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A guide to penny stocks: Should you take the plunge?

The promise of immense returns drives many investment decisions. But there's one area of the stock market where investing is akin to Russian Roulette.

A guide to penny stocks: Understanding their risks and rewardsAI-generated image

Imagine being able to buy hundreds of shares of a company for the price of a single coffee. That's the allure of penny stocks - low entry prices and the exciting hope of outsized returns. It's no surprise that they attract a steady stream of hopeful investors, especially beginners, in pursuit of their first multibagger.

This article was originally published on May 12, 2025.


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