Lots of stocks start moving in the right direction, and they just keep climbing. Typically the shares reach well beyond what most investors might expect.
Some of America’s greatest companies started as penny stocks, and now trade for $10, $20, or even $50 per share. If the business continues to grow, savvy investors hold on for the ride. Meanwhile, many others sell far too soon, gloating about their 100% gain, then crying as the shapes reach for the stars.
To avoid selling too soon, constantly re-assess the underlying company. If they are enjoying rising market share, revenues, and customer levels, you may want to hold long-term.