This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
TheStreet Open House

7 Penny Tech Stocks to Buy

By Louis Navellier for InvestorPlace

NEW YORK ( InvestorPlace) -- This has been the year of tech stocks, with the tech-heavy Nasdaq up more than +17% compared with +12% gains for the S&P 500. On top of those gains, there has been a host of high-tech buyouts, from the Hewlett-Packard (HPQ) buyouts of 3Par and Palm to Intel (INTC) acquiring McAfee.

But there are many reasons to expect that 2011 will be even brighter for tech stocks -- particularly well-run penny stocks in the technology sector. That's because these small, agile companies can really take advantage of a strategic niche, a new technology or an overall updraft in the economy in ways big blue chips cannot.

Related Article: A Tiny Company Called Microsoft is your Best Buy Right Now

If you're looking to add some low-priced, high-tech stocks to your holdings for the new year, consider these 7 top penny stocks to buy now:

Powerwave Technologies (PWAV)

Powerwave is a global company that provides end-to-end wireless solutions for wireless communications networks. Its products are used in wireless networks globally. Since January, this penny stock has gained an impressive +100%, compared to gains of +17% and +11% for the Nasdaq and Dow, respectively. Importantly, PWAV has outpaced earnings estimates for two consecutive quarters.

Tower Semiconductor (TSEM)

Independent specialty foundry Tower Semiconductor is dedicated to the manufacture of semiconductors. Year-to-date, TSEM has jumped +43%, compared with much smaller gains by the broader markets. In its last income statement, Tower reported a year-over-year quarterly revenue growth of +69%. Currently, Tower trades at $1.29, with a 52-week range of 93 cents to $1.87. Consider buying this inexpensive stock now while it's still at the low end of its range and approaching new highs.

Related Article: Find out the 10 FREE stock picks that make up InvestorPlace.com's Best Stocks for 2011.

ChipMOS Technologies (IMOS)

Holding company ChipMOS Technologies engages in a number of testing services, such as engineering testing, wafer probing and final testing of memory and logic/mixed-signal semiconductors. Since January, the penny stock has doubled. In the short term, IMOS stock is up +16.4% over the past three months. It is also important to note that ChipMOS reported a year-over-year quarterly revenue growth of +41% in its last income statement.

1 of 2

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
DOW 17,279.74 +13.75 0.08%
S&P 500 2,010.40 -0.96 -0.05%
NASDAQ 4,579.7890 -13.6380 -0.30%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs