7 Penny Stocks to Pick Up for Real Profit in Q3 The U.S. equities market has been incredibly volatile since the beginning of the year. The top market indices have been on historical losing streaks, putting investors in a dilemma. Numerous negative developments have contributed to the carnage in the stock market, and investors are looking toward safer investment options. Penny stocks don’t quite fit the bill, but they could be the needle-movers needed to take your portfolio to the next level. With rising inflation and interest rates, investors have gravitated towards income-oriented stocks and other low-risk investments. Betting on penny stocks is typically a wager on their long-term potential, but the current volatility has dwarfed many industry stalwarts. 7 Best Long-Term Dividend Stocks to Buy Right Now Hence, the current downturn is perhaps an excellent time to build your investment portfolio. Here are seven penny stocks trading under $5 that c a healthy upside. RCAT Red Cat $2.105 GEVO Gevo $2.5502 NNDM Nano Dimension $3.2099 LYG Lloyds Banking Group $2.045 PBI Pitney Bowes $3.84 DXLG Destination XL Group $4.09 PLNHF Planet 13 Holdings $1.36 Penny Stocks: Red Cat ( RCAT ) Source: Rocksweeper | Shutterstock.com Red Cat (NASDAQ: RCAT ) is a drone manufacturer catering to various end-users.