So another strategy i've been thinking of recently is the following:

1) Look up companies that are threatened with delisting because their stock is under $1 a share:

https://listingcenter.nasdaq.com/NonCompliantCompanyList.aspx

2) Buy their stock when they have remained above a dollar per share for about 9 or 10 days in a row

3) Sell when compliance has been announced and the stock spikes

 

However, as with all penny stocks, make sure that this has sufficient daily volume and a history of spiking to give you better odds of it spiking.  

 

Possible risks:

1) For whatever reason it may not spike

2) The company may have massive financial problems and may be going bankrupt, which may overshadow any benefits of recompliance

3) The company may have major financial issues and may feel the need to do a reverse split and then dilution to raise money.  But if they are teetering right about the $1 mark, i dont know if they would risk that if they are nearing compliance, knowing that dilution may send the share price plummeting and thus destroy almost any hope of regaining compliance.  But never try to assume that a company will act in a logical, beneficial manner.  Always prepare for the worst.

 

So just another strategy to add to our list of plays.  But as always, be sure to do your due diligence on the company regarding their financial situation, the state of their sector, daily volume, spikeability, etc etc