Our research team has uncovered 10 hot Australian penny stocks to watch that could provide up to 1000% gains in the near future.
We look for companies that have a solid foundation, low debt, revenue, and a large potential for future sales growth.
Here's are our short list of Australian penny stock companies to watch & buy:
St. Barbara Ltd (SBM.AX)
The Australian company engages in gold mining and exploration. The most profitable mine, Simberi, is located in Papa New Guinea and has produced over 100,000 ounces of gold so far.
With an expected increase in the price of gold in the near future due to global financial unrest, I expect St. Barbara Ltd to perform much better in the long run.
Focus Minerals Ltd. (FML.AX)
Here's another gold exploration company based in Western Australia that can profit from the expected rise in gold price. The company trades at less than $1 and has 2 major gold projects in the pipeline.
Capral Ltd (CAA.AX)
The company produces aluminum products for several uses including residental homes and projects.
It's been a struggling stock for some time but the volume is currently much higher and selling at a rock bottom price under 20 cents. With 870 employees, I think this company is grossly undervalued compared to its steady net profit margin (3%) and return on equity (around 12%).
All three of these companies trade on the Australian stock exchange and are experiencing higher than normal trading volume. I always look for real companies with real products that experience higher buyer volume with the potential for substantial short term gains.
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