Why do people avoid penny stocks?

[arunpandiyan]

Trade of mere pennies, are stocks that trade for a low share price – and they are risky bets most investors should avoid people

Risky very high and less volume stock

[v geetha]

People avoid penny stocks because of its low volume and high risk.

[Giridhark]

Low cost/share, high volume and involves high risk to investment.

[goodwinbritto]

The penny stocks face value is usually very less and there is possibilities of manipulation and so people do not prefer also they sell in low volume and so it is not preferred.

[Navin]

Penny stock:

Penny stock are of low values and they are big risks involved in trading them.

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