Corporations initially sell stock to raise money to run their business. To get people to buy shares, they share the profits each year: each stockholder gets a share of the profits for each share she owns. Because millions of shares are sold by any one corporation, the dividend is usually just a few cents per share. Because stocks are worth money, their value goes up and down as the company's profits increase or decrease. Because their value goes up and down, people will buy and sell stock with no desire to get the dividends, they just hold the stock until the price goes up and then sell them. In effect, the underlying value of stocks has mostly been forgotten and they are traded based on speculation about future value.
I don't know how to explain stock other than "a gamble". And it's used for making money. You invest in a stock, and try and pull out your money before your stock drops. You want to keep it in while its going higher and higher. So really it's a complete guessing game for money... Unless of course you know what you're doing.
its like owning apart of a business or corporation can't remember which but you pay for it and if you keep up with wall street and the stock market it shows a business's progress if it goes up i belive they stockholders would get a share of the money the company makes but if they do bad then your unfortunately out of luck
6 months ago
Last edited at 7:44AM on 6/13/2013
In financial terms, you buy part ownership of a company. As the company value increases or decreases so does the stock. The trick is to buy into a company when the value of the stock is low and sell it after it increases in value.
In cooking it is a liquid made from boiling either meat or veggies and can be used as a base for soups, or to add flavor to other dishes.