What is Profit&Loss (P&L) Statement ?

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Definition : Also known as Income statement, is a financial statement which shows expenses and revenue of a company during a particular period, usually a fiscal quarter or year.
Read : What Is Balance Sheet ?
Income Statement helps to convey the status of a company i.e. Company is making profit or suffering losses. It is very important to read Income Statement of a company before investing, both of recent and past years.
Note : Revenue : Total amount received from sales of goods and services. Expenses : Total amount spend in producing final product or service.
Structure of P&L Statement  Income Statement is divided into Five main section - Net sales, Cost of Goods Sold, Gross Margin, Operating Expenses and Net Profit Before & After Income Tax (Or Net Loss in case of Loss).
Net Sales : It is the sum of Gross sales excluding its returns, allowances and discounts.Cost Of Goods Sold : Amount of money used to produce the final product. For example cost of inventory, merchandise purchased…

15 Penny Stock You can Invest In To Yield Huge Returns In Future

All of us heard about the success stories of people becoming Billionaire or Millionaire trading with penny stocks but that is only the positive side, which is just a 1% part. We always ignore the 99% ratio of failure which is a huge negative side of it as only One in Hundred become successful trading with Penny Stocks. You never knew about that because you never cared. All of us get excited watching people making millions or billions, having luxury cars and houses but we always forget that there is only few such people and what had they done before reaching to that stage. But it also doesn’t mean you can’t achieve it, everything is possible , but it take a lots of hard work and determination.

SEE ALSO : What Kind Of Investor Are You ? - refined

 The major attraction of Penny Stock is the cheap price and hope of gaining large profit in less time which is the primary reason of failure, always remember take time, research, gain knowledge and then invest it is the only key to success in Wall Street whether it is a Penny Stock or a Growing Stock.
Penny Stock is like Gambling there is always a possibility of gaining huge or losing all. Only you can do is to tilt the odds in your favour by proper research. As our ancestors said greater reward always entail greater risk and the same applies to Penny Stock as 90% of company fails to reach big state and the rest 10% takes years to reach at stage where you could make valuable profit. Do more and more research and choose wisely before investing your money.


Before moving to Chart lets, First learn about some tips of Investing in Penny Stocks :
  1. Choose quality Penny Stocks with good experienced managment and good future growth, as 90% of companies fails to reach big state.
  2. Due to low price chances of Stock manipulation is higher with Penny Stock, so do more and more research and find a good Penny Stocks.
  3. Take a good look at company’s Balance Sheet, P&L Statement, all Profit Margin-Ratio, Promoter holdings and Graph over 5 year.
  4.  Must understand the Business model and future perspective, and also never allocate a large part of Portfolio for these Penny Stocks.
  5.  Penny Stock has both Good and Bad aspects, So choose wisely before investing. Do not think about how many shares you are getting but what value does this Stock offer.
  6.  Penny stocks are bounded with Lower and Upper Circuit which defines the Maximum and Minimum price a particular stock can hold, so take a good look on that also. It will help you to decide how much profit you can make in a period of time.
Some recommended Books for Penny Stock Traders : 
Understanding , Investing and Trading Penny Stocks for Beginners  
investment Guide to Outperforming the Market and Safely Maximizing Profit

Below is the chart of Top 15 Penny Stocks that has ability to grow big in future and you can make Valuable Profit from these.





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