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Advantages of Investing in the Top Penny Stocks 2012

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Opportunities of the Top Penny Stocks 2012 Has to Offer

Top Penny Stocks 2012When you look at the top penny stocks 2012, do not be put off by their low prices. These deceptively cheap securities actually have more earning power than their price suggests. In fact, low price stocks naturally have more capacity for creating large returns than their more expensive counterparts.

 Investing in the top penny stocks 2012 can create more profits for you than investing your money in the more popular mega stocks that make headlines. The problem with these high-priced stocks is the size of each share. This limits you to owning fewer shares, unless you have extremely deep pockets. If you can only buy 100 shares of a $500 stock, then your earnings are necessarily limited. A one-dollar increase in value nets you just $100.

When you look at investment this way, you realize that the number of stocks that you can buy is more important than their face value. The top penny stocks 2012 can create fantastic returns for you. With the $50,000 that you intended to use in order to buy 100 mega stocks, you could purchase 100,000 shares of a 50-cent penny stock. If this same stock experiences just a 10-cent increase in value, you will earn an incredible $10,000.

 Some of the Top Penny Stocks 2012

•             Explorations Group, Inc.

•             American Petro-Hunter Inc.

•             Diedrich Coffee

•             BioTime Inc.

•             OncoGenex Pharmaceuticals Inc.

The top penny stocks 2012 are found in every sector of the world economy. However, they tend to come from those sectors that are hottest right now, such as biotech and pharmaceuticals. Another popular sector for these stocks is the exploration for precious metals and energy reserves. However, there are exceptions. For instance, among the top penny stocks 2012 is a coffee company.

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