AUS
NZ
UK
CA
USA
FRA
GER
ESP
ITA
NLD
PRT
SWE
GRC
IND
POL
BRA
ZAF
RUS
CHN
UAE
Summary
- Penny stocks are usually valued at less than £1 and are speculative in nature. They can bring about windfall gains to the investors if their bets come right.
- The gains on these stocks are contingent on the research efforts put by an inventor to dig into the affairs of the company and know why the company's stocks are trading at a low price.
- Penny stocks carry a high risk compared to other stocks that trade at higher valuations and investors need to be mindful of their risk-taking abilities before selecting them.
Penny stocks are also called nano shares or micro-caps. They are generally low-valued with a small market capitalisation. They have the potential to offer higher returns for clients with higher risk appetites. Investors who can see value in these stocks consider them as a good long-term investment option and reap benefits accordingly. These usually small-sized companies offer great growth opportunities if they are following a robust business model and might turn into successful large-scale businesses in due course.
Today, let us take a closer look at five penny stocks listed on the London Stock Exchange.
Galantas Gold Corp (LON:GAL) – Galantas Gold Corporation is a gold mining company owning, operating open cast mines near Omagh Tyrone in Northern Ireland. Along with gold, the company also produces silver and lead. The shares of Galantas Gold Corp are listed in the AIM segment of the London Stock Exchange as well as on the TSX venture exchange in Canada.
Source- Thomson Reuters
The shares of Galantas Gold Corp have been on the uptrend on the stock exchange since the beginning of the year, except for a minor downturn in May, just after the lockdown was withdrawn across the UK.
On 2 January 2020, the shares of the company were trading at a value of GBX 1.25 per share after which they hit a minor peak of GBX 8.00 per share on 20 April 2020. Thereafter, the shares jumped again and touched another high of GBX 21.50 per share on 11 May 2020, after which they have been on a steady sideways trend.
The shares of Galantas Gold Corp were trading at GBX 20.00 per share on 01 October 2020 (9.56 AM GMT+1), losing 2.34 per cent over previous day’s close.
Eqtec plc (LON:EQT) – Eqtec plc is a UK- based renewable energy company specialising in the conversion of waste to energy. The shares of Eqtec plc are also listed on the AIM segment of the LSE.
Source- Thomson Reuters
The shares of Eqtec plc have been consistently rising on the LSE since the start of 2020, except for a minor correction during July, just after a sharp rally was noted in June.
On 2 January 2020, the shares of the company were trading at GBX 0.18 per share after which they hit a minor peak of GBX 0.26 per share on 5 March 2020. Thereafter the shares cooled down and moved sideways before sharply rallying to GBX 0.83 per share on 17 June 2020, after which there was a market correction to GBX 0.38 per share on 13 July 2020.
The shares of Eqtec plc were trading at GBX 0.528 per share on 1 October 2020 (10.11 AM GMT+1), gaining 9 per cent over previous day’s close.
Malvern International plc (LON:MLVN) - Malvern International Plc is an investment holding company that provides educational consultancy. The company provides its services across Europe, Middle East, and South East Asia.
Source- Thomson Reuters
The shares of Malvern International plc have been on the downslide on the LSE since the starting of 2020, except for a minor upheaval observed during May just after the British economy had started to reopen.
On 2 January 2020, the shares of the company were trading at GBX 0.97 per share after which they saw a low of GBX 0.25 per share on 19 March 2020. Thereafter, the shares shot up again and reached a high of GBX 0.48 per share on 28 April 2020, after which they fell sharply to GBX 0.15 per share on 5 May 2020.
The shares of Malvern International plc were trading at GBX 0.122 per share on 1 October 2020 at (10.11 AM GMT+1) gaining 1.6 per cent over previous day’s close.
Oracle Power plc (LON:ORCP) – Oracle Power plc is a thermal power producing company, which owns a lignite coal mine in Pakistan with an accompanying mine mouth power plant.
Source- Thomson Reuters
The shares of Oracle Power plc have been on the downward slide on the LSE since the starting of 2020, except for a minor upheaval in June after the lockdown was lifted. On 2 January 2020, the shares of the company were trading at GBX 1.23 per share after which it hit a minor peak of GBX 1.30 per share on 9 January 2020. Thereafter, the shares cooled down and hit a low of GBX 0.48 per share on 18 March 2020, after which they recovered to GBX 1.15 per share on 23 June 2020.
The shares of Oracle Power plc were trading at GBX 0.676 per share on 01 October 2020 (9.39 AM GMT+1), losing 3.43 per cent over previous day’s close.
Infrastructure India plc (LON:IIP) – Infrastructure India lc is a close-ended fund that is mandated to invest in infrastructure projects in India. The company has several infrastructure projects in its portfolio.
Source- Thomson Reuters
The shares of Infrastructure India plc have been on the downslide at the LSE since the year’s start, except for a minor upturn in January before the news of the pandemic broke out.
On 2 January 2020, the shares of the company were trading at GBX 3.35 per share after which it hit a minor peak of GBX 4.15 per share on 07 Jan 2020. Thereafter, the shares cooled down to a lower value of GBX 0.70 per share on 23 March 2020, after which they have been on a steady sidewards trend. The shares of the company negated this trend on 23 September 2020, when they touched a value of GBX 1.10 per share and lept to GBX 2.0 on 01 October 2020, gaining almost 89 per cent over a period of eight days.
