QQQ   299.62 (+0.20%)
AAPL   119.05 (+2.11%)
MSFT   214.07 (-0.54%)
FB   276.97 (-0.30%)
GOOGL   1,754.40 (-1.83%)
AMZN   3,168.04 (-0.85%)
TSLA   567.60 (-3.10%)
NVDA   536.06 (+1.06%)
BABA   263.36 (-4.75%)
CGC   28.80 (-0.69%)
GE   10.18 (-2.12%)
MU   64.09 (-0.22%)
AMD   92.66 (+6.27%)
T   28.75 (-0.96%)
NIO   50.53 (-6.43%)
F   9.08 (-0.11%)
ACB   11.68 (+11.56%)
NFLX   490.70 (-0.13%)
BA   210.71 (-2.67%)
GILD   60.67 (+1.07%)
DIS   148.01 (+0.60%)
QQQ   299.62 (+0.20%)
AAPL   119.05 (+2.11%)
MSFT   214.07 (-0.54%)
FB   276.97 (-0.30%)
GOOGL   1,754.40 (-1.83%)
AMZN   3,168.04 (-0.85%)
TSLA   567.60 (-3.10%)
NVDA   536.06 (+1.06%)
BABA   263.36 (-4.75%)
CGC   28.80 (-0.69%)
GE   10.18 (-2.12%)
MU   64.09 (-0.22%)
AMD   92.66 (+6.27%)
T   28.75 (-0.96%)
NIO   50.53 (-6.43%)
F   9.08 (-0.11%)
ACB   11.68 (+11.56%)
NFLX   490.70 (-0.13%)
BA   210.71 (-2.67%)
GILD   60.67 (+1.07%)
DIS   148.01 (+0.60%)
QQQ   299.62 (+0.20%)
AAPL   119.05 (+2.11%)
MSFT   214.07 (-0.54%)
FB   276.97 (-0.30%)
GOOGL   1,754.40 (-1.83%)
AMZN   3,168.04 (-0.85%)
TSLA   567.60 (-3.10%)
NVDA   536.06 (+1.06%)
BABA   263.36 (-4.75%)
CGC   28.80 (-0.69%)
GE   10.18 (-2.12%)
MU   64.09 (-0.22%)
AMD   92.66 (+6.27%)
T   28.75 (-0.96%)
NIO   50.53 (-6.43%)
F   9.08 (-0.11%)
ACB   11.68 (+11.56%)
NFLX   490.70 (-0.13%)
BA   210.71 (-2.67%)
GILD   60.67 (+1.07%)
DIS   148.01 (+0.60%)
QQQ   299.62 (+0.20%)
AAPL   119.05 (+2.11%)
MSFT   214.07 (-0.54%)
FB   276.97 (-0.30%)
GOOGL   1,754.40 (-1.83%)
AMZN   3,168.04 (-0.85%)
TSLA   567.60 (-3.10%)
NVDA   536.06 (+1.06%)
BABA   263.36 (-4.75%)
CGC   28.80 (-0.69%)
GE   10.18 (-2.12%)
MU   64.09 (-0.22%)
AMD   92.66 (+6.27%)
T   28.75 (-0.96%)
NIO   50.53 (-6.43%)
F   9.08 (-0.11%)
ACB   11.68 (+11.56%)
NFLX   490.70 (-0.13%)
BA   210.71 (-2.67%)
GILD   60.67 (+1.07%)
DIS   148.01 (+0.60%)
Log in

Penny Stocks

This page lists stocks that have the largest trading volume with a share price of under $1.00. Learn more.

CompanyPE RatioMarket CapCurrent PricePrice ChangeVolumeAverage VolumeIndicator(s)
SNDL
Sundial Growers
N/A$77.42 million$0.73+96.1%1.86 billion34.93 millionHigh Trading Volume
Increase in Short Interest
TSNP
Tesoro Enterprises
N/AN/A$0.20+84.6%378.69 million104.65 millionHigh Trading Volume
Heavy News Reporting
Jaguar Health logo
JAGX
Jaguar Health
N/A$28.19 million$0.35+66.6%131.42 million4.35 millionHigh Trading Volume
Increase in Short Interest
Heavy News Reporting
TTNP
Titan Pharmaceuticals
N/A$33.45 million$0.17-4.0%166.26 million19.83 millionStock Split
High Trading Volume
Decrease in Short Interest
HYSR
SunHydrogen
N/AN/A$0.11+61.8%252.58 million21.21 millionHigh Trading Volume
Naked Brand Group logo
NAKD
Naked Brand Group
N/A$47.71 million$0.20-2.9%129.16 million26.79 millionHigh Trading Volume
Decrease in Short Interest
ENZC
Enzolytics
N/AN/A$0.11+116.9%180.36 million76.29 millionHigh Trading Volume
Heavy News Reporting
NAK
Northern Dynasty Minerals
N/A$187.77 million$0.37-2.1%42.30 million9.76 millionHigh Trading Volume
SEGI
Sycamore Entertainment Group
N/AN/A$0.03+319.7%480.71 million29.39 millionHigh Trading Volume
Heavy News Reporting
ZOM
Zomedica
N/A$83.20 million$0.15+10.2%77.01 million34.69 millionHigh Trading Volume
Tonix Pharmaceuticals logo
TNXP
Tonix Pharmaceuticals
N/A$95.69 million$0.61+6.8%14.73 million12.01 million
ABML
American Battery Metals
N/AN/A$0.26+37.5%26.33 million4.54 millionHigh Trading Volume
Increase in Short Interest
Histogenics logo
HSGX
Histogenics
N/A$30.21 million$0.32+6.8%20.78 million9.06 millionHigh Trading Volume
OCGN
Ocugen
N/A$51.74 million$0.32+6.8%20.78 million14.15 million
MRMD
MariMed
N/AN/A$0.52+37.9%12.17 million1.49 millionHigh Trading Volume
Decrease in Short Interest
Heavy News Reporting
Onconova Therapeutics logo
ONTX
Onconova Therapeutics
N/A$53.64 million$0.29+11.5%20.41 million14.93 millionHeavy News Reporting
Bombardier logo
BDRBF
Bombardier
N/AN/A$0.40+5.5%14.68 million1.11 millionHigh Trading Volume
PUGE
Puget Technologies
N/AN/A$0.00+154.5%2.04 billion99.85 millionHigh Trading Volume
PRPM
ProTek Capital
N/A$12.99 million$0.00+200.0%4.50 billion88.43 millionHigh Trading Volume
Innovate Biopharmaceuticals logo
INNT
Innovate Biopharmaceuticals
N/A$40.14 million$0.97-9.2%5.41 million525,982High Trading Volume
BORR
Borr Drilling
N/A$83.34 million$0.76-13.4%6.87 million2.75 millionHigh Trading Volume
Increase in Short Interest
Heavy News Reporting
BORR
Borr Drilling
N/A$83.34 million$0.76-13.4%6.87 million2.75 millionHigh Trading Volume
Heavy News Reporting
NMTR
9 Meters Biopharma
N/A$146.00 million$0.97-9.2%5.18 million3.84 million
IZEA Worldwide logo
IZEA
IZEA Worldwide
N/A$44.26 million$0.91-7.9%5.44 million6.54 millionIncrease in Short Interest
CEI
Camber Energy
N/A$22.38 million$0.90-4.4%5.51 million3.64 million
ACST
Acasti Pharma
N/A$28.09 million$0.29+14.8%16.64 million4.19 millionHigh Trading Volume
Increase in Short Interest
RLFTF
Relief Therapeutics
N/AN/A$0.43-3.0%9.77 million14.08 million
ADOM
ADOMANI
N/A$63.20 million$0.86+3.4%4.58 million841,847High Trading Volume
Novan logo
NOVN
Novan
N/A$72.53 million$0.51+1.5%7.38 million13.83 million
Zosano Pharma logo
ZSAN
Zosano Pharma
N/A$45.25 million$0.66+2.0%5.68 million3.94 million
Iterum Therapeutics logo
ITRM
Iterum Therapeutics
N/A$31.49 million$0.73-4.0%4.98 million2.18 millionHigh Trading Volume
Increase in Short Interest
Heavy News Reporting
McEwen Mining logo
MUX
McEwen Mining
N/A$400.30 million$0.98-0.1%3.60 million4.00 millionHeavy News Reporting
CBBT
Cerebain Biotech
N/AN/A$0.04+97.3%95.45 million16.51 millionUpcoming Earnings
High Trading Volume
Advaxis logo
ADXS
Advaxis
N/A$19.54 million$0.30+3.4%10.99 million2.95 millionHigh Trading Volume
Increase in Short Interest
CVSI
CV Sciences
N/A$63.35 million$0.63+35.9%5.10 million688,892High Trading Volume
Decrease in Short Interest
Cinedigm logo
CIDM
Cinedigm
N/A$69.85 million$0.54-2.2%5.68 million3.95 million
NAOV
NanoVibronix
N/A$7.93 million$0.75-1.3%3.59 million1.42 millionHigh Trading Volume
Decrease in Short Interest
Heavy News Reporting
DGTW
DigitalTown
N/AN/A$0.00+90.9%631.79 million98.62 millionHigh Trading Volume
Heavy News Reporting
CTRM
Castor Maritime
1.45$418,000.00$0.17+9.1%14.44 million6.86 millionHigh Trading Volume
Increase in Short Interest
Check-Cap logo
CHEK
Check-Cap
N/A$18.03 million$0.39-4.9%6.27 million2.37 millionHigh Trading Volume
AYTU
Aytu BioScience
N/A$113.06 million$0.88-3.9%2.76 million10.04 million
BLOZF
Cannabix Technologies
N/A$85.79 million$0.82+59.4%2.87 million219,183High Trading Volume
BNGO
Bionano Genomics
N/A$75.06 million$0.49+0.2%4.76 million10.03 millionIncrease in Short Interest
REED
Reed's
N/A$41.24 million$0.65+9.4%3.41 million563,066High Trading Volume
Increase in Short Interest
BIOLASE logo
BIOL
BIOLASE
N/A$27.99 million$0.30+2.7%7.27 million3.95 million
Terra Tech logo
TRTC
Terra Tech
N/A$31.35 million$0.16+43.1%13.49 million983,394High Trading Volume
EyePoint Pharmaceuticals logo
EYPT
EyePoint Pharmaceuticals
N/A$78.22 million$0.55+1.0%3.96 million1.36 millionHigh Trading Volume
AMPE
Ampio Pharmaceuticals
N/A$170.25 million$0.92+5.1%2.31 million2.42 million
AMPE
Ampio Pharmaceuticals
N/A$170.25 million$0.92+5.1%2.31 million2.42 million
GTE
Gran Tierra Energy
N/A$103.67 million$0.28-7.3%7.44 million3.75 millionHeavy News Reporting
GTE
Gran Tierra Energy
N/A$103.67 million$0.28-7.3%7.44 million3.75 million
Nxt-ID logo
NXTD
Nxt-ID
N/A$14.71 million$0.42+12.8%4.93 million2.35 millionHigh Trading Volume
Decrease in Short Interest
AFOM
All For One Media
N/A$1.84 million$0.00+550.0%1.56 billion46.62 millionHigh Trading Volume
Teligent logo
TLGT
Teligent
N/A$3.07 million$0.57+8.6%3.41 million719,846High Trading Volume
Increase in Short Interest
InVivo Therapeutics logo
NVIV
InVivo Therapeutics
N/A$13.08 million$0.62+8.1%3.11 million564,448Upcoming Earnings
High Trading Volume
Decrease in Short Interest
Heavy News Reporting
Acorda Therapeutics logo
ACOR
Acorda Therapeutics
0.73$32.03 million$0.67-3.4%2.87 million3.29 millionDecrease in Short Interest
TRXC
TransEnterix
N/A$46.96 million$0.47-1.6%4.07 million3.28 millionHeavy News Reporting
TRCH
Torchlight Energy Resources
N/A$38.08 million$0.38-2.7%4.97 million836,009Upcoming Earnings
High Trading Volume
Heavy News Reporting
GHSI
Guardion Health Sciences
N/A$23.23 million$0.26+7.5%7.10 million7.09 millionDecrease in Short Interest
Heavy News Reporting
HHT
Color Star Technology
N/A$10.24 million$0.57+3.8%3.18 million2.49 million
CSCW
Color Star Technology
N/A$31.27 million$0.57+3.8%3.18 million2.49 million
Celsion logo
CLSN
Celsion
N/A$25.16 million$0.67+17.2%2.69 million1.50 millionAnalyst Upgrade
MMNFF
MedMen Enterprises
N/AN/A$0.17+12.9%10.74 million2.58 millionHigh Trading Volume
Decrease in Short Interest
BBI
Brickell Biotech
N/A$36.39 million$0.68+1.7%2.52 million1.55 million
REI
Ring Energy
N/A$51.31 million$0.63-10.2%2.66 million1.32 millionHigh Trading Volume
KushCo logo
KSHB
KushCo
N/A$108.18 million$0.85+13.3%1.93 million784,822High Trading Volume
Increase in Short Interest
ARTL
Artelo Biosciences
N/A$9.28 million$0.61+2.4%2.66 million734,455High Trading Volume
Decrease in Short Interest
OPTI
Optec International
N/A$528,000.00$0.05+14.7%35.41 million53.27 millionIncrease in Short Interest
TGB
Taseko Mines
N/A$266.15 million$0.96+1.8%1.62 million1.19 million
TGB
Taseko Mines
N/A$266.15 million$0.96+1.8%1.62 million1.19 million
BRTX
BioRestorative Therapies
N/A$22.49 million$0.01flat108.31 million62.49 millionUpcoming Earnings
BRTXQ
BioRestorative Therapies
N/A$23.12 million$0.01flat108.31 million62.17 millionDecrease in Short Interest
PTE
PolarityTE
N/A$28.25 million$0.72+4.1%2.03 million920,253High Trading Volume
Increase in Short Interest
AIKI
AIkido Pharma
N/A$19.56 million$0.56+9.8%2.53 million3.67 millionUpcoming Earnings
Avinger logo
AVGR
Avinger
N/A$24.88 million$0.29+2.8%4.61 million5.15 millionIncrease in Short Interest
OGEN
Oragenics
N/A$31.96 million$0.43+2.4%3.17 million4.08 million
OGEN
Oragenics
N/A$31.96 million$0.43+2.4%3.17 million4.08 millionHeavy News Reporting
Baytex Energy logo
BTE
Baytex Energy
N/A$286.21 million$0.51-6.1%2.61 million2.70 millionDecrease in Short Interest
PHUN
Phunware
N/A$33.42 million$0.68+1.7%1.93 million2.79 millionIncrease in Short Interest
Seanergy Maritime logo
SHIP
Seanergy Maritime
N/A$31.14 million$0.47+1.1%2.71 million4.06 millionHeavy News Reporting
TBLT
ToughBuilt Industries
N/A$31.57 million$0.82-1.0%1.47 million2.59 millionIncrease in Short Interest
SEEL
Seelos Therapeutics
N/A$52.36 million$0.98-4.9%1.21 million1.19 millionUpcoming Earnings
Increase in Short Interest
AUMN
Golden Minerals
N/A$83.58 million$0.55-0.3%2.10 million1.30 million
AUMN
Golden Minerals
N/A$83.58 million$0.55-0.3%2.10 million1.30 millionHeavy News Reporting
Destination XL Group logo
DXLG
Destination XL Group
N/A$18.17 million$0.35-11.8%3.01 million2.19 millionDecrease in Short Interest
GPL
Great Panther Mining
N/A$288.47 million$0.82-1.2%1.24 million2.45 million
EVIO
EVIO
N/AN/A$0.01+93.5%160.57 million9.68 millionHigh Trading Volume
Increase in Short Interest
Adamis Pharmaceuticals logo
ADMP
Adamis Pharmaceuticals
N/A$39.02 million$0.43-1.5%2.20 million3.42 millionIncrease in Short Interest
LKCO
Luokung Technology
N/A$117.35 million$0.58+4.1%1.63 million1.03 million
CANN
General Cannabis
N/A$41.40 million$0.71+42.2%1.30 million195,812High Trading Volume
Increase in Short Interest
J C Penney logo
JCP
J C Penney
N/A$39.96 million$0.12-0.8%7.15 million19.35 million
JCPNQ
J. C. Penney
N/A$40.17 million$0.12-0.8%7.15 million18.34 millionUpcoming Earnings
LMFA
LM Funding America
N/A$10.86 million$0.71-1.7%1.21 million1.55 millionUpcoming Earnings
Decrease in Short Interest
AWGI
Ambient Water
N/AN/A$0.00-14.3%349.48 million23.32 millionHigh Trading Volume
ASM
Avino Silver & Gold Mines
N/A$73.92 million$0.94+1.8%893,3351.13 million
Nabriva Therapeutics logo
NBRV
Nabriva Therapeutics
N/A$643.81 million$0.43-1.4%1.91 million4.00 millionIncrease in Short Interest
MGTI
MGT Capital Investments
N/A$17.23 million$0.03+48.5%23.94 million5.12 millionUpcoming Earnings
High Trading Volume
Decrease in Short Interest
TGODF
The Green Organic Dutchman
N/A$113.91 million$0.26+3.6%3.09 million1.04 millionHigh Trading Volume
Heavy News Reporting
GSAT
Globalstar
N/A$538.37 million$0.32+2.3%2.48 million3.15 million
GSAT
Globalstar
N/A$538.37 million$0.32+2.3%2.48 million3.15 millionHeavy News Reporting
CSV / Excel Export To export this table to CSV or Excel, upgrade to MarketBeat All Access.
Penny Stocks, What You Need To Know

In investing, as in life, you get what you pay for. Still, some investors are drawn to the idea of penny stocks. As their name implies, these stocks promise a large reward for a small risk. This article will help you understand what penny stocks are, where you can find them, why investors may get involved with them, and if they should be part of your portfolio.

What is a penny stock?

There is no consensus as to what price level defines a penny stock. What is clear is that a more apt name for these stocks would be “pennies on the dollar” stock. Some analysts will say for a stock to be a penny stock it has to sell for $1 or less. However, the Securities and Exchange Commission (SEC) defines a penny stock as one that trades for less than five dollars a share.

What makes penny stocks so attractive is easy to see. They promise investors a high return for a minimal investment. An investor that pays 25 cents a share would only need to see the stock rise to 50 cents a share to double their money. Some investors are equally seduced by the idea that the low cost of entry will allow them to buy a large number of shares, further increasing their potential reward. On the face of it, that sounds logical, but as we’ll explain there are other factors to consider.

Where can I find a listing of penny stocks?

To be fair, there are penny stocks listed on the major exchanges (i.e. Nasdaq, NYSE). To be listed on one of the major exchanges, however, means that the companies have to file with the Securities and Exchange Commission (SEC) and meet all their minimum filing requirements. While this can give you confidence that the company is legitimate, the fact that they are regulated removes some of the speculative nature of these stocks.

And it’s their speculative nature that makes these stocks appealing to many investors. However, “let the buyer beware” is very applicable when you look beyond the major exchanges to find a penny stock to invest in.

To begin with, these stocks are primarily listed in two places: the Pink Sheets and the Over-the-Counter Bulletin Board (OTCBB).  The pink sheets are a compilation of daily publications by the National Quotation Bureau. The companies listed on the pink sheets do not have to file with the SEC and do not need to meet minimum filing requirements, such as submitting a recent financial report. The penny stocks that are found on the OTCBB are still not listed on any of the major exchanges, but they do have to meet some minimum requirements. All this means that you, as an investor, will have a lack of information. And when it comes to deciding where to invest your money, information is power.

So why the cloak-and-dagger listings? Simply put, many penny stock companies are not financially healthy. Think about the fundamentals that many institutional investors look for when investing in a company. What is the company’s debt-to-income ratio (i.e. do they have liquidity)? Do they have a good market capitalization? This gives an investor a key to understanding how large the company is. And finally, what is the bid-ask ratio (i.e. the difference between the highest price that a buyer will pay and the lowest price a seller will sell). When this range is low (or tight), it means that, barring a major event or announcement, the price will not generally swing that much.

Many penny stock companies are considered a high risk in all of these areas. First, they are usually highly leveraged and in some cases may even be in bankruptcy. Second, they generally have a small market cap, which means the value of their outstanding shares is low. These companies can offer a higher margin of growth but also increase investor risk. Finally, the spread between their bid price and their ask price is usually large. This is significant because when securities trade within a fairly tight range, it reduces an investor’s exposure to risk because they have time to enter or exit a position.

Why do investors get involved with penny stocks?

Once again, it’s important to remember that when it comes to stocks, even penny stocks, there are no absolutes. It’s fair to say that all penny stock companies have some level of risk; otherwise, their share price would be higher. However, in some cases, an established company may just be going through a difficult time, but new leadership is in place and their long-term outlook is good. Or there could be a startup that truly just needs some capital to get off the ground. To determine if the company fits into one of these categories is to understand the difference between speculating and investing.

Many people who dabble in penny stocks are speculators, even gamblers. They are attracted to the potential reward of these stocks. They are not as interested in fundamental analysis or technical analysis. They are buying on emotion and they are justifying the facts. Most successful investors, on the other hand, need to see evidence of a likely return before investing their money into a given stock. They are not ruled by their emotions.

What are the risks of investing in penny stocks?

As we’ve mentioned, penny stocks are volatile. And any time you put your money into a volatile investment, there is a high degree of risk. What can make penny stocks riskier is the potential for fraud. This can manifest itself in many forms.

An investor may learn about a company from a newsletter that promises meteoric gains. These newsletters can appear very credible. However, if you read the disclaimers, you’ll find that in many cases, the company was paying the newsletter editor for their endorsement. This should be a gigantic red flag for you because if a company was a legitimately good investment, it wouldn’t need to pay to get an endorsement.

So how do you make money in penny stocks?

Despite their inherently risky nature, you can make money in penny stocks. Remember, no investment is without risk, but when it comes to penny stocks, there are some steps you can take to help minimize your exposure.

First, limit the percentage of your investable assets. Most experts say your exposure to penny stocks should be no more than 5-10 percent of your portfolio. Many experts suggest, as a best practice, you limit your exposure to any individual penny stock to 1 or 2 percent of your portfolio.

In personal finance, this might be equivalent to your “blow money”. This is the money that you can afford to lose and speculate with.  An important point to remember is to keep the exposure within this range. Penny stocks should be viewed as short-term investments. So if you do make a profit off of a penny stock, you should look to sell and invest that money into your long-term investments, thus keeping your exposure to penny stocks at a comfortable level.

The right question to ask is if I lost all of the money into these stocks, would I still be okay?

So with the idea that these are short-term investments, a second consideration would be to ensure that you can easily trade these stocks. One way to do this is to look at the average daily trading volume. Since it’s possible for you to own a large number of shares, it’s important that you pick a stock that allows you to sell a large number of these shares if necessary. In some cases, if the volume of a stock is only 1,500 shares a day and you own over 15,000 shares, that means there aren’t enough buyers for you to get out of your position quickly. So the profit you see on paper will never materialize. 

And, since you’ll be looking to trade these stocks rather quickly, you should make sure that you find a broker that is not going to charge you special fees or put in volume restrictions. Essentially, you want to be able to trade these stocks just as you would a regular stock.

An old-school tip that can help you decide if a stock is worth your risk, particularly for beginners, is to consider paper trading. This is a very simple concept where you invest an imaginary amount of money and then track your trades on pen and paper without exposing actual money. What this can help you see is how quickly a stock is moving and how much volume is changing hands.  After a couple of months of paper trading, you’ll be in a much better position to decide if investing in penny stocks is really for you.

Finally, remember to do your homework. You can find quality companies to invest in, particularly at the end of a bear cycle. It may be tempting to invest in the latest “hot stock or industry”. The penny stock industry is littered with companies that advertise the potential to make money in oil, gas, gold and other precious metals. However, if information about a company is not readily available, or if a company seems reluctant to provide that information to you, then it’s a sign that you should look for another investment.

Another good mantra to remember with penny stocks is to focus on companies where you may have some interest and/or expertise. While this may not sound exciting, because after all, professional athletes want to be rock stars and vice versa, it is vitally important. If you are a programmer, you will be much more likely to separate a tech guru’s hype from real innovation.

There are many good stock screening services available to help you find potential penny stock companies. This should not be the extent of your research, but it could help you create a quick short list in an industry that you can then individually research. Considering there are, literally hundreds of penny stock companies, having a tool that can help you uncover potential candidates can help focus your efforts.

The last word on penny stocks

While no investment is without risks, penny stocks are particularly risky investments. It can be difficult to understand the real value of a penny stock company. At the depth of the financial crisis in 2009, there were several companies who had drifted down to the level of penny stocks. In some cases, you can find one of these companies and snap them up when they are going through a rough cycle. On the other end, you may be looking at startup companies that are looking for investment capital with the promise of a high return on your investment. In some cases, unfortunately, the promise is more hype than hope and you can quickly lose your entire investment.

To invest in penny stocks, you should remember that if it seems too good to be true, it usually is. However, does that mean you should stay away from penny stocks? Not necessarily. Fortunately, there are many penny stocks to choose from so no one single candidate should be too good to pass on.

If you limit your exposure to penny stocks, apply the same principles you would apply to your other investments, and have both the time and the ability to move quickly in and out of your trades, there can be the potential to make money.



Enter your email address below to receive a concise daily summary of analysts' upgrades, downgrades and new coverage with MarketBeat.com's FREE daily email newsletter.