A stock (or share) is a small ownership stake in a company. When you buy one share of a company, you own a tiny slice of everything it owns and everything it earns.
Why do prices move?
A stock's price reflects what buyers and sellers collectively think the company is worth right now. Expectations about future profits, interest rates, news, and overall market mood all push the price up and down — often more than today's actual results.
How investors make money
- Price appreciation — the share is worth more than you paid.
- Dividends — some companies pay out a slice of profits to shareholders.
Try it in XMarketPro
Search any ticker to see its live price, chart, fundamentals, and news on one page — a great way to make these ideas concrete.