Super cheap stocks are the penny stocks having a value less than $5 per share. You can’t resist making investment in these stocks as they are low rated and show ups and downs in a small period of time. If you think wisely about the concept, it will reveal that penny stocks are unpredictable and there is something fishy with them. Real world stocks having high value don’t get deviated very soon, but the case is different for penny stocks. You can’t get rich by making investment in penny stocks, but they will surely teach you to make investments.
It is not worthless to invest in penny stocks. There are some reliable startup companies floating their stocks on pink sheets or Over-The-Counter platforms to inculcate money. However, investment in pennies can be very fruitful if your association goes on with the right companies instead of scam companies. Get to know more on pump and dump scams in penny stocks here. Your money management skills will improve with penny stock investments and in general, you will become aware about these super cheap stocks with fullest understanding of stock market in general. Don’t involve too much money and in the beginning, invest only $200-1000 to initiate your investments with penny stocks.
Just by looking at the per share value, don’t think that it will give you best results. You need to check out the whole facts about the company and its stocks to make the final decision. The undervalued stocks can go towards higher levels by full utilization of the stocks. Super cheap stocks are illiquid and not many shares of this category are traded on regular basis. You won’t be able to find a buyer for the stocks because not many people trust these stocks for investment. You can act smartly by making selection for the most appropriate companies.
The risk of investing in OTC markets is that they might have low quality and junk stocks and only a very few stocks have worth.