Advice on penny stocks?

Question

Anyone have any advice on them, like if there is generally a huge risk involved, etc? thanks

Answer 1

Don't waste your time, they're penny stocks for a reason...they're crap!

Answer 2

The risk is that you could lose the whole nest egg. It is not uncommon to see a huge spread between the ask and bit price from the market maker. This also works to your disavantage. Pennies are usually smaller companys. Very small. The go under or they make it. I have lost lots of money and made lots of money in pennies. My biggest loss was about 800. my biggest gain was about 10,000. So if you own one that takes off, you in tall clover pal.

There are lots of other stocks to be played. I would not make pennies my living. Just something I do on the side. My version of vagas.

Answer 3

This penny stock service has years of proven experience. Ultimately it is the best service for beginners to use https://tr.im/O4jq5
You will have to wait between 3 and 10 days to get into the system in most cases. When I signed up it took 8 days. I wished it was faster, but if you can wait a week or two to start earn life changing money than you will have what it takes to make it in this business.

Answer 4

There is generally huge risk involved with penny stocks. They are usually priced for only pennies because they liking in a financially dangerous situation and about to go out of business. However, if you are interested in investing in good companies with low priced stock check out http://www.thestreet.com/ and look at the archives of their stocks for under $10 http://www.thestreet.com/k/su/_tscleftnav/archives/200609201122.html?isLatestEntry and then do your homework on what you find.

Answer 5

Penney stocks are like playing the lottery. You probably have a better chance at winning millions in a lottery than making any money investing in Penney stocks. Penny stocks are a tax on the mathematically/investor challenged. Advice, buy a lottery ticket.

Answer 6

Penny stocks are loosely categorized companies with share prices of below $5 and with market caps of under $200 million. They are sometimes referred to as "the slot machines of the equity market" because of the money involved. There may be a good place for penny stocks in the portfolio of an experienced, advanced investor, however, if you follow this guide you will learn the most efficient strategies https://tr.im/e3f14

Answer 7

Penny stocks attract a disproportionate share of speculators & day traders, resulting in very high volatility. Theye are by no means trustworthy investments, tempting as it may be to own a hundred shares of a stock with little out of one's pocket.

You have some great responses here - I learned too!

;-)

Answer 8

I made a haul on penny stocks!!!! Do your homework on what company interests you. I had researched numerous companies and made gains on all 4 that I bought !! Buying them for only pennies then turning around and selling them for dollars...aaaaaaaaah life is good when you hit the right ones !

Never just grab one and buy.. look into it, make sure it is something that people are using everyday or will be in the near future ! I never invest in something that doesn't make sense to me or isn't use in my daily life.

Answer 9

Stats shows that as many as 80% penny stocks disappear within 5 years after listing. So if you invest (buy and hold), your chance of survival is 20%. If you trade, potentials are greater as they are volatile.

Answer 10

Many good plays can be made on stocks between $1-$10. http://champs-and-chumps.com/ has good information that is updated throughout the trading day.