Investing in penny stocks is a great way to make money for a speculative investor, but the hard question to answer is: Where can you find penny stocks to buy right now?  The problem with penny stocks is that the best ones are often small, under the radar type companies that aren’t going to be featured on CNBC or in the Wall Street Journal.  Finding the best penny stocks to buy takes dedicated work, and also involves looking in places where others haven’t.

So if you’re just beginning trying to find penny stocks to buy right now, a good place to start is with MSN’s stock screening tool.  Technically speaking, a penny stock is any stock under $1, but it can also be used synonymously with ultra-small or microcap stocks.  However, if you use a search filter and find all the publicly traded stocks under $1, you’ll be off to a good start.

My guess is, depending on the other filters you put on your search, that you’re going to come up with 100’s, if not 1000’s of results from searching for stocks under $1.  How do you sift through these selections to find the best penny stocks to buy right now?  Unfortunately, that is a tougher question to answer and requires that you utilize a distinct set of criteria which can help you determine what stocks are going to be most likely to go up in price.

One word of warning to those who don’t know how to choose one penny stock from another: be cautious!  While some penny stocks are in fact those diamonds in the rough that every investor dreams about finding, the majority of low-priced stocks are priced that way for a reason.  Not being able to discern one from the other is a recipe for failure in penny stock investing.