What Are Penny Stocks?
Penny stocks are often the first natural stop for many new investors. Penny stocks, as the title indicates, are enterprises that trade their shares at a cheap rate, in India that price can be as low as Rs. 0.01.
It is indeed easy to imagine why beginners get pulled along by the idea of investing in a firm for a few paise and then trading it to make a decent sum when the price rises into a higher range. Because of the incredibly cheap pricing, an investor may hold a number of stocks for a fairly modest sum of money. With that size, a few pennies per share gain may result in huge percentage profits, however, the tables can turn to make huge losses as well.
For various causes, including a liquidity problem, the amount by which the list price surpasses the bid price for an instrument, a small market valuation, and restricted circulation and transparency, such stocks are often regarded as extremely uncertain and carry significant risk.
The range illustrates how costly or cheaply a penny stock is trading. The wider the gap, the costlier it is for investors to acquire them, which might convert to increased risks for investors hoping to profit from such assets’ price rise.
Due to the obvious risks inherent with penny stocks, many investors believe it is not worth investing in them. However, there are a decent number of investors who believe that they’re fine if you understand and stick to a disciplined strategy and have the time to thoroughly manage your assets.
Best Penny Stocks In Indian Share Market
|Sr. No||Company Name||Industry||CMP (Rs.) Mar 2022||BSE Scrip Code||NSE Symbol||Rating|
|1||ALOK INDUSTRIES LTD||TEXTILES||20.5||521070||ALOKINDS||#N/A|
|2||DISH TV INDIA LTD||BROADCASTING & CABLE TV||15.2||532839||DISHTV||0.5|
|3||MOREPEN LABORATORIES LTD||MOREPENLAB||56.3||500288||MOREPENLAB||0.5|
|4||GMR INFRASTRUCTURE LTD||AIRPORT SERVICES||26.2||532754||GMRINFRA||0.5|
|6||VODAFONE IDEA LTD||TELECOM SERVICES||8.8||532822||IDEA||0.5|
|7||JAMMU&KASHMIR BANK LTD||BANKS||29.4||532209||J&KBANK||0.5|
|8||BANK OF MAHARASHTRA LTD||BANKS||25.7||532525||MAHABANK||0.5|
|9||INDIAN OVERSEAS BANK||BANKS||17.5||532388||IOB||0.5|
|10||MMTC LTD||COMM.TRADING & DISTRIBUTION||58.2||513377||MMTC||0.5|
|11||NBCC LTD||CONSTRUCTION & ENGINEERING||47.9||534309||NBCC||0.5|
|12||RAIL VIKAS NIGAM LTD||CONSTRUCTION & ENGINEERING||29.7||542649||RVNL||0.5|
|13||NATIONAL FERTILIZERS LTD||FERTILIZERS||68.2||523630||NFL||0.5|
|14||SJVN LTD||ELECTRIC UTILITIES||27.8||533206||SJVN||2|
|15||MANALI PETROCHEMICAL LTD||PETROCHEMICALS||81.1||500268||MANALIPETC||0.5|
|16||TV18 BROADCAST LTD||BROADCASTING & CABLE TV||41.9||532800||TV18BRDCST||0.5|
|18||NHPC LTD||ELECTRIC UTILITIES||25.8||533098||NHPC||1|
|19||UJJIVAN SMALL FINANCE BANK LTD||BANKS||29.4||542904||UJJIVAN SFB||3|
|20||HBL POWER SYSTEMS LTD||HBLPOWER||45.2||517271||HBLPOWER||0.5|
|21||YES BANK LTD||BANKS||13.4||532648||YESBANK||1|
The above list is curated for information purposes only, and if you wish to get your hands on penny stocks you must first consult your fund manager or broker.