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Tree shaking in global financial markets has been difficult to ignore in recent weeks due to a potential trade war between the US and other countries. Penny stock volatility is rising, and some companies are hit hard. However, some of this can be placed on investor sentiment rather than on company-specific factors. Here are some stocks I think I need to rebound in the next few months.
Cybertech to rescue
At the beginning of April, Corero Network Security (LSE:CNS) stock prices fell almost 30% annually. However, it has recovered over the past week or so, with stock prices increasing by 44% over the wider period of the year.
Cybersecurity companies specialize in real-time protection against online attacks. Its flagship product, SmartWall, offers automated defense solutions tailored for businesses. This makes money primarily by charging companies that use software products with their regular subscription fees.
I think the company will be able to do well next year for a number of reasons. To begin with, it is not actually exposed to tariffs with the US, so there is no real concern here. Second, there is a clear increase in the frequency and sophistication of attacks that are exacerbated by the use of AI and high-performance bots. This means there is an increasing need for robust protection solutions. になったんです。 English: The first thing you can do is to find the best one to do.
Finally, the business ended last year with no debt and £4.01 million in cash. This puts you in a strong financial position. Of course, one risk is that Corero must continue to evolve into a constantly changing threat online. Otherwise, the platform will become very fast and outdated, evaporating customer demand.
Rebuilding your reputation
Another idea is Tribal groups (LSE: TRB). Stocks have fallen 6% over the past month, resulting in a 25% decline over the year. Penny Stock offers tailored software and services for the global education sector, operating in over 55 countries.
The stock price has partially weakened due to the legacy impact of the sour deal with Nanyang Technology University (NTU) held in Singapore in 2023. By implementing Tribal’s student management system for NTU, the university claimed damages. Last May, the tribe agreed to pay £3.1 million in settlement costs.
This isn’t ideal, but the saga is almost finished. From a financial and reputation perspective, you can use 2025 to go ahead and get started fresh. The company has been successful in many other educational sites. A recurring subscription model means that cash flow is consistent and can be easily scaled up as a company grows. Furthermore, the shift towards digital learning environments has accelerated, increasing the need for robust student information systems and related services. Tribes are good to use this.
The main risk seen in material inventory jumps is the overhang of the NTU situation. It may take longer than I expected to restore market confidence.
Ultimately, I think both penny stocks could erase the falls from the past month, and could potentially make more profits later this year. Investors who are satisfied with the risks of these types of stocks can consider adding them to their portfolio.
