To get to financial freedom it will take some time and effort. One of the best ways to get there is by trading penny stocks.
One of the fastest ways to find out about penny stocks is through the financial sections of websites like Google or Yahoo. Finding these stocks is not enough though. You need screening properties. If you’ll look for penny stocks that trade under $250million in market capitalization you’ll get thousands of results or more. After you put this into the maximum market capitalization you’ll then want to look at the price/earnings, price/book, and price/sales ratios for each of the stocks.
You can develop an edge against other investors in the market by following this next step. You’ll want to take these stocks and access their financials, insider trading and business description. After this you’ll want to look at the company’s SEC filings and their 8-K, 10-Q and other statements. Look at the company’s website if there is one. This will take a lot of time but if you do this diligence you can be rewarded greatly in the end. This is the way to find penny stocks that can make you a lot of profits.
Penny stocks are often the stocks that do not get the attention they deserve but have the potential to rise very high in a short amount of time. You may be overwhelmed having to do so much research but it is definitely worth it. Those who are diligent and patient and do the work can find the greatest opportunities in the market.