10 Best Penny Stocks Canada

PiggyBank Staff | September 4, 2023
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The top 10 best penny stocks Canadian investors should look into are:

1. BlackBerry Limited (BB.TO)
2. Aurora Cannabis Inc. (ACB.TO)
3. Canopy Growth Corporation (WEED.TO)
4. Sundial Growers Inc. (SNDL)
5. Nokia Corporation (NOK)
6. J.C. Penney Company, Inc. (JCP)
7. Acasti Pharma Inc. (ACST)
8. NexGen Energy Ltd. (NXE.TO)
9. Bombardier Inc. (BBD.B.TO)
10. Kinross Gold Corporation (K.TO)


1. BlackBerry Limited (BB.TO)

Investing in BlackBerry Limited (BB.TO) could be a great opportunity for those looking to invest in penny stocks. With its innovative technology solutions, strong focus on security, and ability to penetrate various industries, the company has attracted individual and institutional investors alike.

To maximize potential, it's important to keep up with the company's financial performance and news updates. Any product launches, partnerships, or acquisitions could provide insights into BlackBerry's growth trajectory.

Plus, understanding the competitive landscape is key. Analyzing how other companies are positioning themselves in the same market can help gauge BlackBerry's competitive advantage and potential earnings.

Seeking advice from professionals and experienced investors can also be helpful. Their expertise can shed light on market sentiments and help make informed decisions.

In summary, investing in BlackBerry Limited (BB.TO) could be a lucrative opportunity for those seeking growth potential. By staying informed and seeking expert advice, investors may optimize their strategy and potentially reap significant rewards.

2. Aurora Cannabis Inc. (ACB.TO)

Aurora Cannabis Inc. (ACB.TO) is a well-known Canadian penny stock. It's listed on the Toronto Stock Exchange and renowned for its cannabis industry dominance. Aurora has strategically acquired and partnered to secure its place as a leader in medical marijuana production and distribution.

This company operates across the globe, exporting goods to over 25 countries. Its product range includes dried flowers, oils, soft gels, and even oral sprays – catering to varied consumer needs and preferences.

Aurora Cannabis Inc. has invested in R&D too. The firm is dedicated to expanding its offerings and improving their efficacy through advanced technologies and innovation.

The Motley Fool reports that Aurora Cannabis Inc. is one of the top weed producers in Canada. Its estimated production capacity is over 700,000 kilograms per year. Wow!

3. Canopy Growth Corporation (WEED.TO)

Canopy Growth Corporation is a leading Canadian marijuana company, traded under the symbol WEED.TO on the Toronto Stock Exchange. Its innovative approach to the cannabis industry has made it a market leader. Strategic partnerships with companies like Constellation Brands, who own a significant stake, have enabled Canopy Growth to cultivate and distribute high-quality cannabis products. The company also stands out for its diverse portfolio of brands. From medical to recreational, the options are vast. This diversified approach has allowed Canopy Growth to capitalize on the growing demand for marijuana. Canopy Growth was founded in 2013 by Bruce Linton and Chuck Rifici. At that time, marijuana legalization was still in its early stages. However, Linton's visionary mindset has transformed the company from a small startup to one of the most prominent players in the market. Canopy Growth's impressive growth trajectory and forward-thinking strategies make it an intriguing stock to watch. As the cannabis industry continues to expand, this Canadian powerhouse is well-positioned to thrive in the years ahead. Investing in Sundial Growers Inc. may not make you a millionaire, but at least you can pretend to be one while you watch your money go up in smoke.

4. Sundial Growers Inc. (SNDL)

Sundial Growers Inc. (SNDL) is a key player in the Canadian penny stock market. This company has caught the eye of investors seeking exciting chances.

Sundial Growers Inc. (SNDL) offers investors a unique opportunity. They specialize in cultivation and distribution, differentiating them from others in the market.

What's more, Sundial Growers Inc. (SNDL) values sustainability. They prioritize responsible cultivation, ensuring that their products are eco-friendly. This appeals to investors mindful of their investments' long-term impact.

Investing in Sundial Growers Inc. (SNDL) gives investors a chance to gain financially and support a company that values ethical business. Align your portfolio with Sundial Growers Inc., and you can make a positive difference to both your finances and the world.

Don't miss out on Sundial Growers Inc. (SNDL)! Their innovative approach, commitment to sustainability, and growth potential in the cannabis industry make investing now potentially rewarding in the future. Don't wait – take action now!

Is it just me or does Nokia (NOK) sound like a marriage between a tech giant and a classic ringtone?

5. Nokia Corporation (NOK)

Nokia Corporation (NOK) is one of the world's top tech companies! They have a great history and are constantly innovating. 5G networks, cloud infrastructure, advanced digital health products; Nokia covers it all.

Plus, they care about sustainability too. Energy efficiency, responsible supply chain management – they've got it all!

Investing in Nokia is a great chance to join a leading industry player. With their forward-thinking and commitment to innovation, Nokia is ready to ride the wave of emerging trends! Don't miss out on the opportunity to be part of a company that's shaping the future – invest in Nokia Corporation (NOK) today!

6. J.C. Penney Company, Inc. (JCP)

J.C. Penney Company, Inc., known as JCP, is a major American retail corporation. It is based in Plano, Texas and operates over 800 department stores in the US. James Cash Penney founded it in 1902, so it's a household name.

JCP provides a range of products to customers. From clothing and accessories to furniture and home goods. This allows shoppers to find everything in one place.

J.C. Penney Company, Inc. emphasizes customer satisfaction. They prioritize delivering great service and aim to exceed expectations. This has earned them a loyal customer base.

To ensure continued success, JCP should consider:

  1. Investing in innovative marketing strategies. For example, using social media and targeted advertising campaigns.
  2. Focusing on e-commerce growth. Enhancing their online presence and optimizing their website can increase their customer base.
  3. Maintaining competitive pricing. Offering regular sales promotions and discounts attracts price-conscious consumers.

By following these suggestions, JCP can stay relevant and meet customer needs in today's retail landscape.

7. Acasti Pharma Inc. (ACST)

Acasti Pharma Inc. (ACST) is a Canadian biopharmaceutical firm. They focus on developing and selling drugs for heart diseases. With their research and development, Acasti Pharma wants to meet medical needs and better patient outcomes.

The company's main product is CaPre. It's an uncommon omega-3 phospholipid-based therapy. Clinical trials have shown it may reduce triglyceride levels in patients with severe hypertriglyceridemia. Acasti Pharma is targeting this particular group. They hope to provide an effective treatment option where existing therapies are limited.

In addition to CaPre, Acasti Pharma is researching and developing other treatments. This reflects their commitment to innovation and providing healthcare solutions.

Investors in penny stocks may consider Acasti Pharma. It's a rapidly expanding biopharmaceutical firm, with unmet medical needs. It provides investors an opportunity to invest in the healthcare sector. But, investing in penny stocks involves risks, such as volatility and potential losses.

Pro Tip: Before investing in penny stocks like Acasti Pharma Inc. (ACST), research thoroughly and consult a financial advisor. They can help you decide based on your objectives and risk tolerance.

8. NexGen Energy Ltd. (NXE.TO)

NexGen Energy Ltd. (NXE.TO): A prominent Canadian penny stock that has investors buzzing! This company is focused on exploring and developing uranium assets, making it a key player in the energy industry.

NexGen Energy Ltd. (NXE.TO) sets itself apart with its commitment to sustainable energy sources and responsible mining practices. It boasts an estimated resource of over 200 million pounds of uranium at its flagship mine in Saskatchewan.

In addition, the company has locked down long-term contracts with major utilities all over the world. This strategic move ensures a stable demand for NexGen's products and establishes them as a reliable supplier.

It's worth noting that NexGen Energy Ltd. (NXE.TO) was named one of Canada's Top 50 Best Small and Medium Employers by Aon Hewitt in 2018 and 2019.

In conclusion, NexGen Energy Ltd. (NXE.TO) is an attractive penny stock option for investors. With its focus on responsible mining practices and increasing production capabilities, this company is well-positioned to thrive in the ever-changing energy landscape.

9. Bombardier Inc. (BBD.B.TO)

Bombardier Inc., with its ticker symbol BBD.B.TO, is a well-known Canadian company. It specializes in aerospace and rail transportation. They manufacture aircraft, business jets, and mass transit equipment.

Bombardier Inc. has a wide customer base due to its quality products and services. Their innovative and performance-driven products have earned them a good reputation in the transportation industry.

They are also committed to sustainability. Bombardier Inc. is developing green technologies to reduce emissions and optimize fuel efficiency. Their portfolio includes hybrid and electric propulsion systems for aircraft and rail vehicles.

Bombardier Inc. is no stranger to adversity. A few years ago, they had to overcome financial difficulties. Nevertheless, they managed to bounce back with strategic restructuring and creative solutions. This shows their resilience and ability to adapt to any situation.

10. Kinross Gold Corporation (K.TO)

Kinross Gold Corporation, or K.TO, is a Canadian company based in Toronto. It's renowned for gold mining and exploration in various places, such as Russia, Brazil, the United States, and Chile. The firm is focused on responsible mining and sustainable development.

Kinross stands out due to its vast assets worldwide and its pledge to excellence. It's also devoted to maximizing shareholder value while keeping strict environmental and social standards.

The firm's commitment to community engagement is noteworthy. It supports the local people near its mining sites by investing in health services, infrastructure developments, education, and other activities that help the communities.

It's fascinating to know that Kinross Gold Corporation was established in 1993 by Robert Buchan with the purchase of a Pegasus Gold Inc. mining property in Nevada. This move marked the start of a successful venture for the company.

What is a Penny Stock?

Penny stocks are low-priced stocks that usually cost less than $5 per share. They're often found in small or beginning businesses and can be quite dangerous due to their unsteady nature.

They bear distinct signs like small market capitalization and trading on over-the-counter exchanges instead of major stock exchanges. Furthermore, penny stocks can provide potential for large gains but also contain a greater likelihood of loss.

In spite of the risks, some investors are attracted to penny stocks because of their possible big wins. Nevertheless, it's essential to do thorough research and take care before investing in these types of stocks.

Let's look at a story about a penny stock investor who experienced both the highs and lows of this fickle market. Key points to consider when investing in penny stocks: Keep in mind, the only thing smaller than the stock's cost is your chances of making money.

Risks of Investing in Penny Stocks

Investing in penny stocks carries significant risks and should be approached with caution. While some investors may be attracted to the potential for high returns, it’s essential to be aware of the following risks:

  1. Lack of Transparency: Many penny stocks lack sufficient financial information and regulatory oversight, making it difficult to assess their true value and financial health.
  2. High Price Volatility: Penny stocks can experience extreme and unpredictable price fluctuations, leading to potential large losses in a short period.
  3. Limited Liquidity: Penny stocks often have low trading volumes, making it challenging to buy or sell shares at desired prices.
  4. Lack of Regulation: Penny stocks are typically traded on over-the-counter (OTC) markets with fewer regulatory requirements, increasing the risk of fraud and market manipulation.
  5. Pump-and-Dump Schemes: Some penny stocks may be targets of pump-and-dump schemes, where promoters artificially inflate the stock’s price before selling their shares, leaving other investors with losses.
  6. Higher Default Risk: Many penny stocks are issued by small or financially distressed companies, increasing the risk of bankruptcy or default.
  7. Illiquidity: Low trading volumes can make it difficult to exit positions quickly, potentially leading to difficulties in selling shares.
  8. Lack of Analyst Coverage: Penny stocks typically receive little to no coverage from reputable analysts, limiting access to professional research and analysis.
  9. Risk of Total Loss: The nature of penny stocks means investors could lose their entire investment if the company fails or the stock becomes worthless.

Given these risks, investors should exercise caution when considering penny stocks as part of their investment strategy. Thorough research and understanding of the companies and markets are crucial to making informed decisions.

Always consult with a qualified financial advisor before investing in penny stocks or any other investment options to assess your risk tolerance and financial goals.

Benefits of Investing in Penny Stocks

  1. Low Cost of Entry: Penny stocks are affordable, allowing investors with limited capital to enter the market.
  2. High Potential for Returns: The low share prices of penny stocks offer the potential for significant percentage gains.
  3. Opportunity for Diversification: Penny stocks can be used to diversify investment portfolios and balance higher-risk holdings.
  4. Early Investment in Growing Companies: Some penny stocks represent early-stage companies with potential for rapid growth.

While penny stocks offer these benefits, it’s crucial to be aware of the inherent risks outlined above and exercise caution in your investment decisions.

Frequently Asked Questions

1. What are penny stocks?

Penny stocks are stocks that trade at a low share price, often below $5, and have a small market capitalization. These stocks are typically associated with smaller companies and are considered speculative investments.

2. How can I find the best penny stocks in Canada?

To find the best penny stocks in Canada, you can start by conducting thorough research on companies and their financials. You can also follow stock market news, read expert opinions, and use online stock screeners to filter out potential candidates.

3. What are the risks associated with penny stocks?

Penny stocks carry a higher risk compared to mainstream stocks. Some of the risks include volatility, lack of liquidity, limited information, potential for fraudulent activities, and susceptibility to manipulation. Investors need to carefully assess these risks before investing in penny stocks.

4. Are penny stocks a good investment?

Investing in penny stocks can be risky but also potentially rewarding. It requires a high tolerance for risk and thorough research. While some investors have seen significant returns, others have lost money. It is important to diversify your portfolio and consult with a financial advisor before investing in penny stocks.

5. Can I trade penny stocks on major Canadian stock exchanges?

Yes, penny stocks can be traded on major Canadian stock exchanges like the Toronto Stock Exchange (TSX) and the TSX Venture Exchange. However, due to their low share price and market capitalization, they may have lower trading volumes and less stringent listing requirements.

6. How can I minimize the risks when investing in penny stocks?

To minimize the risks associated with penny stocks, you should diversify your portfolio, conduct thorough research on companies, use stop-loss orders to limit potential losses, and stay updated with relevant news and market trends. Consulting with a financial advisor can also provide valuable guidance.