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Let's say that you want to invest in the movie Factory Girl, which is at $1.76. You think the movie will tank, but is there actually a way to make money on a movie whose shares are that low?
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To make money on this kind of stock, all you have to do is short it (bet that it will make less money than predicted). This is a nice way to make a little bit of money here and there.
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I usually short those movies which are confirmed to be limited releases especially when they are priced between 2-10 dollars. Anything below 2 bucks, I don't usually bother since even if you maxed it, your profit would be less than 100K.
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