low priced stocks
Individual investors have always had a soft spot for cheap stocks to buy, but get scared away because traditional Wall Street dogma would have you believe that these stocks are too speculative and dangerous for most individuals.
But cheap stocks can be among the best stocks to buy because they bring several advantages to a portfolio.Read more...
Low-Priced Stocks: Four Profit Plays That Show How to Separate the Treasure From the Trash
Investors have a weakness for low-priced stocks. The logic is pretty easy to see: If you buy shares at $1.00, and the stock takes off, you can pocket a bundle.
But if you're wrong, this line of reasoning goes, you only lose a buck.
Unfortunately, when it comes to low-priced stocks, the situation isn't always that simple: That $1.00-a-share stock isn't always "cheap" - while that $100-a-share stock can end up being the real bargain.