Penny Stocks Under 10rs: Best Shares to Invest Now

Table of Contents

• Introduction
• what are penny stocks?
• what are advantages and disadvantages of penny stocks?
• Is it a good idea to buy penny stocks?
• Best penny stocks under 10 rs (2024)
• how to use marketxls to analyse best penny stocks under rs 10 for NSE
  • Step 1: Setting Up MarketXLS
  • Step 2: Using the MarketXLS Screener
  • Step 3: Analyzing the Results in Excel
  • Step 4: Advanced Analysis Using MarketXLS Functions
  • Step 5: Creating Watchlists
  • Summary
• Summary

Introduction

Looking to explore penny stocks under ₹10 in the Indian market? Penny stocks, typically trading below ₹10, represent shares from smaller companies with low market capitalization. These stocks are highly volatile and offer the potential for significant returns, but also come with high risk. In this article, we’ll explain what penny stocks are, their pros and cons, and provide a step-by-step guide to analyze the best penny stocks using MarketXLS. Before investing, caution and thorough research are essential.

What are Penny stocks?

Penny stocks in the Indian equity market refer to shares that trade at a very low price, usually below Rs. 10. These stocks are often from smaller companies with lower market capitalization. Due to their low price, they are highly volatile and can offer significant returns if the company succeeds. However, penny stocks also carry a high risk of loss as they can be easily manipulated by traders. Regulatory oversight and liquidity are often lower for these stocks, leading to potential difficulties in buying or selling them. Investors should exercise caution and conduct thorough research before investing in penny stocks in India.

What are Advantages and Disadvantages of Penny stocks?

Penny stocks offer several advantages but come with notable disadvantages as well. One major benefit is their affordability, allowing small investors to enter the market. They also have the potential for high returns if the company grows. However, they are highly volatile and can be very risky. Lack of liquidity is another issue, making it hard to sell the stocks quickly. Information about these companies is often limited, increasing the risk of fraud. Regulatory oversight is usually less stringent compared to larger, blue-chip stocks. As a result, the risks involved may not be suitable for all investors.

Is it a good idea to buy Penny stocks?

Investing in penny stocks in the Indian stock markets can be highly speculative and risky. Penny stocks often come from small or distressed companies with limited track records. Their low prices might seem attractive, but they are also prone to high volatility and low liquidity. Due to less regulatory oversight, these stocks can be more susceptible to price manipulation. Therefore, while the potential for high returns exists, the chances of significant losses are also high. Investors need to conduct thorough research and be cautious. Consulting financial advisors before diving into penny stocks is generally a wise move. Overall, penny stocks are more suitable for experienced investors with a high risk tolerance.

Best penny stocks under Rs10 (2024)

How to use Marketxls to analyse best Penny stocks under Rs 10 for NSE

Step 1: Setting Up MarketXLS

1. Install MarketXLS: Ensure you have the MarketXLS add-in properly installed and licensed on your Excel application.

2. Log in: Log into MarketXLS with your account credentials.

Step 2: Using the MarketXLS Screener

MarketXLS has a powerful stock screener that can be accessed directly from Excel or via the MarketXLS website. Here is how to use it:

1. Access the Screener:

– From Excel: Click on the “Screener” tab in the MarketXLS menu.

– From the Website: Go to the stock screener section through the features tab on MarketXLS.

2. Set Up the Screener for Penny Stocks:

– Choose Exchange: Select “NSE” as your preferred exchange.

– Price Filter: Set the price criteria to filter stocks priced under ₹10.

– Other Criteria: You can add additional filters based on your analysis preferences, such as volume, market cap, PE ratio, etc.

3. Save and Run Screen:

– After setting up your criteria, save your filter.

– Run the screener to get a list of stocks that meet your criteria.

Step 3: Analyzing the Results in Excel

1. Import Results to Excel: Once you have the results, you can import them back into your Excel sheet for further analysis.

– Use the “Save” button in the screener results window to save the list of stocks to an Excel sheet.

Step 4: Advanced Analysis Using MarketXLS Functions

MarketXLS offers various functions that can further help in analyzing the fundamental and technical parameters of the screened stocks. Here are a few example functions:

1. Financial Analysis:

– Use functions like =PE_Ratio("TICKER") to get the price-to-earnings ratio.

– Use =Dividend_Yield("TICKER") to get the dividend yield.

2. Technical Analysis:

– Use =RSI("TICKER") to get the Relative Strength Index.

– Use =Moving_Avg("TICKER", "period") to calculate moving averages .

Step 5: Creating Watchlists

To keep track of these stocks:

– Use the MarketXLS Watchlist feature to create a custom watchlist, which saves your selected stocks on the website and can also be imported to Excel later.

Summary

MarketXLS provides an intuitive workflow to screen and analyze penny stocks under ₹10 on the NSE by leveraging a variety of fundamental and technical criteria, enabling you to make informed investment decisions .

If you need further customization or help, MarketXLS offers webinars and a support system to guide you through complex functions and advanced screening techniques.

Here is the template you might want to checkout and MarketXLS has 100s of templates to get you started easily and save you time:

• Template:** NSE Stocks Live Tracking

• Link:** [NSE Stocks Live Tracking](https://marketxls.com/marketxls-templates/464/nse-stocks-live-tracking)

Summary

The article introduces penny stocks under ₹10 in the Indian market, detailing their high volatility and potential for significant returns. It discusses the advantages and disadvantages of investing in penny stocks, highlighting both their affordability and high risk. The article provides a step-by-step guide on using MarketXLS to screen and analyze these stocks, emphasizing the importance of thorough research and caution. Suitable for experienced investors with a high risk tolerance, it also suggests consulting financial advisors before investing in penny stocks.