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If I buy a stock when it’s negative, will I immediately lose money? ?

Let’s say it’s at -5% but I feel like it’s going to go up. If I buy it at -5% will I immediately be losing money? or will it just start off there with my 50 bucks and I’ll only lose if it goes less than -5%? 

9 Answers

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  • ?
    Lv 6
    2 months ago

    No matter how complex the stock market may be, stocks simply represent shares of ownership in a company. ... However, a stock can never fall to a negative value. A value of zero indicates that no investor is willing to buy the stock, no matter how low the price – essentially, that the corporation has no value.

  • Anonymous
    2 months ago

    There is no such thing as "negative" stock.  Thinking that is the best reason you need to stay away from the stock market.  And have a family member help you with things like buying a car or renting an apartment.

  • 2 months ago

    To the last smart mouth answer, I’ve been investing for over a year, made a few thousand, is it just luck? Yea I guess, but I’ve just never invested in a negative valued stock before. Let’s not act snobby now fellas.

  • kswck2
    Lv 7
    2 months ago

    If you buy a $100 stock and it drops to 95, you lose 5%. If you buy a $100 stock and it drops to 95 between the time you put in the order and when the trade goes through, your starting price is $95. No loss. 

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  • 2 months ago

    Depending on which broker you use, you may be losing commissions immediately (regardless of whether it is positive or negative).

    You are not losing 5% due to it being negative.  If it's still at -5% when your purchase goes through, then you are buying for 5% less than when it was at 0%.

  • 2 months ago

    The actual stock price is NEVER negative. It may be down from the previous day, but not below ZERO.

    Note: ANY % is a change from a recent price. The actual price is expressed in $, or whatever currency the stock trade in.

  • Amy
    Lv 7
    2 months ago

    -5% means the stock is trading at 5% less than the previous day. For example, yesterday it sold for $100 but today it sells for only $95.

    If you buy a stock for $50, you will own the stock and no longer own the $50. Whether you lose money on that deal depends on what price you sell the stock for later.

  • John
    Lv 6
    2 months ago

    The -5% you speak of means the stock price has declined 5% from its price on whatever date the price was valued at before.  It has absolutely nothing to do with what you would pay for the stock.  You should not invest in anything until you understand what you are spending money on.  

  • Anonymous
    2 months ago

    You are years away from being ready to buy stocks.  I think crypto is right up your alley.

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