penny stock

noun

: a usually unlisted highly speculative stock usually selling for a dollar or less

Examples of penny stock in a Sentence

Recent Examples on the Web
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Volume in penny stocks is now running in the 98 th percentile of all periods since 1990, and turnover in stocks with enterprise-value-to-sales ratios above 10 is in the 96 th , the firm says. Michael Santoli, CNBC, 26 July 2025 Furthermore, penny stocks were excluded from the study (the average market capitalization as of March 2021 for the 103 firms was about $1.6 billion). Brandon Kochkodin, Forbes, 5 Mar. 2025 The regulator notched a win on Monday, however, as the Supreme Court declined to hear a penny stock broker’s legal challenge to FINRA’s constitutionality. Sergei Klebnikov, Forbes.com, 2 June 2025 Freight trades on the Nasdaq as a penny stock and has a market cap of about $6.5 million. Mackenzie Sigalos, CNBC, 22 May 2025 See All Example Sentences for penny stock

Word History

First Known Use

circa 1920, in the meaning defined above

Time Traveler
The first known use of penny stock was circa 1920

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Cite this Entry

“Penny stock.” Merriam-Webster.com Dictionary, Merriam-Webster, https://www.merriam-webster.com/dictionary/penny%20stock. Accessed 6 Aug. 2025.

Legal Definition

penny stock

see stock

Last Updated: - Updated example sentences
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