The 7 Best Penny Stocks for 10 Cents or Less
When talking about penny stocks for 10 cents or less, the term “best” may not be a word that first comes to mind. Many penny stocks, almost all of which trade over-the-counter (or OTC) rather than on a major exchange, trade at bargain basement prices for a reason. For instance, many of the names in this category wound up trading for literal pennies, due to heavy dilution from what’s known as “ death spiral financing .” Other times, stocks trade this cheaply as a result of a lack of information and|or a sketchy operating history. Cons, scams and market manipulation are rampant in this area of the market. A lack of liquidity is another factor behind these super-low stock prices. OTC-traded stocks with low volume many times will have extremely high bid|ask spreads. Having said all this, if you are active in OTC stocks and have a high appetite for risk, you may want to take a look at these seven penny stocks for 10 cents or less. Each one has been recently profitable (on an EBITDA basis) or trades at a discount to its book value.
The 7 Best Penny Stocks for 10 Cents or Less
When talking about penny stocks for 10 cents or less, the term “best” may not be a word that first comes to mind. Many penny stocks, almost all of which trade over-the-counter (or OTC) rather than on a major exchange, trade at bargain basement prices for a reason. For instance, many of the names in this category wound up trading for literal pennies, due to heavy dilution from what’s known as “ death spiral financing .” Other times, stocks trade this cheaply as a result of a lack of information and|or a sketchy operating history. Cons, scams and market manipulation are rampant in this area of the market. A lack of liquidity is another factor behind these super-low stock prices. OTC-traded stocks with low volume many times will have extremely high bid|ask spreads. Having said all this, if you are active in OTC stocks and have a high appetite for risk, you may want to take a look at these seven penny stocks for 10 cents or less. Each one has been recently profitable (on an EBITDA basis) or trades at a discount to its book value.