For some investors $5 is considered the third rail of investing - just too dangerous. But is it?
Many pros won't touch a stock under $5. They say a stock is cheap for a reason. That is, the market has voted on the stock with their collective wallets.
They also argue moves in the stock can be exaggerated because big money can purchase a significant number of shares – again because the price of each share is relatively low.
Of course, there's something to be said for that line of thinking – but if you subscribed to it blindly, then last year you missed some pretty good opportunities.