Quick Definition

A stock represents ownership in a company, giving the holder a claim on part of the company's assets and earnings.

Examples

• 1Purchasing shares of Apple Inc. means owning a part of Apple and potentially benefiting from its financial growth.
• 2Investing in Tesla stocks as part of a diversified investment portfolio.
• 3Using stock investments as a long-term retirement strategy through a 401(k) plan.
• 4Selling stocks of a company when its market value increases to realize a profit.

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