The current bear market has cleared out a lot of the frothiness that had accumulated over the past few years. Several of the biggest names in the stock market are now trading at multi-year lows as investors rotate out of risky investments. Many of these stocks are trading for chump change, which is why it’s an ideal time for investors to hunt for some undervalued penny stocks.

Penny stocks are naturally more volatile than other companies trading on the equities market. They are typically thinly traded and are priced at a substantial bargain to their long-term outlooks. Moreover, they allow traders to quickly build their portfolios and progress towards safer investments.

Hence, any investor cannot ignore the value of penny stocks, and perhaps the current downturn is the best opportunity for them to pick up a bunch of them.

Seanergy Maritime Holdings Corp. (SHIP)

Greek dry bulk shipper Seanergy Maritime Holdings Corp. (NASDAQ:SHIP) has been in the news for spinning off its oldest vessel in Gloriusship through a wholly-owned subsidiary.

The goal is to effectively streamline its business, free up cash flows and improve its ability to raise capital. It will be replacing Gloriusship with a much younger vessel.

Moreover, on the back of strong results it posted recently, it announced a dividend of $0.025 per share. Couple that up with the strong industry prospects ahead due to limited fleet growth; Seanergy is in for a robust showing this year.

Despite the incredibly bright outlook ahead and strong sales prospects, SHIP stock trades at just 0.9 times forward sales. Hence, it’s tough to pass up on such an opportunity at this time.

Gevo (GEVO)

Gevo (NASDAQ:GEVO)  is a leading biofuels producer and the first large-scale producer in its niche. It offers an integrated solution for reducing emissions for multiple sectors.

With the growing need for renewable energy, there are multiple use-cases for Gevo’s products. However, the company mainly focuses on establishing a strong position in Jet Fuel’s business.

It has quickly notched up multiple contracts with some of the top airlines operating in the U.S. Recently, and it announced Delta and Oneworld Alliance members have contracts up to 75 million gallons of fuel per year for seven years.

Though it may not seem like much compared to the total jet fuel consumption, it’s a major step forward for Gevo. If it can start fulfilling contracts soon, its stock could quickly jump from the penny stock territory.

Gran Tierra Energy (GTE)

Gran Tierra Energy (NYSEAMERICAN:GTE) operates an oil and gas exploration business in Columbia and Ecuador. Over the years, it’s been a highly consistent performer, growing its top and bottom lines by double-digit margins.

Investors are concerned over the impact of a recent regime change in Columbia on GTE’s prospects. However, those concerns are largely overblown as the firm evolves into a leaner business in the future.

GTE will enter next year with a significantly stronger balance sheet. It has paid down most of its debt, and its next debt stack is in 2025.

Moreover, with the higher oil prices, the company has grown its cash balance from $17 million in June last year to a whopping $109 million this year. Also, oil production is set to rise 25% in the upcoming quarter. Despite the positive developments, GTE is still priced at pre-Russian invasion prices.

Nokia (NOK)

Finnish telecommunications giant Nokia (NYSE:NOK) boasts a comeback story that is second to none. After years of trials and tribulations, it is now positioned as one of the major players in the 5G space.

It expects its total addressable market to grow to €122 billion this year as it continues to ink new contracts across and grow revenues in all its key segments. Moreover, with its investments in research and development, it’s plausible to expect incredible business momentum across its cloud and network services.

Additionally, its margins are improving with every quarter, in line with its top-line results. In the long-term, it could be looking at an 11%-13% margin if it can more share in the 5G space. Over the past couple of years, NOK stock has been more of a sleeper stick, but recent developments should add meaningfully to its price.

Curiositystream (CURI)

Curiositystream (NASDAQ:CURI) is a documentary-focused streaming service that went public via a SPAC merger a couple of years ago. Its shares now trade at a fraction of its de-SPAC price and are significantly undervalued.

Its focus on the documentary niche is a competitive advantage that gives it an edge over the cut-throat competition in the sector. Moreover, with the subscription video-on-demand industry expected to grow close to 9% through 2026, CURI stock could be an interesting value play.

It recently announced its first-quarter results, which showed meaningful progress across both lines. Revenues shot up 77% to $9.9 million from the prior-year period, with a 50% increase in paying subscribers.

Additionally, it wrapped up the quarter with a substantial $85 million in cash and just $5 million in debt. It now expects positive operational cash flows in the first quarter of 2023, which is a major step forward in its progress towards profitability.

McEwen Mining (MUX)

McEwen Mining (NYSE:MUX)  is involved in producing and selling gold and silver deposits, primarily in the North American region.

It’s been a relatively strong performer, generating revenues of over 22.50% in the past five years. Recent results have been helped by higher average realized gold prices. Consequently, the firm built a strong cash balance of $70 million. Moreover, effective management has significantly reduced its costs in recent quarters.

However, production levels have dropped of late, which is a cause for concern. Profitability is still way off as well, which further complicates its bull case. Nevertheless, it trades for under 50 cents at the most attractive price multiples in its recent history. Therefore, speculating on it won’t cost much.

Ideanomics (IDEX)

Ideanomics (NASDAQ:IDEX)  is one of the more novel electric vehicles plays that offers a complete ecosystem for its users. It covers everything from financing, leasing, energy services, insurance, and other related elements.

With the expansion in the EV space, the company is receiving orders at a healthy pace. It is experiencing triple-digit growth across several of its subsidiaries, which bodes incredibly well for its long-term prospects.

For instance, its WAVE subsidiary (provider of wireless charging solutions for heavy-duty EVs) recently collaborated with the U.S. Department of Energy and the Antelope Valley Transit Authority.

Moreover, its Hybrid subsidiary received a $5.5 million order from Global Environmental Products for its powertrain kits. With the proliferation of EVs in the future, I expect Ideanomics to evolve into a much larger business down the line.

On the date of publication, Muslim Farooque did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.