Low-Priced Stocks, Big-Time Profits

Hilary, congratulations on your new book, The Little Book of Big Profits from
Small Stocks , which is already moving up the charts on Amazon. I want to talk
to you today about some of the strategies you have for investors, as well as
some of your favorite low-priced stocks. How do you define low-priced stocks,
and why do you find these stocks to be such an attractive investment opportunity
for individual investors? Given the recent market sell-offs, there are an
incredible number of low-priced stocks now on sale. Generally speaking, I could
characterize some of the best low-priced stock as those that sell for $10 or
less. Of course there are some good stocks that may be trading for more than $10
but are still low priced in comparison to where they once were. Either way, many
of these stocks are cheap because they deserve to be they may dogs that never
had potential, or have misstepped so badly that they have no hope of getting
back on track. But, many are diamond-in-the-rough companies with the potential
to break out. After two decades of investing, I can tell you that choosing the
right low-priced stocks is a groundbreaking way to build, or rebuild your
wealth. Many of my biggest winners over the years started out as low-priced
stocks like Priceline (NASDAQ: PCLN ; up 387%), Starbucks (NASDAQ: SBUX ; up
300%), Sirius (NASDAQ: SIRI ; up 136%) and Zales (NYSE: ZLC ; up 100%) before
the big money on Wall Street caught on and sent them soaring. Once a low-priced
stock begins to break out, its fueled by the snowball effect that kicks in as
institutions pile in and drive the share prices of these stocks higher and
higher. Thats when we, as investors, can make a lot of money.