Should I Invest in Penny Stocks?
My Exclusive Free Workshop The Four P's of Building a Successful Investing Program → https://spxinvesting.mailchimpsites.com
Blog: https://spxinvestingblog.com
Facebook Public Group: https://www.facebook.com/groups/433843641082343
Bid/Ask Prices and Spread: https://youtu.be/HcaseEa-qss
Liquidity: https://youtu.be/jDXUy7Mic7Q
Should I Invest in Penny Stocks?
Penny Stocks
A Penny Stock is a stock that trades under one dollar per share ($1).
Many Investors find it enticing to buy a stock at such a low price.
One positive factor is that many shares can be purchased at very low prices. If the stock climbs significantly, a significant profit can be realized.
Usually, a profit is seen when a Penny Stock only increases in value by a few cents.
The Reality of Penny Stocks
Making a profit on a Penny Stock is quite deceiving.
For example, it does not seem that far-fetched to buy a stock at $0.10 per share and then sell it at $0.20 per share.
The first question that should be asked is, “WHY is this stock only $0.10 per share?
If the Stock Market considers this to be a valuable stock, the price per share would be much higher.
For every thousand stocks that may be bought under $1 per share, perhaps ONE will climb in value.
More importantly, these stocks are often so thinly traded that the Bid/Ask Spread is typically very large.
Not only is it difficult to sell at a favorable price, finding a buyer on the other end of the transaction can take time or may not be possible.
High-Quality Stocks
The SPX Investing Program does not teach about Penny Stocks or even give them much regard.
Investing in Penny Stocks should be considered gambling.
The S&P 500 Index (SPX) is comprised of much higher-quality stocks.
Stocks of high value and quality are usually referred to as Blue Chip Stocks.
-
45:12
The SPX Investing Program
3 days agoInterMarket Analysis Update for Tuesday May 28, 2024
56 -
42:30
The SPX Investing Program
2 years ago $0.06 earnedShould I Invest in Forex?
279 -
44:50
The SPX Investing Program
2 years ago $0.05 earnedShould I Invest in Cryptocurrencies?
177 -
1:33
EntertainmentVideos
2 years agoWhy You Should Invest In Gold Coins?
47 -
6:27
AndersonAdvisors
3 years agoShould I Invest in Stocks or Real Estate? (Which one is better?)
37 -
2:16
WPTV
3 years agoShould you invest in Dogecoin?
4951 -
32:19
David Diga Hernandez
14 days ago $0.22 earnedHow to Eliminate Spiritual Laziness Once and For All
34.8K27 -
23:19
Scammer Payback
1 day agoWe Created the First Ever 𝗔𝗡𝗧𝗜-𝗦𝗖𝗔𝗠 Call Center
136K189 -
7:01
Dr. Eric Berg
18 hours agoIs This Why You’re Stressed or Not Sleeping?
51.6K22 -
39:46
The Dan Bongino Show
14 hours agoEXCLUSIVE: President Trump Slams Sham Trial (Ep. 2260) - 05/30/2024
524K1.84K