Useful Points to Consider for New Investors in Marijuana Penny Stocks
Every investment is made with an intention to get the best return on it. Therefore, it is essential to consider some points before investing in Marijuana Penny Stocks, especially if you are a new investor in such stock.
You can find several companies for stock filings in the several exchange sites. You can get all the necessary information from such sites, and you should go through it very carefully, especially for the revenue figures.
This will help you to make sure that there is always some money coming in. Make sure the site as well as the company is authentic and do some research to know about their reputation.
Look Before You Leap
You will find some traders that buy stocks first and later on publicize the positives of the companies so that the price of the stock rises. This way such traders sell the shares of unsuspecting investors and reap huge profits. The best way to know about a company is to talk with them directly. If you find no one answering your call or you only get to the voicemail, then consider it to be a bad sign.
You can also look in the financial websites to find out whether the management of the company is selling their shares. If you find so, a red flag that company.
Check At The Exchange
You should also check at the exchange as there are companies of cannabis industry in large exchanges. Find about true Marijuana Penny Stocks and always stay away from the pink sheet stocks. Most of the marijuana stocks trade in over the counter market that has varying levels as far as transparency is concerned.
You should be wary of companies that put frequent and multiple press releases and newsletters as they may be getting paid to do so. Most importantly, follow the marijuana index to get a better idea of your investment.