I was just wondering how broad the definition is. I am a beginner but I wouldn't invest in a true penny stock (i.e a total new unknown company) without insider knowledge or something really convincing.
The reason I asked was cause some perceived good companies have been wiped out by the short sellers and/or economic climate of late, and were down to near bottom -- they aren't your true penny stocks obviously but they did go down to that level- they are now enjoying a good run of it with the last few month's rally.
I guess in both keeping with and moving away from the term penny stock would these stocks still essentially be a bad move, in that any future downturns in the market will kill them off first and they'd be back to zilch-ish.
Will there be a pullback on these stocks? And so it's be wiser to buy on a pullback?
