Over the last 7 days, the United States market has dropped by 3.3%, but it remains up 22% over the past year with earnings forecasted to grow annually by 17%. Investing in penny stocks — a term that may seem outdated but remains relevant — can offer unique growth opportunities, particularly in smaller or newer companies. When these stocks are supported by strong financial health, they can defy expectations and provide potential for impressive returns.

Let's explore several standout options from the results in the screener.

eXp World Holdings (AGNT)

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

Overview: eXp World Holdings, Inc. operates as a cloud-based real estate brokerage service for residential homeowners and homebuyers, with a market cap of $777.25 million.

Operations: The company generates revenue primarily from North American Realty services, contributing $4.67 billion, and International Realty operations, which add $155.43 million, along with $2.91 million from Other Affiliated Services.

Market Cap: $777.25M

eXp World Holdings, Inc. is navigating a challenging landscape with its recent involvement in legal proceedings, including the Batton and Tuccori actions. Despite these hurdles, the company reported first-quarter 2026 sales of US$1 billion, up from US$954.91 million a year prior, while reducing its net loss to US$5.1 million from US$11.02 million last year. The firm anticipates second-quarter revenues between US$1.36 billion and US$1.45 billion and declared a cash dividend of $0.05 per share for Q2 2026, reflecting its commitment to shareholder returns amidst ongoing financial recovery efforts.

Gaia (GAIA)

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

Overview: Gaia, Inc. operates a digital video subscription service and online community targeting an underserved member base in the United States, Canada, Australia, and internationally with a market cap of $59.74 million.

Operations: The company generates $99.43 million in revenue through its digital video subscription service and online community.

Market Cap: $59.74M

Gaia, Inc. recently reported Q1 2026 sales of US$24.31 million, a slight increase from the previous year, though it remains unprofitable with a net loss of US$1.26 million. The company's debt to equity ratio has improved over five years, and it holds more cash than total debt, indicating financial prudence despite short-term liabilities exceeding assets by US$17.2 million. While its management team is relatively new with an average tenure of 1.2 years, Gaia's board is experienced with an average tenure of 7.6 years. The stock trades at good value compared to peers in the industry.

Nerdy (NRDY)

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

Overview: Nerdy Inc. operates a platform for live online learning in the United States and has a market cap of $154.12 million.

Operations: The company generates revenue primarily from its tutoring services, amounting to $180.13 million.

Market Cap: $154.12M

Nerdy Inc. reported Q1 2026 sales of US$48.74 million, a slight increase from the previous year, with a reduced net loss of US$4.08 million. The company is trading at good value compared to peers and has improved its financial position by achieving positive shareholder equity after five years. Nerdy's short-term assets exceed both its short- and long-term liabilities, indicating solid liquidity management despite ongoing unprofitability and significant insider selling recently. With an experienced management team averaging 2.9 years in tenure, Nerdy remains focused on stabilizing operations while reaffirming full-year revenue guidance between US$180 million to US$190 million for 2026.

Summing It All Up

• Take a closer look at our US Penny Stocks list of 332 companies by clicking here.
• Contemplating Other Strategies? We've found 9 US stocks that are forecast to pay a dividend yeild of over 6% next year. See the full list for free.

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.