2021年4月30日星期五

Two Sides to Every Penny Stock

Here's Everything You Need to Know to Be On The Right Side of The Market

Hey Trader,

Traders generally fall into one of two camps when it comes to penny stocks. 

They either love 'em or they hate 'em.

While penny stocks are cheap and therefore easy to get into, the downside is that there just isn't a lot of information readily available about the companies to base investments on.

The only way to really know what's going on at these under-the-radar operations is to know someone on the inside… 

Or to follow those insiders' trades. 

That's exactly what I'm doing on my latest pick — a small staffing firm that just completed a secondary stock offering.

What's interesting is that not only did all of the shares sell, but the underwriter exercised in full its over-allotment option to purchase an additional 12.5 million shares. 

In other words, they like the stock and want as much of it as they can get. 

The only downside is that secondary offerings dilute current shareholders — since more shares now exist, each one represents a smaller equity stake.

So it's natural for the stock price to drop when the offering is complete. 

And that's precisely what happened here. 



However, this extreme drop seems like an overreaction… 

And several of the company's insiders agree:



Three insider buys, all in the same day… totalling over $267,000 in personal investments.

What's more is that all three of these execs are first time buyers, which makes their conviction that much stronger.

At roughly $0.63 a share, it won't take a huge move to generate a nice percentage return.

Of course, the opposite is also true, and just like with any trade, there is some risk involved here.

But I believe the risk is worth the potential reward… 

So if you'd like to learn more about my unique method for tracking down these under-the-radar insider buys AND discover how you can access this and all my other insider trade opportunities, just click here to view a free on-demand training session!

Invest well,

 

   

Ross Givens
Precision Volume Alerts

Market Traders Daily
Director of Client Services
888-228-2376

Disclaimer: Futures, forex, stock, and options trading are not appropriate for all traders. There is a substantial risk of loss associated with trading these markets. Losses can and will occur. No system or methodology has ever been developed that can ensure returns or against losses. No representation or implication is being made that using any of these methodologies or systems will generate returns or ensure against losses.
 

Global Profits System International
14422 Shoreside Way STE 104-153
Winter Garden Florida 34787
United States


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