Shares of stock from publicly traded companies that trade for less than one dollar per share are penny stocks. Penny stocks are also referred to as nano-cap stocks, micro-cap stocks, small cap stocks, and OTC
(Over the Counter) stocks. Although the stocks don’t necessarily have to be trading below one dollar, or in the pennies to be called penny stocks, the U.S. Securities and Exchange Commission (SEC) uses the term “penny stock” to refer to any security that is trading at less than $5 per share.
Penny stocks are traded on the Over-the-Counter Bulletin Board (OTCBB) or the Pink Sheets (the OTC Markets Group) stock market exchanges. You can see the potential value the penny stock domain name Hot “OTC” Stocks has within the lucrative penny stock industry.
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