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Re: pire post# 749

Friday, 05/21/2010 3:12:57 PM

Friday, May 21, 2010 3:12:57 PM

Post# of 2750
People think penny stocks are cheap .. they're not. Stocks are cheap when they have low P/E's. If they have no P/E's then there's incredible risk. That's why no one will pay more than mere pennies a share.

A lot of people buy penny stocks because they feel like a millionaire. You can have 40,000 shares of EBIG or 20 shares of AAPL. You've got a lot less risk with AAPL, and you won't need to wait nearly so long to make profit. But you also stand to make much bigger gains with EBIG.. or lose really big.

The big money rarely gets involved in stocks under $5 because of the risk. And the real reason the big money HAS big money, is because they know how to manage risk better than anyone. Once EBIG proves themselves, they'll start catching the eyes of some real investors.. not just little retail folks like us.