Finding Companies with Growth Potential



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Any smart investor knows that the early bird always gets the worm. Of any stock class, penny stocks have the greatest potential to deliver the highest returns.  There’s no easy recipe for best penny stocks investing returns but  buying a successful international company when it first goes public just for pennies per share is usually a good place to start. If one held on to these shares, their percentage returns are likely in the four digits. The growth-orientated investor knows that penny stocks are where the promise of multiple returns lies. A penny stock is defined as a stock whose price is below $5. focuses on the up and coming companies with compelling stories. After all, there are thousands of companies listed on the North American stock exchanges. To stand out from the crowd, these companies must demonstrate their ability to build shareholder wealth. Penny stocks are mostly stocks issued by young companies looking to grow their business operations.
For their stock price to go significantly higher, the company is successfully moving forward on their business objectives. These companies have unique products that the market wants and are rapidly growing sales and profits. Or these companies have successfully found new resource discoveries. Once the rest of the market find out about these stock gems, the share price tends to appreciate substantially due to strong investor demand and the company’s relatively small share float.