Accessibility Menu

What Are Pink Sheet Stocks?

By Sam Swenson, CFA, CPAUpdated Jun 4, 2025 at 1:09 PM

Key Points

  • Pink sheet stocks trade OTC, allowing investments in a broader range of stocks.
  • These stocks often lack financial transparency and can be highly volatile and risky.
  • Investors typically use limit orders due to the absence of buy/sell market orders for these stocks.

Premium Investing Services

Invest better with The Motley Fool. Get stock recommendations, portfolio guidance, and more from The Motley Fool's premium services.