These penny stocks are trading cheaply and have the potential to break through
Even though some penny stocks have multi-bagger potential, they’re incredibly risky. The companies behind them typically haven’t had much experience in the marketplace. However, well-known companies may also fall under this category if their shares have plummeted. With proper due diligence and diversification, penny stocks could add a lot of value to your portfolios.
Penny stocks are typically those shares which are trading below the $5 mark. They tend to be inherently riskier than large-cap companies. However, if picked wisely, they have the potential to provide big gains.
August was a great month for penny stocks, including those popular on social media sites. With higher volatility across all markets as well as lower interest rates, investors should scoop up some penny stocks. Here are seven that can break out by the close of this year:
This article originally appeared at InvestorPlace.