The last few weeks have been hard for investors in NASDAQ stocks. There has been a shortage of big runners. If there was a runner, it was one and done. We haven't been getting the multi-day runners that we were used to. Small cap stocks topped out in February and it's been a choppy market ever since.However, we are starting to see opportunities and it's time investors start putting more cash to work. We've been telling subscribers and viewers on our YouTube channel that booking profits along the way is critically important. We've also been discussing the recent bear market and the importance of scaling into positions.[embed]https://www.youtube.com/watch?v=nEUtojG67UU[/embed]Investors in small cap stocks need to be more selective. Whereas before every stock was running, now investors have to do more research and screening. As I discussed in my January article on how to find the next Gamestop, screening for NASDAQ stocks on Finviz removes a lot of the guesswork for investors.
THE RISE OF THE RETAIL INVESTOR
The COVID-19 pandemic has created a new breed of investor. With folks stuck at home and sitting on cash, many have opened free accounts at Robinhood and Webull which both offer free stocks to those who join. With Webull, you must deposit $100 to get 4 free stocks, which you can do so here.This new breed of investors is focused on the social aspects of investing. Investors are posting their thoughts and positions on Reddit, Stocktwits, Twitter, and in many Discord chat rooms. This has contributed to the herd mentality and the ability to push stock prices in either direction. Reddit’s wallstreetbets now has 10 million followers. If each follower bought $100 of GameStop, that’s $1 billion in dollar volume. Make it $1000 and that’s $10 billion.This is the wisdom of crowds and why it doesn’t pay to bet against these folks. This is why Melvin Capital needed a $2.75 billion cash injection after getting squeezed on its GameStop short position. Finally, the little guy can take on Wall Street and the so-called “smart money” crowd.[embed]https://www.youtube.com/watch?v=p4UzuNbTcwM[/embed]
NASDAQ Stocks Starting To Move
We are starting to see bounces across the board, mainly in SPACs that got hit recently. We are also seeing the shorts starting to increase their bearish bets. This is creating many opportunities for patient investors.The key to trading NASDAQ stocks is finding the momentum BEFORE it happens and then be patient. Now, when we say that we find momentum BEFORE it happens, we are investors looking to position our subscribers BEFORE the move happens.Getting in before the crowd is so important. We don't believe in chasing stocks like the majority of day traders do. This is when the intraday action can chew an investor up and make them lose money.We got our subscribers in early on MicroVison (NASDAQ: MVIS) at $1.25, which you can read here, and OCGN at $2.77, which you can read here.We always alert our subscribers first before we publish for our regular readers. This is the value of having a subscription to Insider Financial, which you can sign up for here. We alert our subscribers with our best ideas before our regular readers.
NASDAQ Stocks Set To Run
In this article, we take a look at Naked Brand Group (NASDAQ: NAKD), RiceBran Technologies (NASDAQ: RIBT), Sundial Growers (NASDAQ: SNDL), and Vaxart (NASDAQ: VXRT).NAKD and SNDL are 2 NASDAQ stocks we like because they both trade under $1. Patient investors can take a position and wait for the company to issue PRs to boost their share price to comply with NASDAQ listing requirements. We can easily see a 100% one-day move just like we got with RIBT by following this strategy.NAKD, SNDL, and VXRT all have high short interest and we could see a GameStop type squeeze in either one. Again, knowing this allows an investor to be positioned before the big move happens.It's all about finding the momentum BEFORE it happens!!
NASDAQ Stocks #1 NAKD
We told our subscribers about NAKD back in January when it was trading under $.50 a share, which you can read here. As you can see, NAKD ran to $3.40 in just two sessions! NASDAQ Stocks #1 NAKDNAKD is set to run as 9% of the float is short and the company embarks on a turnaround.Last week, NAKD announced the proposed divestiture of its Bendon brick-and-mortar operations and simultaneously close the transaction on or about Friday, April 30, 2021.On January 21, 2021, Naked Brands Group Limited announced its plans to undertake a transformative restructure in which it will dispose of its unprofitable bricks-and-mortar operations in order to focus exclusively on the planned rapid acceleration of its e-commerce business.The company is now free to focus its development efforts on the Frederick's of Hollywood online business, as well as strategic acquisitions in the e-commerce space.
"With available cash of $270M, a clean balance sheet with no debt and a re-invigorated management team and board of directors, I could not be more excited to execute on our business strategy to ultimately drive revenue growth with positive free cash flow. Our Frederick's of Hollywood e-commerce business continues to perform, and we are currently evaluating several synergistic acquisition targets that could position Naked as a strong player in intimate apparel." said Justin Davis-Rice, CEO.
It's only a matter of time before we got another major short squeeze in NAKD.
NASDAQ Stocks #2 RIBT
RIBT is hosting a conference call on Wednesday, April 28th at 4:30 p.m. EST to discuss the Company's financial results for the first quarter ended March 31, 2021. NASDAQ Stocks #2 RIBTRIBT is involved in the production and marketing of value-added products derived from rice bran as well as a producer of rice, rice co-product, and barley and oat products. The target markets include food and animal nutrition manufacturers and retailers, as well as specialty food, functional food, and nutritional supplement manufacturers and retailers.There are also rumors of a possible buyout from General Mills (NYSE: GIS).We will be on the RIBT call for our subscribers!!
NASDAQ Stocks #3 SNDL
We said in January that there was a lot more room for SNDL to run. Shares were trading at just $.64 at the time. Subscribers that were patient saw gains of as much as 518% in less than 2 weeks!! NASDAQ Stocks #3 SNDLSNDL has sold off along with the entire cannabis sector. However, we see SNDL as gearing up to make another run because of the following 4 reasons.
- SNDL has an $800 million shelf with Canaccord Genuity and ATB Capital Markets that it can raise $800 million.
- SNDL is looking at M&A in the U.S.
- SNDL has NO debt.
- 11% of the float is short.
Either SNDL buys another company or gets bought out by another major, we don't see SNDL remaining under $1 for much longer. SNDL is a discount entry opportunity at today's prices.
NASDAQ Stocks #4 VXRT
We told our subscribers about VXRT back in January before its spike to $24.90, which you can read here. NASDAQ Stocks #4 VXRTVXRT is the ONLY company in Operation Warp Speed with an oral, room-temperature-stable tablet. An oral vaccine that can be distributed anywhere would be a game-changer in the global battle against COVID-19.The company just announced an upcoming webinar scheduled for May 3. At the event, the company expects to release new Phase 1 data supporting the efficacy of its COVID-19 vaccine VXA-CoV2-1.What we like most about Vaxart is its market cap of $1 billion and 22% of the float is short. The shorts are betting $220 million that VXRT doesn't have the goods. We think the shorts are about to get royally f#*ked.We will be on the May 3rd webinar and updating our subscribers after!!
BOTTOM LINE
We nailed the last moves on NAKD, SNFL, and VXRT. We like the current setups in all 3 and think they are likely to reward patient investors again.As we keep saying, there are always opportunities in the markets and it’s our job to find winning stocks for our subscribers. Huge gains can be made in such a short amount of time.If you like any of these 4 NASDAQ stocks, our best advice is to be patient and throw bids in below the market. Buying dips and selling rips as swing trades remains the best strategy.It’s also important to look for penny stocks that have yet to run. There are plenty of opportunities out there and we look at hundreds of penny stocks each week trying to find the best alerts for our subscribers.Remember, all it takes is one or two to become a winner and you’ve crushed the market indices for the year.As always, good luck to all (except the shorts)!
WHEN INSIDER FINANCIAL HAS A STOCK ALERT, IT CAN PAY TO LISTEN. AFTER ALL, OUR FREE NEWSLETTER HAS FOUND MANY TRIPLE-DIGIT WINNERS FOR OUR SUBSCRIBERS. WE SPECIALIZE IN FINDING MOMENTUM BEFORE IT HAPPENS!
Disclosure: We have no position in any of the securities mentioned. We wrote this article ourselves and it expresses our own opinions. We are not receiving compensation for it. We have no business relationship with any company whose stock is mentioned in this article. Insider Financial is not an investment advisor and does not provide investment advice. Always do your own research and make your own investment decisions. This article is not a solicitation or recommendation to buy, sell, or hold securities. This article is meant for informational and educational purposes only and does not provide investment advice.Image by Gerd Altmann from Pixabay
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