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May 10, 2022, 12:45 p.m. EDT

Will PLBY Group, Inc. (PLBY) Be On Your List Of Penny Stocks In 2022?

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May 10, 2022 (Penny Stocks via COMTEX) -- If there's one thing we've done a lot of, it's written about penny stocks. These low-priced shares are typically likened to start-ups or high-growth, high-risk, high-reward names. But something that some seem to avoid discussing are companies that may be penny stocks because they've fallen on hard times or are out of favor with investors. Over the last few weeks, we've put together this series, "Will XYZ Be On Your List Of Penny Stocks In 2022," for a reason.

The heightened levels of bearishness in the stock market today have brought on quite the amount of selling activity. Of the companies we've discussed, 3 out of 8 have breached the penny stock ($5) threshold, with SoFi Technologies ( NASDAQ: SOFI ) becoming the latest to fall victim to the stock market crash in 2022. The trend of popular companies becoming penny stocks isn't new either. We've discussed how many household names are trading well within the sub-$5 arena. You can view more in the article 10 Top Penny Stocks To Buy Under $5 That Are Household Names . Nevertheless, the question remains: which one will be next?

So far, on our list of penny stocks (and potential penny stocks), we've discussed:

With earnings season and a stock market sell-off in full force, some are wondering which company will come within striking distance of $5 next. Today we dive in and see why some traders ask, Will PLBY Group, Inc. /zigman2/quotes/218881017/composite PLBY +16.28% Be On Your List Of Penny Stocks In 2022?

Will PLBY Stock Join The List Of Penny Stocks?

It had all the glitz and glamor of any exciting "media play" and a SPAC-tacular entry into the public markets. Last year, the company made its public debut via a merger with Mountain Crest Acquisition Corp (f/k/a nasdaq:MCAC). The momentum behind the company was heightened by interest in non-fungible tokens (NFTs), which sent shares surging to highs of over $63. It even tapped rapper Cardi B as a founding creative director for its CENTERFOLD creator-led platform.

Hopes were for creators to engage with fans, expand community outreach, and build unique content into a commerce business platform. Centerfold creators offer content subscriptions similar to other popular platforms with hopes of capturing market share. Other notable founding creators included social media personalities like Amanda Cerny, Lana Rhodes, Leila Leilani, Mia Khalifa, Amber Rose, and many Playmates.

Despite the move, Centerfold hasn't managed to turn the page on the downtrend in PLBY stock this year. The lackluster staying power of metaverse tech in the short-term paired with a downturn in the NFT market hasn't helped either.

Shares of PLBY stock have gone from red-hot to ice-cold as new record lows were reached this week. A lot of the attention on the company is focused on its upcoming earnings results. In its full-year update earlier this year, PLBY Group reported a sales beat for the quarter. However, earnings per share at a loss of $1.33 didn't compare to analyst expectations of 10 cents. Revenue grew 67% year-over-year to $247 million, helped by a 131% jump in direct-to-consumer revenues. Fourth-quarter revenue also jumped triple digits, year-over-year to $95.7 million, also supported by DTC revenues. Heading into the next earnings update, the markets are looking for signs of "more."

PLBY Stock Forecast

US : U.S.: Nasdaq
$ 3.50
+0.49 +16.28%
Volume: 4.35M
Feb. 2, 2023 4:00p
P/E Ratio
Dividend Yield
Market Cap
$159.29 million
Rev. per Employee
1 2
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