Penny Stocks
Stocks with a very low price, typically below $3 or $5. These stocks are typically for companies performing very poorly and could be on the verge of bankruptcy. Penny stocks are frequently the targets of scams, where fraudulent investors buy up penny stocks, try to get other people interested in the company with fake news, then sell their stocks when the price rises by a few cents (which may mark a very high percentage of the stock’s price).
Related Lessons
