Are you wondering how to buy Google shares and the Google stock price? Google is one of the best-known companies on the planet. You might already be using Google’s products such as Gmail, Google Hangouts, Google Drive, and many more.
If you’re interested in buying Google stock, all you need to do is buy shares in Alphabet Inc., Google’s parent company. This article will explain how to buy Google stock online. However, this is not investment advice. We don’t recommend that you buy Google shares. We only share the information you need if you want to buy Google stock.
Table of Contents
Overview Of Google
Google is a US-based tech multinational company that is focused on internet-related services and products. Some of its products include its leading search engine, which enjoys more than 70% market share. Google’s other revenue streams are online advertising, cloud computing technologies, and other software and hardware.
In 2015, Google was restructured, and it became a subsidiary under its parent company Alphabet. Google’s search engine enjoys a 70% market share, and the market capitalization has crossed a trillion dollars.
Google is listed as GOOGL and GOOG on the NASDAQ stock market exchange and the ticker symbol GCQ1 on the Frankfurt Stock Exchange. These ticker symbols now refer to Alphabet, Google’s holding company. When people talk about buying Google shares, they refer to buying shares of Alphabet.
If you’re thinking of investing in Google, you could consider buying shares in Alphabet.
Google’s Stock Performance In Recent Years
Google stock has been a top performer in the last five years. Google’s stock has been one of the world’s top performers in the past five years. In April 2016, GOOGL stock was trading at $767, and the current price as of April 2021 is $2024.
Related: Best value investing books
Steps To Follow Before Buying Google Shares
If you use Google products and are already interested in buying Google stock, here are the steps you will need to follow.
1. Understand how the stock market works
Before you consider buying Google shares, it is important to understand how the stock market works and how companies raise capital by selling their shares. There are several ways in which a company can raise money to finance its growth or expansion plans. A company can sell new shares to the public or offer its existing shares to the public for purchase.
2. Analyze Google’s financial statements
Before you buy Google shares, you should analyze the company’s financial statements. This includes looking at key figures such as revenue and profit margins reported quarterly by most companies. It would help to look at the company’s debt levels and cash balance to see whether it has sufficient funds to finance its growth.
3. Conduct a Fundamental Analysis of Google Shares
Conducting a fundamental analysis allows you to understand how well or poorly a company is performing compared with its competitors on important financial metrics, such as revenue and earnings per share. It would help if you also looked at its industry position, economic moat, and investment prospects.
4. Consider market sentiment
It is important to consider market sentiment when you are buying Google shares. It is possible that even if a stock may be undervalued relative to other stocks in the same sector or group, it might still underperform in the market if investors are bullish on other competing stocks. If market sentiment is negative, that is, traders are bearish about a stock or an index, then it might be better to stay away from it.
5. Conduct technical analysis of Google Shares
Technical analysis involves looking at various factors like price history and volume movements to understand and predict future stock price movements.
6. Decide on the timing of your purchase
If you are buying Google shares, it is important to decide on the timing of your purchase. You can choose to buy during periods when the stock has corrected or is undervalued, or you could wait for an uptrend in its price. It would help if you also considered whether you are buying Google shares for short-term or long-term investment.
How To Buy Google Shares – A Step By Step Guide
Here are the steps involved in buying Google shares :
1. Open a brokerage account
The first step is opening an account with a broker. There are several online brokers, and it is important to choose your broker carefully, as brokers charge different commissions for transactions made on their platforms. Before you open an account, find out exactly how much it would cost to open and run your account, including the commissions for each type of trade you plan to make. You should also consider several criteria when selecting a broker, including the following:
- Commissions: Are commissions charged per trade, or are there annual management fees for holding your account?
- Minimum Investment: Is there a minimum initial investment requirement?
- Trading Platform: Does the platform have the tools you need to conduct your analysis and execute your trades effectively? For example, is charting software available at no extra cost?
- Fees: Is there a fee for transferring shares or withdrawing cash from your account?
- Customer Support: How responsive is the customer support team in resolving any issues quickly and efficiently?
- Minimum balance requirement: What is the minimum balance required to open an account with the broker?
- Ease of use: What is the learning curve for the account opening and trading process? Can you buy and sell stocks with ease?
- Stocks available: Do they offer the stocks you want to invest in?
- Payment methods: Can you fund your investment account directly from your regular bank account or PayPal?
You should review your broker’s platform and services before making any trades. For example, figure out how long it would take for your money to become available after the shares are sold. A good broker should provide access to multiple market data feeds so that you can conduct your analysis. Some brokers also provide you a free stock for opening a stock trading account with them.
2. Decide on your investment strategy
Once you have opened an account, it is time to decide whether you want to buy Google shares using a long-term or short-term strategy. This will help determine how much money you should invest in Google shares. It is also important to think about when you want to lock in your gains. It would be best to stay invested over the long term unless you want to take profits and reinvest elsewhere.
3. Decide how much to invest
The next step is deciding how much money you would like to invest in Google shares. If you plan to buy Google shares for the long term, then it might be easier if you have a larger initial investment. However, if you are investing for the short term, starting with a smaller amount could be better.
If you plan to buy Google shares in increments, consider setting up an auto-investing program that will regularly buy the stock. This allows you to benefit from dollar-cost averaging and reduces risk by diversifying across securities and time frames.
4. Fund your brokerage account
Once you have opened a brokerage account, fund it by transferring money from your bank account to the broker.
5. Choose a limit or market order
You can buy Google shares either by placing a limit order, which specifies the maximum price you are willing to pay for Google shares, or by buying at market price. A market order places your buy request at the prevailing market price and gets executed first. Unless you specify otherwise, you may execute your buy order at a higher or lower price than the prevailing market price.
6. Track your transactions and holdings
After you have placed your buy request, you should track it to determine whether it has been executed successfully or not. You should also track how the stock is performing against the prevailing stock market trend so that you can decide whether to sell it in the future.
Related: Best Investment Apps
Investing always comes with certain risks, and Google is no different. You can reduce risks by refining your investment strategy, having a diversified portfolio that will protect you against stock market volatility, and avoiding scams by choosing a reliable broker.