Penny stocks are quite sensitive to just about anything. This includes press releases, industry news, or just about anything that involves informing the public. One of the most understood methods of causing a penny stock to rise is stock promotion. There are many names given to this method such as stock awareness, investor leads, and investor relations.

Stock promoters charge a company a fee to get them more exposure and ultimately more investors. This works out well for the company and the promoter. Companies don’t do this themselves for lack of marketing knowledge and lack of contacts. Stock promotion companies are the answer in such a situation and it works well most of the time.

Stock promotion companies are required by the SEC to list the companies and fees charged to promote these companies in their disclaimer. So if you are ever curious about this just go to a site that is promoting stocks and look at their disclaimer. However, this should not discourage you from investing in a company just because they are paying someone to promote them. Promotion is typically a good indicator that a stock is going to rise significantly. So use this knowledge to your advantage.