You guys have a great knack for finding penny stocks that are financially sound. One stock that you noted, was Tesoro Energy which I recently bought last week. This week, and particularly today, it's up over 140%!
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The Future of Penny Stock Investing
October 3rd, 2006
The penny stock game has changed dramatically in recent years.
In the old days, ruthless penny stock promoters would trick old ladies out of their retirement savings by touting shares in fake companies.
That was curbed through law enforcement.
Then their was a phase called 'pump and dump', as the internet became popular and 12 year old kids would make $400,000 from their mom's computer, manipulating the prices of fractional penny stocks. (Meaning driving a 1/10 of a cent stock to 1/3 or a cent, in the most unusual cases).
That was curbed through law enforcement and a maturing of internet accumen among would-be victims.
Now for the first time, investors are recognizing that if you get involved with the right penny stocks, it can be a very lucrative career. While 95% of penny stocks don't make the Leeds Analysis cut, there are those 5% that have:
- proven management teams
- increasing revenues
- increasing earnings
- patented technologies
- low debt loads
They are often inexpensive in share price simply because they are so new, or small, or undiscovered.
Recognizing that the penny stocks game has improved and evolved so dramatically, investors are taking advantage of the power of penny stocks for the first time. If you think that you may have an interest in such an investment vehicle, check out our professional penny stock picks.