny Stocks Pre-Spike.

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Watch this video on YouTube

Webull Fees for Trading Penny Stocks

Webull offers commission-free trading for penny stocks, but there are other fees to be aware of.

Specific fees:

SEC Fees: Charged on the sale of securities.
FINRA Fees: Regulatory fees on each sale.
Margin Fees: Applicable if trading on margin.

Compared to industry standards, Webull’s fees are competitive, making it an attractive platform for penny stock traders. However, it’s essential to review all potential costs to manage your investments effectively.

What’s on YOUR Webull penny stock watchlist? Share your picks in the comments!

Top Penny Stocks on Webull FAQs

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What are the best penny stocks on Webull?

You can find my list of the best penny stocks on Webull above. Want more penny stock picks from me? Subscribe to my NO-COST weekly watchlist! You’ll receive my weekly penny stock picks so you can learn the process I follow when researching them.

As always, don’t blindly copy my list of penny stock picks — build your own. Do the research, create your own watchlists, and react to the penny stock market instead of predicting what will happen.

What are the cheapest stocks you can buy on Webull?

My list above contains some of the cheapest stocks you can buy on Webull. Since Webull doesn’t give you access to the cheapest OTC stocks, you’re left with the cheapest stocks on major exchanges — some of which are in danger of being delisted.

When a stock is delisted and Webull doesn’t add it to its OTC list, you can only sell your shares.

How do I make money on Webull?

You can make money trading penny stocks on Webull just like you can with any other broker. How you trade is the most important part — craft a good trading plan, outline your goals and risks, create a penny stock watchlist, and make sure your executions are precise.

What are some tips for investors managing market volatility?

Investors usually diversify their portfolios to spread risk across various sectors and asset classes, from stocks to ETFs to other investment products. Effective cash management and setting strict investment limits can help mitigate potential losses during periods of market volatility. Consulting with a financial advisor can also provide personalized strategies to navigate market fluctuations.

My students and I are traders. The way we mitigate risk is by CUTTING OUR LOSSES QUICKLY.

How can clients of an investment hub improve their trading performance?

Members can leverage the educational resources and market data rights and services to enhance their trading strategies. Participating in community discussions and following expert recommendations can provide insights into market trends and opportunities. Regularly reviewing and adjusting strategies based on market factors and personal performance results can lead to better trading outcomes.

Penny Stocks News

​​5 Top Penny Stocks to Buy on Webull