With the Right Penny Stock Info Anyone Can Pick Winners - Here"s Five Great Tips to Get You Started
Not every big company out there ran an IPO for $30 or $60 per share.
There are some very big companies today that were once penny stocks.
Companies like GM, Xerox and Ford once traded for a fraction of today's share prices, and back in the day there were people that rode that stock up as the price soared and those people made a lot of money.
With the right penny stock info, anyone could become a millionaire.
One of the roadblocks on the road to becoming rich overnight is the fact that companies whose stock doesn't trade on one of the big exchanges aren't subject to the rules and requirements those exchanges enforce on their members.
That means that there is less reporting coming from the company, more risk of accounting fraud and other problems, and even the outside risk that some penny stock companies might not even really exist and could have been set up just to defraud investors.
Top that all off with the fact that these companies by definition are not worth a lot of money right now and by virtue of that they don't tend to generate a lot of interest from the sorts of people who do financial research on Wall St.
In short, there is an information deficit that needs to be overcome in order to figure out which stocks are more likely to rise and become captains of industry.
Here are some ways you might be able to tilt the playing field in your favor: CALL THEM - Most companies should have an Investor Relations contact.
Write some questions down, give the company a call and ask to speak with them.
Think of it sort of like a job interview, it's their job to try and put on their best face and sell you on how good their company is, and it's your job to determine at the end whether or not they are worthy of being "hired" as one of your investments.
BECOME A CUSTOMER - Find out what they do and then buy their product or service.
See if you think it has value.
Determine if there's anything different about this company that sets them apart from the competition.
KNOW THE COMPETITION - Find out who their competition is and what they're up to.
See which company has the better business plan and is likely to get more customers and make more money long term.
If the original company doesn't measure up, maybe you should consider investing in their competitor.
KNOW THE MARKET - Learn about the industry the business is in and anything that's going on there right now.
Learn about the locality as well.
Find out if there are any local politics or other news going on that might affect the company's long or short term business.
Any penny stock info you can get is potentially helpful.
PICK THE BEST ONES - Don't put your money in every company that looks halfway decent.
Build up a list of companies that look good and then pick only the best of the best to invest in.
Smart investors don't put all their eggs in one basket, so if you were planning on splitting your money up between 5 different companies, spend the time and effort to research 15 or even more companies to make sure when you're ready to invest you will have 5 companies that aren't just "pretty good" but are in fact very likely to be winners.
There are some very big companies today that were once penny stocks.
Companies like GM, Xerox and Ford once traded for a fraction of today's share prices, and back in the day there were people that rode that stock up as the price soared and those people made a lot of money.
With the right penny stock info, anyone could become a millionaire.
One of the roadblocks on the road to becoming rich overnight is the fact that companies whose stock doesn't trade on one of the big exchanges aren't subject to the rules and requirements those exchanges enforce on their members.
That means that there is less reporting coming from the company, more risk of accounting fraud and other problems, and even the outside risk that some penny stock companies might not even really exist and could have been set up just to defraud investors.
Top that all off with the fact that these companies by definition are not worth a lot of money right now and by virtue of that they don't tend to generate a lot of interest from the sorts of people who do financial research on Wall St.
In short, there is an information deficit that needs to be overcome in order to figure out which stocks are more likely to rise and become captains of industry.
Here are some ways you might be able to tilt the playing field in your favor: CALL THEM - Most companies should have an Investor Relations contact.
Write some questions down, give the company a call and ask to speak with them.
Think of it sort of like a job interview, it's their job to try and put on their best face and sell you on how good their company is, and it's your job to determine at the end whether or not they are worthy of being "hired" as one of your investments.
BECOME A CUSTOMER - Find out what they do and then buy their product or service.
See if you think it has value.
Determine if there's anything different about this company that sets them apart from the competition.
KNOW THE COMPETITION - Find out who their competition is and what they're up to.
See which company has the better business plan and is likely to get more customers and make more money long term.
If the original company doesn't measure up, maybe you should consider investing in their competitor.
KNOW THE MARKET - Learn about the industry the business is in and anything that's going on there right now.
Learn about the locality as well.
Find out if there are any local politics or other news going on that might affect the company's long or short term business.
Any penny stock info you can get is potentially helpful.
PICK THE BEST ONES - Don't put your money in every company that looks halfway decent.
Build up a list of companies that look good and then pick only the best of the best to invest in.
Smart investors don't put all their eggs in one basket, so if you were planning on splitting your money up between 5 different companies, spend the time and effort to research 15 or even more companies to make sure when you're ready to invest you will have 5 companies that aren't just "pretty good" but are in fact very likely to be winners.