Penny Stocks In India

Penny Stocks In India

Penny Stocks have very much volatility that’s why trading in these stocks is always appreciated by the investors and traders.

In fact, penny stocks are basically trading below Re. 1. Amazingly in 2016, BSE has almost traded 130 Penny stocks which is very good. Penny Stocks In India.

Nearly 50% of the stocks are trading down 20% this year while some of them are trading down 70%.

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Hopefully, to date, We have been providing the best tips and updated information about penny stocks in India.

Well to date, It’s such a privilege for us to help grow our country’s economy and help our people.

First Adviser India is one of the Best SEBI Certified Stock Advisory across India. 

Although, Our expert team has a good experience and they do a lot of research before providing any services or tips to our clients. Penny Stocks In India.

Our Team of Experts, specialists, and masters have been working together for years.  

Penny Stocks In India Explanation. 

In simple words, penny stocks are shares of those organizations that have a total value of less than Rs.100 crore and each share trading below Rs.10. 

They sure have a good opportunity. As the Opposite site looks limited in Penny stocks in India.

When there is some announcement made or a turnaround happens in the market then at that time these penny stocks come to life.

Wait a minute, Are you going to buy top penny stocks? You’ve made up your mind already? If you are confused, then you might need to consult with First AdviserIndia! Penny Stocks In India.

Best Penny stocks in India to Invest in 2019

While I would like to certainly advise investing in top-quality stocks, here is a list of top low-cost shares to invest in 2019-2020.

• Ashok Leyland Ltd: Buy| LTP: Rs 102| Target: Rs 150| Return 47% 
• Sunteck Realty: Buy| LTP: Rs 347| Target: Rs 497| Return 43% on your ROI
• Menon Bearings shares: Buy| LTP: Rs 77.45|Target: Rs 120| Return 55% 
• Relaxo Footwear: Buy| LTP: Rs 730| Target: Rs 911| Return 24%
• KNR Construction shares: Buy| Target: Rs 260| LTP: Rs 212| Upside: 22%
• Aarti Industries share: Buy| LTP: Rs 1,423| Target: Rs 1,750| Upside 22%
• Britannia Industries shares: Buy| LTP: Rs 3,098| Target: Rs 3780| Upside 22%
• Asian Paints: Buy| LTP: Rs 1,365| Target: Rs 1,750| Return 28%
• Reliance Industries: Buy| LTP: Rs 1,125| Target: Rs 1,500| Return 33%
• UPL Shares: Buy| LTP: Rs 757| Target: Rs 940| Return 24%
• JK Lakshmi Cement Ltd: Buy| LTP: Rs 288| Target: Rs 480| Return 66%
• BSE Shares: Buy| LTP: Rs 588| Target: Rs 1080| Return 83% on your ROI
• Titan Company Ltd shares: Buy| LTP: Rs 922| Target: Rs 1105| Return 20% 
• Indian Hotels Ltd shares: Buy| LTP: Rs 148| Target: Rs 163| Return 10%
• Marico Ltd: Buy| LTP: Rs 378| Target: Rs 465| Return 23%
• Oberoi Realty shares: Buy| LTP: Rs 453| Approximate Target: Rs 574| Return 26%
• Aurobindo Pharma Ltd: Buy| LTP: Rs 723| Target: Rs 920| Return 27%
• Hindustan Unilever shares: Buy| LTP: Rs 1820| Target: Rs 2140| Return 18%

by Penny Stocks in India.

How did we select them?

The criteria we used for choosing the best penny stocks was-

• We made sure that these companies are honest or not. And also make sure that they are in their field for some years in penny stock.
• In fact, we make sure that these stocks must be penny shares.
• Their products/services must be real and visible. Penny Stocks In India.
• Must have some downside protection in the short-term.
• One of the most important things about penny stocks is that they are cheap and due to some reason.
• Penny stocks require low-quality management.
• These stocks require non-transparent corporate governance.
• These stocks have bad future business potential. In Penny Stocks In India.
• They are cheap because of their bad balance sheet and profit/loss account.

How To Do Trade In Stocks

So There is a thing like a promoter-operator nexus that exist in penny stocks. Those promoters usually hire low reputed investment bankers.

Even though, These promoters make a negotiation with the operators who buy and sell shares anonymously with their accounts. Penny Stocks In India.

Penny stocks usually, seem to belong to some uncertain promoters. These uncertain promoters sell their doubtful and not worthy financial companies during the peak period.

If you have to make a decision to invest in penny stocks then, make sure you follow these tips-

Best penny stocks for 2019 in India

These tips will help you avoid some major mistakes that often done by the penny stock investors.

• Firstly and foremostly it is advisable not to trade in OTC stocks. 
• You have to take a close look at the momentum of the penny stocks. 
• Also, learn some basic technical analysis before trading in.

Penny Stocks In India 2019

• Know All Risks Involve
• You must be careful when choosing the risks associated with the investment before putting your money into something. 

One of the best ways to identify the risks associated with the various products and determines the best option is to make a complete comparison between the different schemes. 

Expert investors generally trade with diversity by analyzing, classifying and calculating the risks associated with the investment. Penny Stocks in India.

At some point, Beginners can face some problems in the initial stage and must gain experience before diversifying their investments. 

Best Penny Stocks in India

• Understanding the level of investment risks will help you to avoid tools that can see that you incur losses. 
• Using Some Share Trading System.
• A trading system can help you to make the right decisions when it comes to reading current trends.
• Some websites offer advice for the share market, and you can eliminate your doubts without having to wait any longer.

It takes a lot of time, resources and experiences to analyze share market trends, make graphs and invests well. 

Improve Your Emotional Quotient

The control of emotions is a prerequisite to investing in the share market. 

The market sentiment toward the company becomes evident through the price of its shares.

Penny stock advice is Do Not Be Greedy!!

• You should never be greedy with the market conditions more and more favorable for your positions.
• Most people lose out in the shares market due to greed hunger.
• Just because of hunger and greed. The majority of people lose out there capital in the share market.

Best Stocks In 2019

Be Wise And Don’t Trust—-

In fact, Always invest your investments in high risks and low risks. Keep in mind that the online shares market is unstable and balancing your money is the only way to save money.

Do not invest all your assets in long-term investments.

• When you are planning for long term investments we recommend not to invest all your assets in the long run.
• When it comes to trading share online, stick to well-known companies. Penny stocks in the Indian stock market.
• In fact, Today’s shares market advice only covers current and future aspects of specific portfolios and securities.

Therefore, it is essential for the newcomer to take advantage of current tips for the share market. Best Stock Tips Provider in India

• It is advisable to have your evaluation of the final decision-making process. some good penny stocks in India.
• In fact, Leverage is the option that the trader can use to finance its investment. Brokerage companies and banks grant loans worth approximately 50% of their normal value to buy shares for margin accounts.

Facts by penny stocks India to invest.

In fact, If the transactions turn against you, you are likely to lose all your investments, including the amount plus the cost of interest you have to pay the agent. 

The price of shares is a crucial factor. 

Even though, As a general rule, buy stocks at low prices and sell them at high prices. famous penny stocks in India.

You should, Always check your sale and purchase prices.

Wait for the right moment before making the final decisions. 

Well, Always aim to increase your profits by trading promptly. penny stocks India below 1 rupee.

Do not believe in the news without confirmation. 

• However, never take advice from those who have no practical experiment in shares markets.

Diversification of Investments.

• Make sure, you must select the entry and exit points before investing your money. 
• They must have been around a few years. 
• Their products/services must be real and visible. Must have some downside protection in the short-term. Promoter holding must be 40% minimum. penny stocks blog India.

In this way, we can at least make sure to screen the majority of bad companies that most penny stocks usually are.

Here is the list of top penny shares in India that meet the above criteria. Penny Stocks In India.

• Through the efforts of the IL & FS group which are been managing for good companies in the market. Penny stocks in India.  
• IL&FS has strong brand equity.

The last value of the stock was around Rs.21. It gives a very good dividend and has no debts.

While you cannot expect it to triple or quadruple in next year, it is somewhat a decent stock to buy in at a low cost per share. 

It has a P/E of 4 and the book value of Rs.15.

JVL is the largest single in-house manufacture of Vanaspati Oils. 

It has a dividend yield of around 1.5% This penny stock has moved from Rs 16.9 to Rs 20.5. Not great performance but not bad either.

Neo Corp is a packaging provider, especially in textile manufacturing. It manufactures under the Pack Tech brand.

It has a market cap of around Rs.60 crores and per share costs around Rs.15. The PE ratio is close to 2 and the dividend yield is 4%.

You buy a stock thinking it will go up in the future. If it has stealthy management, you do not know its real profits in Penny Stocks In India.

Once it is delisted you do not have a chance to sell it.

You cannot exit when you want.

Penny stocks are not traded widely.

• Some may be only delivery-based and not intra-day trading.
• Penny stocks in India are not regulated. 
• Most of them run the risk of being delisted by bourses as seen in recent months due to low quality. Penny Stocks In India.
• Some quality companies, due to temporary hiccups and the bad environment end up as penny stocks.
• Once the market and economy turns they bounce back giving super-normal returns. Penny Stocks In India.

Don’t trade OTC stocks. OTC or Over-the-Counter

They make you a gullible target. Penny Stocks In India.

Stocks are not well regulated as regularly listed penny stocks.

Penny Stocks List

Look for momentum in the stock. Learn some basic technical analysis.

Try not to short penny stocks.

You can Choose high volume stocks. Don’t buy penny stocks just because they’re cheap. Look for decent fundamentals at least.

Also May not even be great or good but the penny stock should not be fraud or bad which is the case most of the time. 

You can Avoid loss-making companies that reported a loss for 2 0r more years.

Should have visible signs of recovery. Penny Stocks In India

Don’t try to average the price of penny stocks on its way down.

Good quality penny stocks in India.

You are risking your money on a company with questionable management in the hope of a profit.

If your stocks click, you will have great results. Else your entire capital can be wiped out.

Because once the money is lost in the market on bad companies, you seldom get it back.

The country economy with Penny stock India

Do you think companies that have a high cost per share are too high? For eg., a share of MRF trades around a whopping Rs.21,000. One share of Bosch costs Rs.10,750.

Don’t these sound costly? don’t invest in penny stocks just because the stock price is cheap.

I advise the same for you too. Look at the value and not a price.

One such similar non-penny stock is Eicher Motors which has grown 12 times+ in the last 5 years. It is not a penny stock.

The per-share cost is around Rs 24000. It was Rs 2000 last 5 years back. penny stock advice India.

It is a high risk-high reward game.

The Company should be competent in the respective sector.

Some Stocks are stuck up as penny stock due to a temporary period and it can bounce back and give skyrocketing returns.

Penny stock may get delisted and you will not be able to sell it.

The trading volume of the penny stock is very low, so it is difficult to exit from these stocks. Investing in penny stock is like gambling.

You are investing money in the company with no fundamentals in the hope of earning a big return.

Penny Stocks In India is a high risk, high reward game if you are a conservative investor it is a big no for a penny stock. 

This industry was not doing well because of the drought situations and low rainfall in 2014 and 2015, which resulted in an all-time low for these stocks. 

No one was interested in these stocks at all and look at what they have delivered in less than 6 months.

Allow me to answer this question by asking a question We see a lot of penny stocks out there which are giving multi-baggers even in a few months of time.

So instead of investing in bigger companies, I want to invest in these penny stocks to gain more money in a short period of time. Penny Stocks In India.

Every big company starts as a smaller company.

If this is a quality company then it will be a multi-bagger over a period of time. 

Usually, 95% of people invest in penny stocks for quick bucks and 5% of people invest because they believe in the long term story of the company.

Penny Stocks In India.

Here, We see a lot of penny stocks out there which are giving multi-baggers even in a few months of time.

Penny companies can give multi-baggers gains in a short period of time.

blue-chip penny stocks in India.

If you are big investor or tips adviser you can manipulate penny stocks in your favor in an easier way.

Cons: Under normal scenario, the risk is much higher than bigger companies

The failure percentage is much higher. Around 90% of companies fail to reach a big state. These companies can be easily manipulated.

These are usually illiquid companies. When the stock starts falling or you decide to sell it, you may not be able to do so as there would be no buyer.

You know Few brokers have more charge to deal with penny stocks Most companies furnish fewer data to the public. Sometimes they surpass negative information to SEBI. 

Penny Stocks In India.

So it is good to invest in penny stocks depends on you.

Research, research and do more research. It is hard to find quality penny stocks. Screen as many penny stocks as possible.

A company can become big only when it is making a profit or increasingly moving towards that direction.

Penny stocks analysis in India.

Check it’s graph over the last 5 years of time.

If it was moving side-wise for the initial phase and now started moving up or it gradually moved up over this period of time then it’s a good sign.

first of all, you must understand the business model and future perspective. Visit the official site, gather all the information available for shareholders and study.

Cheap Stocks India

Risks in Penny Stocks

You buy a stock thinking it will go up in the future. If it has stealthy management, you do not know its real profits.

Will you lend to a friend who lies all the time? It is something similar to that.

Yes, it is a 100% loss.

Penny stocks are not trading widely.

Penny stocks in India will regulate. Most of them run the risk of being delisted by bourses as seen in recent months due to low quality.

So be careful about which stock you buy.

As high as 200-500%

They are cheap. So you can buy large quantities.

They make you gullible targets.

Always have your stop losses in place.

Choose high volume stocks.

Be aware, Avoid loss-making companies that reported a loss for 2 0r more years. Should have visible signs of recovery.

Don’t have 50 penny stocks.

These are the following the above measures that will protect the downside of your investment. Invest in Penny stocks in BSE & NSE.

When you invest in Mutual Funds, you give them the power to a Fund Manager, who is an expert, to manage your investments for you. There are a couple of fundamental differences between the two. 

Mutual Fund managers charge a fee to manage your investments.

Look for unbiased advisors and wealth managers who have consciously chosen to only advise and execute investments through Mutual Funds. Penny stocks worth investing in India.

Best Penny Stocks In India In fact, you have different options for short term (less than a year), medium-term (1–3 years) and long term investments (3+ years).

You can start with Monthly or Lump Sum (one time) investments as low as Rs 500 and get access to the best Fund managers in the country. 

here you would need to rely on your own judgment on what to do in the markets.

It is typically what they call a “penny wise pound foolish approach”.Shares: A unit of ownership interest in a corporation or financial asset.

In fact, Being a shareholder does entitle the possessor to an equal distribution in any profits if any are declared in the form of dividends.

Also, the two main types of shares are common shares and preferred shares Mutual Fund. Penny Stocks In India.

A mutual fund’s portfolio will structure and maintain to match the investment objectives in its prospectus. Penny Stocks In India.

What we can do is to study the corporate, their future plans, their past performance, the efficiency of their Management, current order book.

If you do all your studies and find stocks that are looking good with the above criterion, you are just banging on the target. Penny stocks Intraday India.

Multi-bagger penny stocks overview

Multibagger stocks are those stocks that give a return of more than 100% to investors. But still, all your expected stocks will not turn out to be multi-bagger stocks but even if some of them give a multi-bagger return that means that you have done a great job.

Indian stock market has produced many multi-bagger stocks which have turned out to be 10 baggers, 100 baggers, 1000 baggers or even more than that.

In fact, The return which Indian stocks have given over the years is exceptional and now anybody can assume that.

If a company is having good fundamentals and has the potential to enjoy sustainable growth, the stock price tends to give awesome returns to investors.

These stocks have already witnessed an excellent phase in the recent rally of the stock market.

The most important question in the stock market is when to buy the stock and when to exit out of it because this is the process that determines the profit or loss to investors.

Also, I personally think that if fundamentals are and future prospects looking bright for a particular company.

And it supports by internal and external factors for future growth, any time without considering the price of the stock.

Obviously, people should use the dips for entering into any stock and the best time for buying any stock is when the stock is down and cash flow in the coming days looking positive.

Penny stocks India moneycontrol

Regarding selling the stocks 

I would say that if the investment is for the long term there is no particular date or target which should be followed for exiting from the stock, it should be held tightly until the fundamentals are intact.

Also, people should worry about 10-20% ups and downs if you are optimistic about the stock you should hold it without worrying.

Since now the market is going through a bad patch. Best penny stocks in India 2019.

Still, Investors are advising to invest wisely without giving much value to the current pricing and the percentage of fall which stocks have seen in the last 2 months. 

However, Important is to try to find out stocks which have potential first to sustain for the next 20-30 year and grow with an acceptable CAGR for the next 5-7 years. 

Since it is very difficult to predict the future beyond 5-6 years it’s always better to find out some stocks.

Which will grow at a healthy pace for at least 5 years and review your investment after every 3 years to keep yourself updated and changing outside the environment? Penny stock India to buy.

Penny stocks India income tax

Since now the market is going through a bad patch. 

Still, Investors are advising to invest wisely without giving much value to the current pricing and the percentage of fall which stocks have seen in the last 2 months. 

However, Important is to try to find out stocks which have potential first to sustain for the next 20-30 year and grow with an acceptable CAGR for the next 5-7 years. 

Since it is very difficult to predict the future beyond 5-6 years it’s always better to find out some stocks.

Which will grow at a healthy pace for at least 5 years and review your investment after every 3 years to keep yourself updated and changing outside the environment? Penny stock India Advice.

Further, it is also important to keep track of quarterly and annual numbers of the stocks to keep you updated about the ever-changing fundamentals of your portfolio stocks.

In fact, We should always keep remembering that making money in the stock market is not that easy as it seems to the traders.

Because one wrong trade may impact you so badly that it will force you to leave the market with heavy losses in your hands.penny stocks in India to buy.

Many investors have made good money out of the market but for creating wealth in the market one has to invest in the long term only. 

Even the traders who generally trade for the short term they should also understand that a big chunk.