I’m searching for penny stocks I think could soar in value in 2022. Here are four I’d buy for next year and look to hold for the long haul.
Getting aboard the gold train
I think owning gold stocks could be a good idea as we enter a potentially-volatile 2022. It’s why I’m considering adding Greatland Gold to my shares portfolio today. The continued Covid-19 crisis, economic turbulence in China, and runaway inflation might well blow prices of safe-haven gold to the stars next year. The persistence of supply chain problems might also help yellow metal prices if they derail the economic recovery.
I like this particular miner, following a raft of positive drilling updates in recent months. Encouraging news on its Juri project in Western Australia helped Greatland Gold share price hit six-week highs just before Christmas. I’d buy the business even though disappointing exploration news is a constant threat that could pull share values lower again.
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Shifting through the gears
Car and car-part manufacturers might continue to struggle in 2022 if semiconductor shortages keep hampering auto production rates. Ceramic brake producer Surface Transforms is one such share that could experience such difficulties. But, as a long-term investor, there’s a lot I like about this share. More specifically, I think it’s a great way to ride rising sports car sales in the years ahead.
The rising number of high-wealth individuals means demand for premium vehicles looks set to soar. Analysts at Statista think 937,400 high-performance autos will roll out of showrooms in 2022, up from 894,800 this year. And the number is expected to increase to 947,100 in 2023 too. Surface Transforms products can be found on the vehicles of mainstream OEMs as well as more niche manufacturers.
A way to play the wood boom
The use of wood as a construction product is soaring. This is primarily because builders are switching to timber from other more environmentally-destructive materials as concerns over sustainability and carbon footprints increase. This is why sales volumes at Woodbois Limited are flying and should strengthen further, in my opinion.
This penny stock supplies sustainable African hardwood and hardwood products from its facilities in Gabon and Mozambique. It has 470,000 hectares of forest on its books and continues to build its land holdings to match booming demand. I’d buy it even though a downturn in the broader construction market would significantly hit income levels.
A steppe in the right direction
I’d also buy Kazakh cement manufacturer Steppe Cement in spite of this danger. This is because the long-term outlook for the country’s construction sector looks rock-solid as wealth levels grow. Increased urbanisation meant that, even in spite of the Covid-19 crisis, construction activity in Kazakhstan leapt 11.2% year-on-year in 2020.
Steppe Cement’s latest financials showed revenues up a healthy 16% between January and September as demand for its building material soared. I’d snap up this penny stock, even though foreign currency fluctuations are a constant risk.
