2 of the best penny stocks to buy today!

first_img Adventurous investors like you won’t want to miss out on what could be a truly astonishing opportunity…You see, over the past three years, this AIM-listed company has been quietly powering ahead… rewarding its shareholders with generous share price growth thanks to a carefully orchestrated ‘buy and build’ strategy.And with a first-class management team at the helm, a proven, well-executed business model, plus market-leading positions in high-margin, niche products… our analysts believe there’s still plenty more potential growth in the pipeline.Here’s your chance to discover exactly what has got our Motley Fool UK investment team all hot-under-the-collar about this tiny £350+ million enterprise… inside a specially prepared free investment report.But here’s the really exciting part… right now, we believe many UK investors have quite simply never heard of this company before! The high-calibre small-cap stock flying under the City’s radar Click here to claim your copy of this special investment report — and we’ll tell you the name of this Top Small-Cap Stock… free of charge! Penny stocks might not be suitable for all investors because they tend to be smaller businesses.However, there’s no set definition of a penny stock. So, companies with market capitalisations of several hundred million pounds or even billions of pounds can qualify.5G is here – and shares of this ‘sleeping giant’ could be a great way for you to potentially profit!According to one leading industry firm, the 5G boom could create a global industry worth US$12.3 TRILLION out of thin air…And if you click here we’ll show you something that could be key to unlocking 5G’s full potential…As such, when buying penny shares for my portfolio, I tend to concentrate on larger businesses. Here are two companies I would buy for my portfolio right now.Penny stocks I would buyBoth companies I have my eye on are related to the UK housing sector. The housing market in the UK is booming at present, and it doesn’t look as if it’s going to slow down materially any time soon.While a sudden increase in interest rates or an economic slump may send house prices lower, there’s still going to be a considerable amount of pent-up demand from first-time buyers and upsizers. The government is doing everything possible to help people onto the housing ladder. I think that should help support prices, especially at the low end of the market. With that in mind, I would buy penny stocks Topps Tiles (LSE: TPT) and Foxtons (LSE: FOXT). These companies operate in different sections of the housing market. I think that could help provide a level of diversification for my portfolio.Foxtons is best known for its estate agency business. However, it also has a rental and mortgage broking operation, which has helped provide a steady income throughout the pandemic. Due to the booming housing market, the London-focused company reported a 24% increase in revenue in the first quarter to £28.5m from a year earlier. It also revealed a 20% increase in mortgage-broking revenue. I think these figures showcase Foxtons’ potential. The company’s incredible growth potential is one of the main reasons why I’d add the firm to my portfolio of penny stocks. Foxtons earns revenue when homeowners buy and sell properties. Meanwhile, Topps’ main markets are home construction and renovation.Needing renovation As activity in the housing market has accelerated over the past six months, Topps has benefited. Despite being impacted by Covid restrictions, sales in the 26 weeks to the end of March fell just 2.4% from £106.2m to £103.6m. Management expects a significant increase in sales when coronavirus restrictions are lifted. Only time will tell if management is correct, but based on what happened last year, I think Topps will see an increase in sales when restrictions are weakened. Despite their opportunities, these companies face risks as well. As I outlined above, an increase in interest rates could hit property prices. This would reduce the volume of property transactions. Both Foxtons and Topps could suffer revenue declines if the number of homes sold drops and the volume of renovation work falls. Another wave of coronavirus could have a similar impact on the property industry. Despite these risks and challenges, I would buy both penny stocks for my portfolio today as a way to invest in the UK housing boom.  Renowned stock-picker Mark Rogers and his analyst team at The Motley Fool UK have named 6 shares that they believe UK investors should consider buying NOW.So if you’re looking for more stock ideas to try and best position your portfolio today, then it might be a good day for you. Because we’re offering a full 33% off your first year of membership to our flagship share-tipping service, backed by our ‘no quibbles’ 30-day subscription fee refund guarantee. Our 6 ‘Best Buys Now’ Shares 2 of the best penny stocks to buy today! Enter Your Email Addresscenter_img Rupert Hargreaves has no position in any of the shares mentioned. The Motley Fool UK has no position in any of the shares mentioned. Views expressed on the companies mentioned in this article are those of the writer and therefore may differ from the official recommendations we make in our subscription services such as Share Advisor, Hidden Winners and Pro. Here at The Motley Fool we believe that considering a diverse range of insights makes us better investors. Simply click below to discover how you can take advantage of this. Image source: Getty Images I would like to receive emails from you about product information and offers from The Fool and its business partners. Each of these emails will provide a link to unsubscribe from future emails. More information about how The Fool collects, stores, and handles personal data is available in its Privacy Statement. Rupert Hargreaves | Saturday, 15th May, 2021 | More on: FOXT TPT See all posts by Rupert Hargreaveslast_img read more