Best Penny Stocks To Buy Today In India June 2023
Penny stocks are stocks of small publicly-traded companies listed on stock exchanges for a price
generally
lower than INR 10.
They are not frequently-traded stocks and often sudden bouts of market volatility determine the
returns
investors can potentially make on them
Being low on liquidity, penny stocks could be quite risky to invest in. For instance, you may buy
a penny stock
at a very low price but may not find buyers when you wish to sell it. Some penny stocks die out
with time and
may potentially get delisted resulting in losses. Hence, it is not necessary you would be able
to make
phenomenal returns when investing in penny stocks.
Penny stocks are stocks of small publicly-traded companies listed on stock exchanges for a price generally lower than INR 10. They are not frequently-traded stocks and often sudden bouts of market volatility determine the returns investors can potentially make on them
Being low on liquidity, penny stocks could be quite risky to invest in. For instance, you may buy a penny stock at a very low price but may not find buyers when you wish to sell it. Some penny stocks die out with time and may potentially get delisted resulting in losses. Hence, it is not necessary you would be able to make phenomenal returns when investing in penny stocks.
While investing in penny stocks, investors must remember one has to be diligent in their research and invest their entire corpus in a diversified manner to hedge against potential risks that come with higher return prospects of penny stocks.
Forbes Advisor India analyzed the top 50 penny stocks listed on the Bombay Stock Exchange and the National Stock Exchange and chose the top penny stocks that could potentially help investors build wealth. Stocks within the annual trading range of approximately INR 30 have been considered for this analysis.
Benefits of Penny Stocks
There are three main benefits of trading in penny stocks:
1.High returns upon low investment
One can buy a large number of shares at a very low price and make decent returns whenever the stock clocks gains. The performance of most penny stocks is dependent on news relating to their operating sectors and the possibility of making a sizable return upon stock rallies is high.
2. Investment in future winners or multibaggers
Stocks that are dormant or dead today may turn into multibaggers of tomorrow. Early investment in penny stocks that show future potential may set the investor’s path to be invested in stocks that exhibit robust growth trajectory.
3. Available for all to trade in
The low pricing makes penny stocks easy to invest in. Anyone who wishes to invest a small corpus in the stock market is able to buy a considerable number of shares and hence penny stocks are available for all to trade in.