Penny Stocks For Dummies

307 Pages·2013·15.39 MB·English

by  Peter Leeds

Penny Stocks
by Peter Leeds
Penny Stocks For Dummies®
Published by
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About the Author
Peter Leeds is the most widely recognized and trusted personality
in penny stocks. Major media outlets such as NBC, CBS, Fox, CNNfn,
Russia Today, and the Associated Press have covered Peter.
Also known as The Penny Stock Professional, he and his team pub-
lish the world-famous Peter Leeds Penny Stock newsletter (located
at www.peterleeds.com), which has sold more than 35,000 sub-
scriptions. Leading with integrity, honesty, and a commitment to
ethics, never has Peter or any of his staff taken any compensation
of any kind from the companies they analyze and profile.
Peter is the author of Invest in Penny Stocks, also published by John
Wiley & Sons, Inc. His comments are often published through vari-
ous sources, such as Forbes, Business Excellence Magazine, Yahoo!
News, and numerous others.
Peter speaks publicly on various investing topics and has led
panels at various stock market seminars, including the prestigious
Arch Investment Conferences in Manhattan.
Peter attributes his success and love of penny stock investing to
his foolish start. Losing all his money in one trade at the age of 14,
Leeds was able to develop the Leeds Analysis method to make back
those funds hundreds of times over. He is now focused on helping
people sidestep the easily avoidable pitfalls while identifying in the
highest quality companies with growing revenues, expanding
market share, and massive upside potential.

Dedication
One constant leading every success. One light guiding every path.
My wife.
Author’s Acknowledgments
A project of this size is not the achievement of an individual. Of
those who enabled Penny Stocks For Dummies, none was tested
more than DRC, and I thank you.
To my parents, your support has been wonderful and appreciated.
John Wiley & Sons, Inc. has been an excellent organization to work
with. They are professional and motivated, and their unmatched
reach is certainly well-deserved. The opportunity to be supported
by the Wiley team can not be replicated.
Among the many individuals at Wiley, I would point out a few. Stacy
Kennedy, thank you for believing in the project. Jennifer Moore, it
has been a pleasure working with you. Debra Englander, who repre-
sented my first book, deserves my gratitude for introducing me to
the Dummies team.
Lisa, good call. Thank you for lending me your brain power. I hope
to repay the favor one day.
A most special thank you to each member of the Peter Leeds team.
Tammy, Jeremy, Roman, Lisa, Matt: You have each taken turns
making me sound good, look sharp, be smart, and generally stay on
track. Thank you for a job well done.
Al Ries and Jack Trout developed many of the concepts related to
the marketing strategies of businesses, and I draw on their work for
my discussion of them in Chapter 11.
Publisher’s Acknowledgments
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com. For other comments, please contact our Customer Care Department within the U.S. at
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Project Editor: Jennifer Moore Layout and Graphics: Jennifer Creasey,
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Contents at a Glance
Introduction ......................................................1
Part I: Getting Started with Penny Stocks ...........7
Chapter 1: Getting to Know Penny Stocks .............................................9
Chapter 2: Deciding If Penny Stocks Are Right for You ......................21
Chapter 3: Buying and Selling Penny Stocks ........................................33
Chapter 4: Avoiding Promotions, Scams, and Bribes .........................55
Part II: Research and Investment Strategies ......73
Chapter 5: Developing a Strategy ..........................................................75
Chapter 6: Doing Your Research ...........................................................93
Chapter 7: Picking a Winner .................................................................125
Part III: Trading Penny Stocks .......................137
Chapter 8: Trading Strategies ..............................................................139
Chapter 9: Fundamental Analysis ........................................................151
Chapter 10: Financial Ratios: Comparing Apples to Apples ............179
Chapter 11: The Abstract Review in Penny Stocks ...........................203
Chapter 12: Technical Analysis with Penny Stocks ..........................219
Part IV: The Part of Tens ................................247
Chapter 13: Ten Rapid Result Tactics ................................................249
Chapter 14: Ten Trading Truths ..........................................................261
Chapter 15: Ten Key Considerations for Companies ........................269
Index ............................................................279