Definitions

penny stock fraud - Investment & Finance Definition

Fraud that is committed by speculators in penny stocks, which are the stocks of very small companies with a limited number of shareholders. The insiders purchase the shares and put out false rumors about the company’s prospects; then when buyers emerge, they sell their shares and make a huge profit. The new investors are left with virtually worthless shares.


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  • penny stock fraud

Also Mentioned In


  • penny jumping
  • old-penny
  • penny-dreadfulish
  • penny-stocks
  • ten-a-penny
  • Internet Fraud
  • Osowski, Geoffrey and Tang, Wilson Case
  • penny-packet
  • pump 'n' dump
  • penny-wise-and-pound-foolish

Words near penny stock fraud in the dictionary


  • penny pinching
  • penny-pinchings
  • penny stock
  • penny-stock
  • penny stock fraud
  • penny-stocks
  • penny-whistle
  • penny-whistles
  • penny-wise
  • penny-wise-and-pound-foolish

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