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The Working Profit Investment Letter | Market Update | Introducing the WPIL Penny Pharma Portfolio

Published January 11, 2026

Introducing the WPIL Penny Pharma Portfolio

The last upgrade for this cycle in the Investment Letter.

We established the WPIL Penny Pharma Portfolio. 

THE WPIL PENNY PHARMA PORTFOLIO
 Analysts Price Analysts Price 
TickerNamePriceTarget UpsideTarget Upside
IMUXImmunic$0.66 $4.67 604.69%
ACRVAcrivon Therapeutics, Inc.$1.93 $13.50 599.48%
RVPHReviva Pharmaceuticals Holdings$0.37 $2.50 583.06%
ALLOAllogene Therapeutics$1.49 $7.33 391.95%
MGXMetagenomi, Inc.$1.77 $8.67 389.83%
TARAProtara Therapeutics$5.61 $25.60 356.33%
AUTLAutolus Therapeutics$1.91 $8.00 318.85%
IVVDInvivyd$2.51 $10.00 298.41%
AKBAAkebia Therapeutics$1.49 $5.67 280.54%
ATAIATAI Life Sciences$3.97 $13.83 248.36%
GUTSFractyl Health, Inc.$2.10 $7.00 233.33%
OBIOOrchestra BioMed Holdings$4.84 $15.33 216.74%
ENGNenGene Holdings$8.50 $26.83 215.65%
GANXGain Therapeutics$2.44 $7.67 214.34%
MGTXMeiragtx Holdings$7.28 $22.60 210.44%
CMPXCompass Therapeutics$5.17 $16.00 209.48%
IMRXImmuneering$4.73 $14.50 206.55%

I have been working on a screen with a few simple parameters:

The stock must be trading at less than $10 per share. 

The stock must be involved in the healthcare industry.

The consensus rating among Wall Street analysts is Strong Buy, with multiple analyst ratings.

The consensus price target on the stock is at least a 200% gain and can be as much as 600%. This means that $1 invested at a 200% gain is $3 and at 600%, $7.

I have established the portfolio in my own account and will share my live account with readers as we move forward. What you see above are the initial positions.

What are our goals here?

Consistent with our general philosophy, we want to provide an education on various market strategies and techniques. No better way to do that than to enter into a live, ongoing ‘demonstration’ which you can replicate in your own portfolios, should you wish to do so. Basically, you can mimic my trading. As such, you’ll get to see the good, the bad and the ugly without any gloss or spin. You can also use my screen as a potential list of stocks to buy and then do your own research on the individual names, see if there is something there you like.

I’ll be updating the portfolio monthly in the regular Letter but also, will have interim comments should one of the stocks experience a large move, in either direction. 

Second, the education here is all about cheap, speculative stocks, some of which trade for pennies. Penny stock trading has historically been a minefield of losses with hype and cynical come-ons (“We made 10000% on XYZ!”) to encourage subscriptions or attendance at paid workshops. Moreover, many of the commentators are not well-experienced and so tend to fade as they fail.

More, serious professionals do not generally follow cheap speculative stocks (I didn’t when I was working as a portfolio manager), so you don’t get a great deal of thoughtful information. But I’m no longer working for clients so I’m free of that complication.

Third, we recognize that not everyone has the capital to load up on the usual stocks we recommend. A $250 stock requires $25,000 for 100 shares and we would like to see if we can engage in something everyone can participate in. 

There is a way to handle these stocks. The very high risk each one of them poses. The answers lie in portfolio construction and how you handle your risk, so we’ll be all about teaching that as part of our work. How to size the portfolio itself in your overall allocation and then, how to size each stock and how to trade them.

And then, we’re reminded that the name of the company is Working Profit and so, nothing like some working profit on these stocks to make this fun. 

I just offer the expected caveats. In this kind of portfolio, one should expect most of the positions to lose money. Some will flame out entirely (many are biotech or single drug live or die companies). Some will be dead money. What we want to see is enough diversification so that we can get one or two or three successful positions carrying the entire return. That’s a key…diversification. Give ourselves a lot of swings at the plate.

So, you need to be willing to lose money on these stocks and if you don’t handle losses well, probably not for you. 

We’ll have a complete Penny Pharma update in the January letter, which will be out in a couple of weeks.

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The Working Profit Investment Letter | Market Update | Introducing the WPIL Penny Pharma Portfolio

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