I have a question about the Stock Market.

[Hector12]

Imagine a company worth one hundred million dollars. Now imagine that I buy one million dollars worth of stock in that company. Who benefits?

I suppose others who own stock in that company benefit. The value of their stock increases. Does anyone else benefit? Do the employees get raises? Do the customers of that company get better products for lower prices?

 

[DGS49]

Your broker would not do it at one time. S/he would space it out over several days. It could result in a slight up-tick in the stock price, but that's only paper. The employees could not care less.

 

[Hector12]

Your broker would not do it at one time. S/he would space it out over several days. It could result in a slight up-tick in the stock price, but that's only paper. The employees could not care less.

I see the stock market as a prestigious form of gambling. I see stock owners as absentee landlords. The employees do the work.

 

[Toddsterpatriot]

Imagine a company worth one hundred million dollars. Now imagine that I buy one million dollars worth of stock in that company. Who benefits?

I suppose others who own stock in that company benefit. The value of their stock increases. Does anyone else benefit? Do the employees get raises? Do the customers of that company get better products for lower prices?

You benefit, because you invested in a good company.
The seller now has one million dollars they can invest in a better opportunity.

 

[Toddsterpatriot]

I see the stock market as a prestigious form of gambling. I see stock owners as absentee landlords. The employees do the work.

Yes, employees do the work.
How old were you when you experienced that revelation?

 

[Hafar1014]

I see the stock market as a prestigious form of gambling. I see stock owners as absentee landlords. The employees do the work.

Its way to own equity in any business and share the profits. ITs not gambling just earn how to invest or hire an adviser to do it for you. Another way is buy a Vanguard index fund. Youre really missing out if youre not investing.

 

[Hector12]

Its way to own equity in any business and share the profits. ITs not gambling just earn how to invest or hire an adviser to do it for you. Another way is buy a Vanguard index fund. Youre really missing out if youre not investing.

That is like saying that you're really losing out if you are not buying literary tickets.

There is no way to predict which stocks rise or fall. It's gambling.

 

[Toddsterpatriot]

That is like saying that you're really losing out if you are not buying literary tickets.

There is no way to predict which stocks rise or fall. It's gambling.

What about buying the S&P 500? Also gambling?

 

[luiza]

That is like saying that you're really losing out if you are not buying literary tickets.

There is no way to predict which stocks rise or fall. It's gambling.

I would tell you about Fibonacci Extensions if I thought you would understand .

It's always best to know a subject in full before making absurd statements about it .

 

[otto105]

Imagine a company worth one hundred million dollars. Now imagine that I buy one million dollars worth of stock in that company. Who benefits?

I suppose others who own stock in that company benefit. The value of their stock increases. Does anyone else benefit? Do the employees get raises? Do the customers of that company get better products for lower prices?

You only benefit if the stock price increases.

 

[Hector12]

That is like saying that you're really losing out if you are not buying literary tickets.

There is no way to predict which stocks rise or fall. It's gambling.

I meant lottery tickets.

 

[Hector12]

You only benefit if the stock price increases.

What about the employees and customers of the company?

 

[otto105]

What about the employees and customers of the company?

Nope, nothing to do with them.

 

[Hector12]

Nope, nothing to do with them.

That has been my point.

 

[fncceo]

Imagine a company worth one hundred million dollars. Now imagine that I buy one million dollars worth of stock in that company. Who benefits?

I suppose others who own stock in that company benefit. The value of their stock increases. Does anyone else benefit? Do the employees get raises? Do the customers of that company get better products for lower prices?

If you buy one million $ of a stock it's not really a huge deal for most stocks. No commercial investor buys shares in units less than one lot (10,000) shares. So any stock selling for $100 a share or more (normal for a blue-chip investment) would be a regular day in terms of trading and wouldn't have a significant effect on the price of the stock.

Also remember, when you BUY any amount of shares of a company, someone SELLS exactly the same number. It's a net even trade. The value only increases when you purchase those shares above the previous market price.

However, when a company's capitalization increases, they are able to borrow more capital based on that valuation, that money used in many ways. It can be put into increased production, a buy-back of stock, expanded R&D, fighting off a hostile takeover, or many other things.

Most of those things are very good news for a company's employees.

 

[MostBoringManInTheWorld]

That is like saying that you're really losing out if you are not buying literary tickets.

There is no way to predict which stocks rise or fall. It's gambling.

Nothing could be further from the truth.

Lottery tickets, or literary tickets as you call them, are totally based on chance.

Stocks are based on past performance, current markets, anticipation and expectations, and other predictors.

I have bought several stocks based on my own informed predictions that were greatly exceeded.

One surefire way to make money on stocks is to buy them when they are very low, because usually the only place for them to go is up.

Although I started as a self-guided investor and I retain my original self-guided portfolio, the rest of my portfolios are managed, which I highly recommend. Professional investment advisors know what they're doing, and all of my managed portfolios are doing much better.

Do you not participate in your company's 401k plan?

If you don't, I would be very impressed if you have managed to save hundreds of thousands of dollars from strictly your salary and/or wages.

 

[fncceo]

because usually the only place for them to go is up.

Usually ... unless there is a valid reason for the fall ...

 

[luiza]

Usually ... unless there is a valid reason for the fall ...

If you do not already know :-

Stupids can see after the event that it has gone up or down .
But the Smart Ones look for Higher Highs and Lower Lows amongst the zig zagging in order to read the tea leaves before the big moves .

 

[otto105]

If you do not already know :-

Stupids can see after the event that it has gone up or down .
But the Smart Ones look for Higher Highs and Lower Lows amongst the zig zagging in order to read the tea leaves before the big moves .

Like all the maga stupids that held DJT stock

 

[luiza]

Like all the maga stupids that held DJT stock

Possibly , but what has that got to do with the price of lettuce?