Is there downside to purchasing stocks that are delisted?

6 Answers

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  • Steve
    Lv 6
    1 month ago

    Not always, but mostly. Stocks move with volume. If its not on NASDAQ or The NYSE, it will be largely forgot about. They could still have a promising future, though, and can still get onto one of those exchanges in the future. A delisted stock is hurt, but not dead in the water. Look at its fundamentals and decide with that. Ive bought quite a few over the counter stocks that emerge into $2 or more stocks, so it can be done.

  • 1 month ago

    They got kicked off the exchange for a reason - usually because the price dropped too much for them to remain on the exchange they were listed on or they went under.

  • kswck2
    Lv 7
    1 month ago

    Delisted stocks have an Up side and a Down side. The company can get their crap together and get relisted, or they can just drop into the Illiquid Securities zone, where you have the stock and want to sell it, but no one wants to buy it. This is/was common in Mining stocks from the 1920's-1930's.Technically they are still in business, but no one wants to trade their stocks. 

  • 1 month ago

    Yes.  You will be stuck with them the same way you would be stuck with 10,000 Powerball tickets  if you had bought them yesterday.

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  • Anonymous
    1 month ago

    Yes, but there is upside too. Most should avoid them.

  • Anonymous
    1 month ago

    1)  Shares are delisted for reasons that probably make them undesirable investments for most people; and

    2)  Good luck selling them.

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