> Question about shares..i'm just a beginner?

Question about shares..i'm just a beginner?

Posted at: 2014-12-05 
If I buy a share in the company, of say 50 dollar. How much return will I get on it? What does it depend on?

You may not get any return at all. You may make a loss.

Very, very simply this is what happens.

If the company makes a profit then the shareholders make a profit, called dividend. Share prices also go up in value so if you sold you would make more than you paid for them.

If the company makes a loss no dividend is paid and share prices go down so if you sold you would make less than you paid for them

It depends on the company (management and or board of directors). They may or may not pay a dividend, and they set the rate of how much per share

visit the local library to learn about stocks

and how money is made with them.

If I buy a share in the company, of say 50 dollar. How much return will I get on it? What does it depend on?