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they dont ever touch it
do you keep the same amount of shares that you started with?
Or do the shares multiply by themselves?

2006-11-10 10:26:23 · 5 answers · asked by jade r 1 in Business & Finance Investing

5 answers

Usually you have the same number as you bought.

In some cases, it's possible to do dividend reinvestment. That means that instead of taking any dividends that the stock pays, you reinvest them, which means the company automatically buys new shares with them. When you do that, the number of shares you own gradually increases.

There is also something called a stock split. Say the price of shares gets to $100 per share and you own 100 shares. The company might declare a "2 for 1 stock split". This would mean you'd now own 200 shares, but they'd now be worth $50 each, so your total value didn't change.

2006-11-10 11:23:23 · answer #1 · answered by Judy 7 · 0 0

Wake up call ! Regardless of whether or not you touch your stocks, somone else may ! Some multiply, some bad stocks
can reduce your shares, and for that matter go right off the exchange. I lost a small amount, took a flyer with a pal at work,
we got a lot of shares dirt cheap, Cal. bank folded, we went off the board, lost all our money, our shares were reduced from around 2000 shares to 3 or 4 shares, bank execs took half million dollar bailouts !

2006-11-10 12:23:40 · answer #2 · answered by The Advocate 4 · 0 0

A stock can split and the split can either result in you having more shares or fewer shares. A stock can also pay a stock dividend. Finally a stock can pay a cash dividend that can be automatically reinvested in more shares.

So you can end up with a different number of shares than you started with.

2006-11-10 12:28:12 · answer #3 · answered by Anonymous · 0 0

No.

Everytime there is a split you will have more shares.

The graph shows little black triangles. Each triangle means you got more shares.

This graph is for Microsoft but most companies split their shares.

2006-11-10 12:41:47 · answer #4 · answered by Anonymous · 0 0

nothing happens

2006-11-10 10:29:06 · answer #5 · answered by forex 3 · 0 0

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