Penny stocks are cheap stocks that can help a lot of retail investors benefit from the stock market. Insurance stocks are trading at very low prices in the Nigerian stock market. Most of them are priced below NGN1.00, e.g. AIICO. Are they really cheap?

What determines whether a stock is cheap is the value since PRICE is not the same as VALUE. It is cheap only if it trades at a discount to the intrinsic value. For example, a stock priced at NGN0.50 is not cheap if its true value is NGN0.20. 

Do you think insurance stocks are penny stocks?