Best US Penny Stocks to Buy in India

The Indian retail investors are increasingly getting mature over the years in this digital age & globalisation. They are now also increasingly looking beyond Dalal Street into the Wall Street (U.S. stock market) to diversify into quality small caps for medium to long-term investment. The U.S., the world’s largest stock market worth almost $70 trillion (market capitalisation), offers unparalleled opportunity for long-term wealth creation led by techs/AI innovations, and also market death (maturity) and resilience.

There are many options on Wall Street to suit different risk appetites, from stable growth names and dependable dividend payers to high-risk, high-reward penny stocks for affluent Indian investors. Indians-want to invest in the U.S. & global growth story, by abiding by RBI/FEMA and Indian regulations, can now do so through many SEBI-authorised Indian trading platforms (brokerages). Popular routes include domestic brokers collaborating with authorised foreign brokerages, trading platforms, operating through Gujarat’s GIFT City (India’s answer to SGX-Singapore foreign trading hub)-like India INX Global Access or NSE IX unsponsored depository receipts.

Invest in Indian Markets and Unlock Future Potential With 5paisa!

Open Account Now

The Reserve Bank of India's Liberalised Remittance Scheme (LRS) allows Indian citizens to access U.S. stocks, ETFs up to $250,000 per FY per person legally, often with low transaction costs and INR-based transactions. Also, Indian mutual funds (MFs) or funds-of-funds with U.S. exposure provide an indirect, but professionally managed alternative, though some face overseas investment caps. Taxation involves capital gains (short-term at slab rates, long-term at 20% with indexation for certain routes) and potential dividend withholding in the U.S., but platforms often manage all the required compliances.

Potentially higher USDINR positive for Indian investors for U.S. stocks

As always with any stock market in the world, there are inherent risks with the ‘matured’ U.S. stock market too, not only professional manipulation, but also growing U.S. political & policy uncertainty. There are also risks of FX volatility and the growing weakness of INR. ThU.S. proper strategy and currency hedging are also required for mid to long-term investment in U.S. stocks.

But an annual growth in USDINR is also assuring an automatic return into INR, even if the U.S. stock stays flat over the last Year. As for e.g. INR 100000/- invested in any U.S. stock in Dec’24 should give a minimum return of around 15-20% in line with the overall return of SPX-500 or Russell-2000. But even if it were flat, the ‘natural appreciation’ of USDINR over the last year should ensure at least 3-5% nominal return as USDINR appreciated from 80 to 90 levels over the period!

Anyway, we will now explore fresh U.S. investment ideas for 2026, focusing on dividend-paying profitable penny stocks for income stability, and sustainable growth for mid to long-term investments and potential multibaggers.

Overview of some potential quality U.S. Penny stocks

1) Organogenesis Holdings Inc. (ORGO): $5.60 (CMP)-Biotech/Drugs

ORGO is a leading regenerative U.S. drug manufacturer.

ORGO was initially involved in tissue engineering.

Now it focuses on R&D, manufacturing, and marketing of innovative bioactive and acellular biomaterial medicines.

These medicines are primarily intended for the critical wound care & surgical & sports medicine markets in the US.

The company employs sophisticated biotechs & regenerative techs leveraging placental-derived tissues, and bioengineered skin substitutes.

ORGO benefits from ageing American demographics, healthcare demand, rising chronic wounds, and innovation in biologics.

2) Vuzix Corporation (VUZI): $3.07 (CMP): Tech/AI

VUZI is a producer & distributor of AR (augmented reality) and AI-powered waveguides smart glasses in North America, Europe, APC and other major global markets.

VUZI has a variety of such smart glasses in its portfolio in addition to mobile phones-mobility/logistical, and barcode reading solutions. VUZI also offers various. engineering and ODM/OEM (original design/equipment manufacturing) services.

It has mainly B2B (enterprise) clients ranging from healthcare, industrial, to security/military and consumer discretionary sectors.

3) Standard BioTools Inc. (LAB): $1.63 (CMP) - Biotech

LAB, along with its subsidiaries and various JVs, develops scientific tools (such as imaging mass cytometry) in Life Sciences & biomedical researchers to develop therapeutics

LAB has markets in America, Europe, ME and APC in the Proteomics and Genomics sector

LAB primarily caters to B2B clients like academic research and medicine centres, cancer centres, and clinical research laboratories, as well as biopharmaceutical, biotechnology, and plant and animal research companies.

LAB has license agreements with big institutional names like California Institute of Technology, Harvard University, and Calliper Life Sciences, Inc.

4) ADC Therapeutics SA (ADCT): $3.73 (CMP)-Biotech

ADCT is a Swiss Biotech company- developing ADCs (antibody-drug conjugates) technology platform to fight various forms of critical stage cancer (oncology space)

FDC-approved drug Zynlonta is now in the commercial stage; others (like CD19) are in the pipeline stage for approval from various other global drug authorities in the EU and China.

5) Repay Holdings Corp. (RPAY): $3.79 (CMP)-Fintech

RPAY is a fintech company providing digital payment processing solutions in the U.S. (c2c, c2b and b2b) and proprietary payment channels.

RPAY also offers instant funding, clearing & settlement, and communication solutions.

RPAY also provides its retail customers with personal & auto loans.

For business clients, it offers debtors receivables management.

For business-to-business (b2b) customers, it provides service through direct sales representatives and software integration platforms.

6) Indie Semiconductor Inc. (INDI): $3.79 (CMP)-Tech/Chip

INDI is an automotive semiconductor player focused on hardware & software solutions for ADAS (advanced driver assistance systems), autonomoU.S. driving, in-cabin, connected car, and electrification applications.

INDI also offers an EV solution.

INDI has a market in the Americas (US/Canada/South America), China, South Korea and Europe.

Conclusion

In summary, 2026 presents refreshed opportunities in U.S. stocks for Indian investors, especially looking for hi-tech innovations and AI-related sectors, which are at scarcity in India. Such tech-savvy U.S. stocks are also enjoying higher valuation premiums due to their potential growth in the coming years. Indian stock market underperforms the U.S. market in 2025 and is one of the most underperforming EEM (emerging market economies), as the previoU.S. EM scarcity premium now may not be applicable, as during 2014-24, due to various factors, including subdued earnings growth. Thus, Indian retail investors are diversifying steadily into the U.S. stocks, having huge growth potential and also to hedge the growing weakness of the LCU (Local Currency Unit-INR).