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+--- Thread: Finding Penny Stocks (/showthread.php?tid=5977283)
Finding Penny Stocks - amethyst - Jun 6, 2019
What is the best way to find penny stocks and create a portfolio? Just starting out and trying to figure out where to start?
RE: Finding Penny Stocks - 007 - Jun 7, 2019
Posting here since Im interested too.
RE: Finding Penny Stocks - NZT - Jun 7, 2019
Just a reminder that penny stocks shouldn't really account for more than 10% (5% really) of your portfolio.
Risk level is huge with so many of them turning into nothing.
To find ones, begin with an industry you know well. Screen out the pink sheets for all stocks in your industry. Then sort them by a factor of your choice, could be anything, P/E ratio etc. etc., and then take the ones that stand out to you (perhaps due to a lower than mkt average P/E, signalling they are undervalued) then conduct suitable DD.
RE: Finding Penny Stocks - Grey Knight365 - Jun 7, 2019
Penny stocks rarely are good payouts, you'd be better off in crypto then penny stocks in my opinion IMO.
RE: Finding Penny Stocks - amethyst - Jun 8, 2019
(Jun 7, 2019 11:37 AM)NZT Wrote: Just a reminder that penny stocks shouldn't really account for more than 10% (5% really) of your portfolio.
Risk level is huge with so many of them turning into nothing.
To find ones, begin with an industry you know well. Screen out the pink sheets for all stocks in your industry. Then sort them by a factor of your choice, could be anything, P/E ratio etc. etc., and then take the ones that stand out to you (perhaps due to a lower than mkt average P/E, signalling they are undervalued) then conduct suitable DD.
Thanks for the advice 5% to 10% maximum sound reasonable. Might I ask what these abbreviations mean P/E ratio mkt average and Pink Sheets
RE: Finding Penny Stocks - geist - Jun 9, 2019
You don’t, OP. 99% of the time it’s not worth your time or capital.
RE: Finding Penny Stocks - FizzyPijin - Jun 9, 2019
[quote='Kali' pid='58652729' dateline='1559914664']
Posting here since Im interested too.
NOICE big epic win for the gamers
RE: Finding Penny Stocks - NZT - Jun 9, 2019
(Jun 8, 2019 10:56 AM)Wurl_Order Wrote: Thanks for the advice 5% to 10% maximum sound reasonable. Might I ask what these abbreviations mean P/E ratio mkt average and Pink Sheets
PE is the price to earnings ratio. i.e. how the stock price relates to the company's profitability.
Pink sheets "refer to a listing service for stocks that trade via over-the-counter (OTC). Pink sheet listings are companies that are not listed on a major exchange like the New York Stock Exchange (NYSE) or Nasdaq. Stocks listed on the pink sheet are usually small penny stocks that trade for less than five dollars per share."
RE: Finding Penny Stocks - brynd63 - Jun 14, 2019
Thank you for the well explained answers, I found them useful.
RE: Finding Penny Stocks - amethyst - Jun 15, 2019
(Jun 9, 2019 12:31 PM)NZT Wrote: PE is the price to earnings ratio. i.e. how the stock price relates to the company's profitability.
Pink sheets "refer to a listing service for stocks that trade via over-the-counter (OTC). Pink sheet listings are companies that are not listed on a major exchange like the New York Stock Exchange (NYSE) or Nasdaq. Stocks listed on the pink sheet are usually small penny stocks that trade for less than five dollars per share."
Thanks for the Information
(Jun 9, 2019 12:31 PM)NZT Wrote: PE is the price to earnings ratio. i.e. how the stock price relates to the company's profitability.
Pink sheets "refer to a listing service for stocks that trade via over-the-counter (OTC). Pink sheet listings are companies that are not listed on a major exchange like the New York Stock Exchange (NYSE) or Nasdaq. Stocks listed on the pink sheet are usually small penny stocks that trade for less than five dollars per share."
So Shorting the stock would be a good approach
RE: Finding Penny Stocks - NZT - Jun 16, 2019
(Jun 15, 2019 02:02 PM)Wurl_Order Wrote: So Shorting the stock would be a good approach
To determine whether you should short the stock, you should look at the company's fundamentals and their propensity to become/remain profitable in the future.