In this video, I will share with you the basics behind how a company issues stock, how money is made in the stock market, and how you can profit from trading stocks.
Stock is simply a piece of the company and you get a share. Has to shares are exchanged or traded over time the value of them fluctuates over also changes.
If you are able to buy stocks of companies at a lower price in one year and then hold it over time for multiple years and sell it at a higher price than you make a profit and this is where it comes into the investment side.
Investing in stocks is similar to investing in a home or in real estate. If you can buy a house at a cheaper price in one year with the time that house value should go up and appreciate and then, later on, you can sell it for more money capitalizing and profiting from the difference.
This video may share with you some calculations about how a company can sell stock to investors and therefore use that capital to grow the company.
All the examples that we will cover will help you see the bigger picture of how the market works based on the last price principal and how you can use it to your advantage to make more money.
#stocks #stockprofit #stockmarket #tradingstocks #profitstocks
Posted at: https://tradersfly.com/blog/what-is-a-stock/
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TradersFly is a place where I enjoy sharing my knowledge and experience about the stock market, trading, and investing.
Stock trading can be a brutal industry, especially if you are new. Watch my free educational training videos to avoid making big mistakes and just to continue to get better.
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