Over the past year, seven penny stocks have delivered remarkable returns, gaining between 50% and a staggering 700% —yes, 700% in just one year. Interestingly, four of these stocks more than doubled investors’ wealth within this period. These high performers were identified using a focused set of criteria: each stock has a market capitalisation under Rs 1,000 crore, a share price below Rs 20, and a minimum recent trading volume of 5 lakh shares. This approach helps filter for low-priced, actively traded small stocks showing strong momentum (Data Source: ACE Equity).
Penny stocks often attract attention due to their low entry price and the potential for explosive growth. But while the rewards can be impressive, the risks are equally high. These stocks typically carry low liquidity, high volatility, and limited financial transparency. Investors should proceed with caution —success in penny stocks requires not just luck, but a clear strategy and strong risk management.
