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21 votes
21 votes
If I buy stock in a company, do I want that company to do well so their stock price increases? Why or why not?

(please make sure you don't answer the question saying "I don't know" ect, if you know or you have a concern about the questions, I will appreciate it if you put it in the comments sections below) Thank you! [ONLY ANSWER IF YOU KNOW]

User BigBalli
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2 Answers

18 votes
18 votes
It is mostly true but the stock isn’t based solely on the company’s performance the biggest factor is the amount of shares bought witch causes the price to increase. But more people will buy if the company where to make an announcement.
User Algiz
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2.7k points
16 votes
16 votes

Yes, because if the company doesn’t do well the price will decrease which would be good for the people buying but not good for the workers which means there would be a shortage of whatever the company is offering and soon the company will be out of business which isn’t good for you in the end.

User Chao Ruan
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2.4k points