What are Penny Stocks?


What are Penny Stocks?​

Penny stocks are stocks that typically trade below $5 per share.​ They are often associated with small‚ early-stage companies that have a market capitalization of less than $300 million.​ These stocks are known for their high volatility and low liquidity‚ making them a risky investment option.​

Why Invest in Penny Stocks?​

Investing in penny stocks can be appealing to some investors due to their potential for high returns.​ Since these stocks trade at low prices‚ even a small increase in the stock price can lead to significant gains. This potential for quick profits is what attracts many investors to penny stocks.

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