Everybody that is not living in a cave probably already knows Apple, but do you know how to buy Apple Stock? Apple is one of the world’s largest tech giants. In 2018, Apple passed the milestone and became the world’s first company that worth a trillion dollars.
Although its valuation has dropped since its maximum recorded value, Apple still occupies a desirable competitive position, because people consider their consumer goods and services are luxuries (such as iPhone, iPad, iPod, and MacBook).
This allows the company to charge higher prices on its products compared to its competitors. Despite facing slow growth, Apple is generating tens of billions of profit this year. Below you are going to learn how to buy shares of Apple Stock.
We also going to show you what to consider before you buy the stock.
1. You have to analyze the company along with its financial reports
Beginners may get confused about how to buy Apple Stock. The most crucial part to consider before buying a stock is analyzing a company’s financials and competitive position. Lucky you, the U.S.
Securities and Exchange Commission (SEC) requires all publicly listed companies issue a comprehensive summary of a company’s financial performance in the form of an annual report called Form 10-K.
The report can give you comprehensive understanding about the company which stock you are going to buy.
Below are the things you can learn from the 10-K before buying Apple Stock:
The company’s assets and liabilities
How much and how it makes money
The landscape of competition
The threat faced by the company and its business
The trend of the company’s profitability over time
How the company incentivized the management team
2. Does Apple suit your portfolio?
Apple is a great tech giant and an amazing performer in the industry for many years. Despite all its greatness you still have to consider many things before buying Apple Stock. The tech industry is all about interrupting the big companies such as Apple.
This guide on How to Buy Apple Stock will show you what to consider before buying its stock:
Considering Apple’s growth, will you able to analyze the business continuously?
Does Apple’s growth fit your needs?
Stock is fluctuating, will you able hold on when the value drops?
Does the dividend paid by Apple suit your needs?
3. Get yourself a brokerage account
It may sound difficult, but we will show you how. You have to choose one that suits your needs. You need to consider the frequency of your trading before opening one. The type of service and research are also the things you have to consider.
Commission-free trading are provided by some special brokers for those who buy a few stocks but investing mainly in funds.
Nowadays, opening a brokerage account is even easier. You can also fund your account completely online.
4. Finally, buy Apple Stock
Now that your brokerage account is ready, the last step is to buy the stock. When you input your order you can use Apple’s ticker symbol (APPL). Usually, most brokers put trade ticket on the form. Then, you will want to input the symbol and the shares that you want on the order form.
There are two types of order that you can choose. If you choose a market order, it will automatically buy the stock at its current price, while the limit order is a type of order that will buy the stock only when it reaches a particular price.
It is quite easy and simple. What are you waiting for? Now you know how to buy Apple Stock.