PreferredPennyStocks.com is the online home of Preferred Penny Stocks, a company that alerts its users to promising stocks so that they may invest in affordable stocks at a time that could be most advantageous.
The company claims that they call themselves Preferred Penny Stocks because they refuse to recommend 95% of the penny stocks they come across, instead only recommending the 5% that they research and decide are “preferred” stocks.
If you are interested in receiving email alerts from PreferredPennyStocks.com, you can sign up to receive their newsletter and their real time penny stock alerts for free. However, they caution that before you actually invest, it is up to you to perform your own due diligence on any company they recommend.
What Are Penny Stocks?
Penny stocks, or micro cap stocks, are stocks that trade under $5, though most companies that specialize in the promotion of micro cap stocks will focus on those companies whose shares are actually trading under $1.
Professional traders will warn their clients about penny stocks, however, because they are easily manipulated. Since the shares themselves are so affordable, it is very easy for a company or an individual to buy a large amount of a company’s stock in order to falsely inflate the value of that stock.
Once the stock price begins to rise, others can be manipulated into purchasing that stock, and then the company or individual can sell their shares at the inflated price, giving them a large profit but causing the stock value to decrease and negatively affecting the new investors.
What You Need to Know
Preferred Penny Stocks is not actually a financial agency. They are a marketing firm who is paid to promote certain companies by advertising their stocks and encouraging investors to purchase them.
Though Preferred Penny Stocks claims that they thoroughly investigate each individual company and will only promote those that they feel have the most promise, it is still important that you do your own research on the stocks they promote so that you aren’t being taken advantage of.
If you do not have the time to perform your own research, you should consider getting the opinion of a professional investment company.