What are ASX penny stocks? 

Penny stocks are shares that typically trade for less than $1. Sometimes they swap hands for just a few cents – hence the name. On the Australian Securities Exchange, these stocks are usually found among micro-cap or early-stage companies, particularly in sectors like mining exploration, biotechnology, and emerging technologies.

The small end of the ASX is significant. Of the roughly 2,200 listed companies in 2026, estimates suggest around 900 to 1,000 trade below $1 at any given time, highlighting just how large the penny stock universe is. More broadly, Australia’s market is heavily skewed toward smaller companies, with around 65% of listings valued under…