Join The Penny Stock Tribe to receive Free Penny Stock Alerts sent right to your email. We will notify you immediately on potential trading opportunities. The opportunities are out there and it is up to the Chief and his experienced staff to find them. Our alerts are up to date and to the minute on all exchanges:
- TSX VENTURE
The opportunity could either be considered a small cap or a large cap company. We always conduct extensive research on the ins and outs of the company to help predict if it has the potential to be the next Hot Penny Stock.
Don't take guesses when trading penny stocks, and only trade the hottest penny stocks around! We help find the Best Penny Stocks around as we are tapped into the microcap community with getting updates by the hour. Some of our alerts have gone up as high as 500% in just 2 days!
What Is A Penny Stock?
Most stocks trading at below $5.00 are treated as Penny Stocks. But sometimes this is not the case as most commonly heard of penny stocks are well under .50 cents or even sub (below) penny prices.
How to Determine whether it is a penny stock or not:
- 1) Price per share: The lower the trading price is of the discussed security is the closer chance it is of being a penny stock. Remember trading at $5.00 and below.
- 2) Markets: Most common penny stock are traded on the Over The Counter Bulletin Board (OTC-BB), or Pink Sheet market. Penny stocks still trade on many other exchanges even the NYSE, or AMEX.
- 3) Market Capitalization: A Market Cap is the value of each stock multiplied by the number of stocks which are owned by the public (Outstanding Shares). This gives the trading value of the ENTIRE company. If this number is low, then it is most likely a penny stock.
There is always a serious risk when trading penny stocks. Penny stocks can move very quickly either up or down for no apparent reason. You will see that sometimes penny stocks move quickly on rumors rather than news or fundamentals. Penny stocks are a wild market to be in that is why researching every single detail to the fullest extent is very important. Penny Stocks companies need no minimum of assets or shareholders and sometimes have reckless insiders involved. Do not always think that penny stocks are long term investments. Some companies do not succeed while leaving shareholders hanging with worthless stock. That is why it is always smart of looking company filings and financials before even thinking about investing. Here are a few sites to help find information about any companies listed on either the Over The Counter Bulletin Board OTCBB or Pink Sheets.
U.S. Securities and Exchange Commission
OTCBB Information Center
Pink sheets Information Center(pinksheets.com)
The volatility involved in Penny Stocks are what makes them so rewarding. One of the best things about penny stocks is their potential to garner incredible gains with a minimal investment; the extent of the rewards is simply a matter of choosing the proper stock at the proper time. Many investors view penny stocks as an entry in order to gain stake in emerging prospective companies before they become lucrative. For those who are new to trading, it is an excellent way to learn about stock market fundamentals with minimal commitment.
It is not uncommon to see a stock soar to 100% of purchasing price or very quickly, within hours of purchase, and as such many is drawn to the penny stock community. They key to success lies in choosing the right stock before it takes off.