Over the last 7 days, the market has remained flat, but it is up 24% over the past year, with earnings expected to grow by 19% per annum over the next few years. For investors willing to explore beyond well-known stocks, penny stocks — often representing smaller or newer companies — can present intriguing opportunities. Despite being a somewhat outdated term, penny stocks remain a relevant investment area for those seeking potential growth and financial resilience in lesser-known companies.

Below we spotlight a couple of our favorites from our exclusive screener.

Oramed Pharmaceuticals (ORMP)

Simply Wall St Financial Health Rating: ★★★★★★

Overview: Oramed Pharmaceuticals Inc. focuses on the research and development of pharmaceutical solutions using a technology platform for the oral delivery of therapeutic proteins, with a market cap of approximately $158.38 million.

Operations: Oramed Pharmaceuticals Inc. does not report any revenue segments.

Market Cap: $158.38M

Oramed Pharmaceuticals Inc., with a market cap of approximately US$158.38 million, has transitioned to profitability, reporting a net income of US$38.31 million in Q1 2026 compared to a loss the previous year. Despite being pre-revenue with less than US$1 million in sales, the company boasts an outstanding return on equity at 46.2% and maintains no debt, ensuring financial stability with short-term assets exceeding liabilities significantly. The experienced management team and board contribute to its robust governance structure, although recent delays in SEC filings could signal potential administrative challenges ahead for investors to consider.

AC Immune (ACIU)

Simply Wall St Financial Health Rating: ★★★★☆☆

Overview: AC Immune SA is a clinical stage biopharmaceutical company focused on discovering, designing, and developing medicines and diagnostic products for neurodegenerative diseases related to protein misfolding, with a market cap of $229.15 million.

Operations: The company's revenue is primarily generated from its activities in discovering and developing therapeutic and diagnostic products, amounting to CHF 3.70 million.

Market Cap: $229.15M

AC Immune, with a market cap of $229.15 million, remains pre-revenue but has shown progress in reducing losses by 5.6% annually over five years. Its promising developments include new data from a Phase 1 trial of its TDP-43 PET tracer ACI-19626, showing increased uptake in ALS patients' brains, and the ongoing ABATE trial for Alzheimer’s disease treatment. Despite recent executive changes and insider selling, AC Immune is debt-free with sufficient cash runway for over a year and has strategic alliances like the amended agreement with Eli Lilly to advance Tau aggregation inhibitors for neurodegenerative diseases.

Expensify (EXFY)

Simply Wall St Financial Health Rating: ★★★★★★

Overview: Expensify, Inc. offers a cloud-based expense management software platform serving both the United States and international markets, with a market cap of $121.51 million.

Operations: Expensify generates revenue from its Internet Software & Services segment, totaling $140 million.

Market Cap: $121.51M

Expensify, Inc., with a market cap of US$121.51 million, is navigating challenges typical of penny stocks, such as recent Nasdaq listing compliance issues due to its stock price falling below US$1.00. Despite being unprofitable, Expensify maintains a robust cash position with short-term assets exceeding liabilities and no debt burden. Recent strategic partnerships enhance its global reach and capabilities in expense management and payroll integration across multiple countries. The introduction of the Expensify MCP leverages AI for improved data interaction, while ongoing share buybacks indicate efforts to stabilize stock performance amidst financial volatility.

Taking Advantage

• Jump into our full catalog of 331 US Penny Stocks here.
• Seeking Other Investments? The end of cancer? These 33 emerging AI stocks are developing tech that will allow early idenification of life changing disesaes like cancer and Alzheimer's.

This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.