Penny stock investing...is this a good idea?

First, a quick background. I'm a college student and my knowledge of investing in stocks is limited to the few economics and finance courses I have taken. Anyway, I have about $7,000 just sitting in a savings account which I have been accumulating since I was a teenager (I practically save all my money). I have... show more First, a quick background. I'm a college student and my knowledge of investing in stocks is limited to the few economics and finance courses I have taken. Anyway, I have about $7,000 just sitting in a savings account which I have been accumulating since I was a teenager (I practically save all my money). I have no need for that much liquidity (my parents pay my tuition and for my car and tell me not to get a job while in college because it'll mess with my academic performance) and wanted to see if the following is a feasible idea, or if I'm just a moron.

I follow a lot of different stocks, some obscure ones. But anyway what if I were to, for example on a whim, buy about 100,000 shares of green gold ray energies stock (GRYE) for $0.05 a share for $5,000 total. Hold onto it for a year and some change to avoid the short term capital gains tax, and sell all my shares at some point in the future when the stock price is significantly higher, say $0.50 or more.

I know the point of investing is to diversify, "stay in it for the long run", etc... But would this be a decent idea? Keep in mind, I have no need for all $7,000 of my money at this point in time, and probably won't until I graduate in about 2 years. I suppose I could start saving for retirement now, or do many more intelligent things with my money...but I just want to know if this would work!
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