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Is it Penny stocks Worthy

Can we Buy Penny stocks

By Vinoth Kumar Published about a year ago 3 min read

Many people still think of buying Penny stocks.

What is Penny stocks?

The stocks which starts from Rs.1 to Rs.50 will be as penny stocks.Every penny is important as the name indicates,why we are fear about buying penny stocks.We can also term it as risky stocks.

Can we buy penny stocks?

We can buy penny unless if you are a strong player in the share market.As a beginner, kindly avoid penny stocks for purchasing. Example we see Suzlon,Luharuka,JP power,Globe and many more If you buy these stocks can make more profit if you analyse and purchase.The above stocks are standard stocks, still you have to analyse the fact of the market movement.

What Benefits you can get from penny stocks?

1. The amount you purchase will be very less, so any one can buy those stocks which might give good results if you buy in bulk for long-term. 2.Even monthly income 10k to 20k can also buy those penny stocks. 3.Low liquidity stocks,any time you can purchase,any time you can sell.

Is it good for Long-term?

Many penny stocks will be good for long-term, as it will rise only gradually.And for penny stocks, the company might will run with huge competition.when competition arises, the stocks may get gradually decrease or even the company may get closed.The risk factor is the major strategy and incredibility in the penny stocks.For example, There was sudden increase in the yarn and cotton price allover the world.This affects the total production of the manufacturing company and also the stocks of yarn,purchase of yarn,seller of yarn,purchase of cotton,seller of cotton,low projects for the yarn and cotton company will affect.If the project is not available, there will be reduction in employement which leads to reduction in the share market price.Many companies will think of becoming stake holders when it comes to penny stocks.

what can be the conclusion can we buy or not?

Yes, you can purchase unless you become the strong in the share market.Study the full company profile,projects,leverages,balance sheet and then you can purchase the stocks.

Penny stocks you can focus

1. Suzlon 2.JP power 3.RJ Bio-tech 4.Gujarat Poly 5.GVK power infra 6.Luharuka 7.Hathway Bhavani 8.Banas finance 9.Digicontent 10.Garbi finvest

Kindly check the video, copy and paste it in the URL https://youtu.be/M_zkxRWgJk8h

The Penny stocks can be hold for a long-term where you can study the full company future projects.

Future penny stocks YES Bank Bank of Maharashtra Central Bank of India NHPC Indian Railway Finance Corporation

Penny stocks, because of their low price, are used to get trading experience for new traders. These stocks are very low priced, and it is almost risk-free to try your luck with penny stock trading. Penny stocks are quite popular with small investors because of their potential for huge gains. The gains may be in the range of 300% to 500% or even higher. Even if you have a small investment of Rs 100/-, you can still gain up to Rs 500/- profit.

Multibagger Penny Stocks

Multibagger Penny Stocks are identical to penny stocks; the only difference is that their price rises every once in a while from the time you invest. If an investor invests in a stock priced at Rs. 10 and the price rises to Rs. 20, the stock is known as a two-bagger. Similarly, if the price exceeds Rs. 30, it is referred to as a three-bagger, and so on. When the price reaches Rs. 20, it is a 100% profit, and when it reaches Rs. 30, it is a 200% profit and continues to rise. This is known as Multibagger Penny Stocks. There is no standard definition for multibagger stocks, however a stock is said to be a multibagger when it can provide 100% or more returns in a short period, i.e. when it becomes 2X or 3X its original value.

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About the Creator

Vinoth Kumar

Hi, This is Vinoth Kumar Sritharan.Welcome to the Vocal media page,Here its my page you can view all the details regarding Share market,stocks,market up and down,Trading,NSE,BSE,company details and focus on company and more.

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