A share of stock is literally a tiny ownership stake in a real company. When you buy one share of Apple, you become part-owner of Apple โ you are entitled to a fraction of its profits, vote on key decisions, and benefit when the company grows. Companies sell shares to raise money for expansion, hiring, and research without taking out loans. In return, investors hope the company's value โ and therefore their shares โ will rise over time.
โก DID YOU KNOW?
The world's first publicly traded company was the Dutch East India Company in 1602. It sold shares to fund spice-trading voyages โ and the Amsterdam Stock Exchange was born.