Are penny stocks worth investing in?
I'm very new to stocks and investing, so this might sound like a stupid question. But if anyone can help me, ill gladly take the advice. I handle my trading through USAA. I recently put $120 in my trading account just to mess around with and see what happens. I've placed some money in bigger companies, but lost a bit of it. so i sold what i could, and invested about the $100 i had left in a penny stock. I got 50 shares out of it, and it went from $1.30/share to $2.16/share in the past 2 days. It seems like a safe way to make money....is it really worth it? how risky is it if i decide to buy more of these shares? and is it necessary to hire a stock agent to help me out with my decisions?
Samson Oil and Gas- Symbol SSN
- I Like TurtlesLv 78 years agoBest Answer
It is hardly a safe way to make money. Penny stocks are like going to the casino, sometimes you hit it lucky and other times you lose it all. If you are starting with a small amount such as you are, I suppose it's a possible means of increasing your bankroll quickly and by a decent amount. But be advised, the penny stock business is full of fraud (ex: pump and dump schemes abound) and you can lose big more easily than win big.
- Anonymous5 years ago
You should try with Penny Stocks Trading (you can find more info here: http://pennystocks.toptips.org )
Penny stocks, also known as cent stocks in some countries, are common shares of small public companies that trade at low prices per share.
I've been subscribing to this PennyStock web site for about a year now and have loved the objective advice they give. He really does look for quality stocks and I've made some pretty nice profits on a lot of his suggestions. Being still fairly new to investing I have been dabbling a lot in penny stocks to try and grow my account. I may not have a big account, but it's a lot bigger than it was a year ago. On just one of Nathan's picks this year I managed to make my investment back ten-fold! Be careful! Penny stocks are notoriously risky but if you follow the right method the risk is almost 0. I suggest to invest only little money first and then reinvest the profits. This is the site I'm using: http://pennystocks.toptips.org
I hope it helps