What Are Penny Stocks? Meaning, Examples, & Investing Risks

The risk could cost you a pretty penny.
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Does a stock with a low price automatically feel like a bargain? What about that small, publicly held company you just read about on social media that nobody knows about, but is poised to become the next NVIDIA (NVDA) or Amazon (AMZN)?
Welcome to the world of micro-cap and penny stocks. They’re affordable, often over-hyped moonshots that could offer up a 10,000% return on your money … or cost you your entire investment. In a way, they’re the parlay bets of the investing world.
Get familiar with these types of stocks—including how to allocate your funds responsibly and assess the risks and potential…