What Are Penny Stocks?

  1. ngureco profile image84
    ngurecoposted 7 years ago

    What Are Penny Stocks?

  2. profile image0
    kjsand01posted 7 years ago

    Penny stocks are commons stocks that trade for less than $5 a share and is traded outside the major exchanges. You can go to www.pennystock.com and check it out.

  3. profile image48
    capitalistposted 7 years ago

    Many penny stocks are traded on NASDAQ and the OTCBB. I'd stay away from pinks, but that's your call.

    According to the SEC, penny stocks are speculative stocks of small companies trading under $5 (estimation). One way to think of it is to look at microcaps since many penny stocks on those two exchanges are microcaps too. (microcaps have under $250m in market cap).

    Source: penny stocks blueprint (free PDF) which is from http://www.pennystockscapitalist.com.