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English definition of “penny stock”

penny stock

noun [C]
 
 
( also UK penny share) FINANCE, STOCK MARKET
a share with a very low value because it is considered a high-risk investment, for example in a company that is small, little known, or not very successful: The pharmaceuticals group, which has fallen back into penny stock status, has been threatened with being delisted from the Nasdaq. penny stock company/investors/market
(Definition of penny stock from the Cambridge Business English Dictionary © Cambridge University Press)
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