It’s a good time to start looking for millionaire-maker penny stocks. Inflationary pressures are starting to come down, and the market has started to creep higher. Of course, it is impossible to say if the market has truly hit bottom. That said, most investors can agree that the downturn has disproportionately affected penny stocks. With the Fed funds rate at 4% and a u-turn seemingly out of sight, investors have pulled out of volatile small caps and sought refuge in stable blue-chip stocks. As a result, some very promising companies are up for grabs at bargain prices.

Nonetheless, many investors are also looking for penny stocks just for the thrill of the ride. There are plenty of penny stock investors in the game in the hopes of “finding the next Google.” However, such a task is extremely unlikely, particularly in this market.

That said, these three companies are worth a look. They may not be the next Google, but they have solid businesses that set them up for multibagger gains in the long run. If you can handle the risk, consider adding these potential millionaire-maker penny stocks to your portfolio.

Quantum-Si (QSI)

Quantum-Si (NASDAQ:QSI) is a unique company that supplies semiconductors used for protein sequencing. This business model makes Quantum-Si both a biotechnology and semiconductor company. This company was founded by Yale University professor Dr. Jonathan Rothberg, a person who holds more than 100 patents, founded at least 11 companies, and was awarded the National Medal of Technology and Innovation by former President Barack Obama in 2016 for his “pioneering inventions and commercialization of next-generation DNA sequencing technologies, making access to genomic information easier, faster and more cost-effective for researchers around the world.”

That’s quite the resume.

On the financials front, things may not look as great. Quantum-Si’s stock price and financials have yet to show outstanding improvement, but the company’s technology certainly falls into the “outstanding” bucket. In my opinion, combining the growth semiconductors and proteomics provide will bring excellent results in the long-term. That’s because this is a market that is projected to reach $70 billion by 2030, growing at a CAGR of 13.5%. This company aims to capture 10% of that market, and I can see that happening, given its promising technology.

Quantum-Si’s direct kinetic real-time technology offers inexpensive high-read scaling. Digital sequencing-based approaches are much more efficient than traditional technologies, with fewer limitations. This can significantly boost drug discovery among major pharmaceutical players. Accordingly, it’s interesting to see that the company was also named the “innovator of the Month” this October.

There may be limited optimism with this stock, as the company isn’t profitable, reporting a net loss of $31.7 million in the third quarter. However, with a cash-to-debt ratio of 21.8-times and the stock reversing its downtrend, things look very optimistic for QSI.

Cyxtera Technologies (CYXT)

Cyxtera Technologies (NASDAQ:CYXT) is a company that operates data centers in key locations around the world. The demand for data is growing very fast, and companies with cloud storage services have reported very good numbers for the segment. Cloud storage services will be valued at almost $500 billion in 2030, reflecting a compound annual growth rate (or CAGR) of 24.3%. Cyxtera is certainly well-positioned to take advantage of this trend.

Admittedly, CYXT stock is down almost 80% year-to-date. However, the decline has slowed of late, and this stock actually seems to be diverging from this trend after a 26% rally. There is certainly more downside potential with this stock. However, the company’s current valuation appears to provide a compelling entry point when you consider that Cyxtera’s data center locations are high-demand areas that can provide boosted market share in this potential $500 billion industry.

Debt is the biggest problem for Cyxtera Technologies. Unfortunately, that is almost a given with most penny stocks in this macro environment. With over $2 billion in debt, this is a high-risk, high-reward investment not everyone has the appetite for. Nonetheless, if the stock’s rally does continue, I see CYXT providing multibagger returns.

Atlantic Lithium (ALLIF)

Atlantic Lithium (OTCMKTS:ALLIF) is a lithium mining company that can greatly profit from the boom in electric vehicles and the ongoing explosion in the price of Lithium. Understandably, the stock is also in a very solid uptrend, up 67.5% YTD despite producing very little of the raw commodity.

The company has projects in Ghana and the Ivory Coast. These are two relatively under-explored regions for Lithium production that provide significant long-term upside. The company has secured approximately 515 square miles of land to explore, and already has a funding agreement of $103 million with Piedmont Lithium (NASDAQ:PLL).

However, the most significant thing to see here is if the price of Lithium holds up. The demand for Lithium is still sky-high. Accordingly, if this commodity price continues to climb, ALLIF is a potential millionaire-maker penny stock. Price forecasts show that Lithium prices will come down, albeit slowly. Thus, while Atlantic Lithium is one of the riskier market ideas on this list, it could be as equally rewarding in the long run.

Penny Stocks

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Read More: Penny Stocks — How to Profit Without Getting Scammed

On the date of publication, Omor Ibne Ehsan 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.