"To purchase the stock" means to buy shares or ownership in a company.
Full definition
As an equity position, investors who
purchase stock in a company seek to benefit from its continued growth and ability to generate profits, just as other owners of the company would receive.
If this happens and you later have to «cover» your short by
purchasing the stock at a higher price than you sold it for earlier, then you've lost money.
When purchasing stocks from a brokerage or fund company directly, there are typically commissions and transaction fees on the purchase.
He is famous for beating the market by
purchasing stocks of a few well - managed companies, particularly at times when these companies were undervalued by the market.
When
purchasing stocks from a brokerage or fund company directly, there are typically commissions and transaction fees on the purchase.
The main reason why investors become involved with stocks these days is to turn a profit
by purchasing the stock at a certain price and selling it at another price.
Investors soon
purchased stocks on margin, which is the borrowing of stock for the purpose of gaining financial leverage.
If purchasing stock options in individual companies is too much of a risk, you should consider index or exchange traded funds.
If these
investors purchased their stock with borrowed money, they would still have been held responsible to repay the money, even when the stock purchased became worthless.
Just as you would normally conduct traditional research on an organization when
purchasing stock through a broker the same goes for direct stock purchases.
I read a first hand story about an investor
who purchased stock of his home energy provider, cable tv provider, cell phone provider and healthcare.
Before purchasing a stock check the company's price to earnings (PE) ratio, yield, debt, industry outlook, book value and so much more.
Investing some money into the RRSP account, as well
as purchasing stocks and bonds, could be a good way of ensuring future capital and increasing net worth.
After purchasing stock shares, you participate in the success of the company via the stock's price increases and dividends this company might declare.
Therefore, investors who have faith in the management and believe that the ongoing transformation will bear fruit should
consider purchasing the stock at its current level.
For my company, I successfully raised money from a handful of early investors who
purchased stock using self - directed IRAs.
A debit spread is a vertical spread where the investor must spend money to enter the position, typically by
purchasing stock options.
I
then purchased stocks and have since been holding the stock due to its market value being much lower than my book value.
You may have gotten some «sure advice» on investing in a company
where purchasing stock would suit you better.
Sometimes when investors
purchase stock via a brokerage house they buy small lots in multiple companies to spread the risk around.
Investors can
sometimes purchase stocks directly from the company that is issuing them, in what is known as a direct stock purchase plan.
They could be unpopular since stock prices are relatively low these days and people would
rather purchase stocks when prices are down.
I actually made my first real investment using some of my summer internship savings from college, $ 2000, and put it
into purchasing stocks.
In theory, investors want to
purchase stocks whose value will increase over time, therefore driving demand for it.
Some firms buy on the first business day of each month, while
others purchase stock on the 15th of each month.
My holdings have not been performing very well and I have not been very
active purchasing stocks lately, but it is always comforting to have these dividends rolling in continuously.
In the financial world, it is used to describe situations where short
sellers purchase stock to cover losses or when investors sell long positions to take capital gains off the table.
To understand this better, recognize that with each of the examples above the hypothetical investor was
purchasing the stocks within a reasonable range of similar earnings.
Upon purchasing a stock, an investor becomes a shareholder in that particular company, and is able to benefit from its earnings growth and dividend payouts, while having voting rights.