I now understand how stocks work

The IPO stage may not be the first time a company sells shares. Companies can sell shares through private placements

Forgot to mention companies continue to create new shares out of thin air and dump them on peoples heads

If you buy enough stock, you can also take the company private so you actually own the company just like Dell computers

That means you’re the exit liquidity for the early buyers or investors

This isn’t true. Companies can borrow against their stock value and generate cash that way. they can also issue more stocks

So many inaccuracies ! But still good for my 6 y.o kid ...

Elon is one of the few that holds shares in his own companies, why? Because when the price goes up the original investment increases in value.

This isn’t fully true… companies can continue to sell shares to the market

Also like the IPO, a company can do a SECONDARY OFFERING to raise extra cash. View it as a second IPO just that they can do several of these. Again, they can do reverse splits.

Good

Elon might not receive one penny, but when more people are buying than selling, his net worth trickles up.

That might be a company made by the people, buts it’s a little different when Tesla is owned by the patriarchy and at the moment there is only one member.

I’m I the only one who doesn’t understand anything even after watching the video?

Credits?

This video lead out a lot details. Such as when you’re a shareholder of public trading company like Tesla. You have the power to vote on things and influence a degree of decisions if you own a certain amount shares.

Whats the name of this dude in the video

How boss

You are buying voting rights. Also may companies have reserve stock, and they will use the shares for bonuses or sell when they need cash.

💯

You are buying a piece of paper that represents ownership with voting rights or not based on the stock class and the value of the company as of market cap is important for acquisitions, debt and also for the options future employees will exercise if given options for stocks.

Idiocy!!! Go back to school! You don’t know what you’re talking about🤷‍♂️🤦🏽

Tell that to Micheal Saylor

Um...So explain hostile take overs???

@grok what his x account

Can you explain what happens when a company buys is share back?

@grok

Who pays the dividends than ?

You really didn't know?

The companies usually build and create new products or services by using the IPO or preIPO money and the additional value is reflected in the share price (and future growth forecast etc). This is one of the dumbest takes on Shares I have ever heard.

well explained. thanks

Idk but this was basic knowledge

Just like Twitter just like how GameStop is trying to buy eBay you will be up to them if they make it a private or public company

Even though the company has already cashed out the money ,You’re still a part owner . So you will get 2 forms of income . The company pays divided at the year end + when the share price goes up and you sell .