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thunderingcherries857 · 01-19-2013, 04:27 AM

I was thinking of buying some Facebook shares but people are saying it's a bad idea. But what does one do with shares besides sell them? Or is that all there is to it?

Evan APA, FT · 01-19-2013, 04:35 AM

It is true, you can really only buy or sell unless you hold a significant share. BUT the whole goal of buying shares is to buy low and sell high. You have to keep your eye on the market because when the market crashes, so does the value of your share.

Example: You buy 1 share of a company at $10 a share, the company does really well and the share goes up to $15 a share. You can now sell for a 50% profit at $15 share.
OR
The company could do poorly loose value which means it will only be $5 a share, that means your share has decreased in value at 50%.

I would suggest looking around at companies and review their records to see if it is worth investing. Its a gamble, you could do great, or you may lose your money

Best of luck!

http://finance.yahoo.com/ to review stocks by typing in their company name or TKR

shawn · 01-19-2013, 04:35 AM

the stcok opened at $38 a share, giving it over $100 billion market cap, which it is not...the shares are worth around $15 a share, do not buy, it is a bad idea

Common Sense · 01-19-2013, 04:35 AM

People buy stock and then sell it (in one day, 2 months, 10 years, 40 years etc).... hopefully they'll get more money for it when they sell (yes... that's all there is to it).

It's great that you're interested in buying stock. However you've picked one of the most dangerous area's of the market to enter.... usually not advisable for new investors. Facebook (FB) is a new public company..... the shares could rise 50% from here or go down 50%... very quickly. I tend to believe that at best it will be dead money for years.... but most likely will lose.......

FB stock price may get killed when the insiders with restricted stock are allowed to sell. Add to this to the fact that many consider the stock price to be already well over fair value...... and you could have a mess on your hands.