Fidelity - Stocks by the slice?

[QueBota]

May be wrong forum.

Just noticed this the other day, appears to allow you to purchase pieces of $$$$ shares like Amazon etc.

I mess with stocks but usually less than $50.00 per share.

Appreciate any thoughts.

Thanks,
Q

 

[Tomtint]

May be wrong forum.

Just noticed this the other day, appears to allow you to purchase pieces of $$$$ shares like Amazon etc.

I mess with stocks but usually less than $50.00 per share.

Appreciate any thoughts.

Thanks,
Q

I can understand your sub 50.00 P/S idea, But does it really make a difference? Say you buy 100 shares of a 50.00 stock and it goes up 10%. Or you buy 50 shares of a 100.00 stock that has better fundamentals..and it also goes up 10% ... or even pays a dividend... why the sub 50 mindset ?

 

[Oaktree]

Are you saying they allow you to buy fractional shares? I can see how it might be appealing on stocks like Amazon or Google where the price per share is over $1k. It just seems to me that for a stock that pricey, it would have to go up a lot more dollar-wise to get the same percentage gain of a cheaper stock.

Any stocks I have are set up so all dividends get reinvested, so most of what I have is not whole shares as it is.

Nice thing with Fidelity is that their transaction fees are much lower than with a standard broker.

 

[skipperbrown]

It's a great way to invest in stocks with very high prices. However, beware the transaction costs to make such a trade.

 

[duckruck2]

Is there a forum for stocks?

 

[Jstpssng]

Is there a forum for stocks?

Not yet, but there is an ongoing thread for them now. :thumbsup:

I promise that I won't inadvertently get this one locked... by not posting here again. Please keep this one going.

 

[tallyho8]

In tragic times, like we are going through right now, is the best times to make a fortune in stocks. Of course, you can lose a fortune in stocks also if you don't know what you are doing. Stocks like travel stocks have been fluctuating wildly and can have tremendous profits (or losses) rather quickly. When I see a stock, like Carnival cruise lines that had been selling for over $60 drop down to under $8, I jump on it quick buying a few hundred shares. Knowing that the company is valued at about 14 billion dollars, I see no way that the stock can drop lower than that price. And it hasn't disappointed me so far as it is not trading at about $18, an increase of over 100% in 2 months and I am looking forward to seeing a few hundred percent more increase in the next6 months.

Stocks like Jet Blue and Norwegian have taken large jumps also after a big loss and many day traders will buy a few thousand shares one day and sell them the next day at thousands of dollars profit. Knowing that good world news generally makes stock prices increase and bad news makes them drop and using that info to buy and sell at the right times is the difference in making or losing money in stocks.

Yes you can lose money but the odds are many times better than the odds you get at Las Vegas casinos.

 

[Oaktree]

I When I see a stock, like Carnival cruise lines that had been selling for over $60 drop down to under $8, I jump on it quick buying a few hundred shares. Knowing that the company is valued at about 14 billion dollars, I see no way that the stock can drop lower than that price. And it hasn't disappointed me so far as it is not trading at about $18, an increase of over 100% in 2 months and I am looking forward to seeing a few hundred percent more increase in the next6 months.

Maybe I'm a bit more conservative of an investor than you, but I'd be reluctant to buy anything related to the travel industry right now. Airlines and cruise companies were in trouble even before the pandemic, I don't see either recovering quickly. I suppose at $8/share you didn't have much to lose, and for sure a recession is a good time to buy in on quality companies but I think I'll stick with industries with a bit more growth potential. I don't see people going on cruises for a long time.

 

[drssg]

A BIL of mine recently bought some Carnival Cruise Lines stock. He's more speculative than I am. I'd rather buy something that seems like a good long-term investment and hang onto it. Anything that involves outthinking and timing the market would drive me insane. To each his own.

 

[RickB]

Nice thing with Fidelity is that their transaction fees are much lower than with a standard broker.

Schwab stock trades have $0 fees & commissions.

 

[JethroB]

I was a finance major in college 40 years ago. I still recall some things my professor said in an early investment course:

1. We little guys are the last to know what's going on.
2. In every trade there is a buyer and a seller, one thinks the price is going up, the other down.
3. You can do as well with the price going down as up (shorting a stock)

I tried bottom feeding several individual stocks over the years by buying at all time or ridiculous lows. Their bankruptcies wiped me out on a couple. I am much more conservative now in my retirement years. I follow Vanguards philosophy of diversification, long term, and low costs. It is boring but I sleep better.

Sorry to get off topic.

 

[two_bit_score]

Schwab stock trades have $0 fees & commissions.

What are the requirements to get those free trades?

.

 

[riptides]

Speaking of stocks.....Hertz.....the last few weeks have been stupid interesting. They go bankrupt and their price and offerings actually go up too. Then the SEC finally steps in.

One needs to be a waskely wabbit in this market.

 

[RickB]

What are the requirements to get those free trades?

.

I don’t know for certain. I’ve been with Schwab for over 25 years and have been above the threshold for annual account fees for most of that time. They have tons of no load/no sales charge funds of their own and from other companies and offer funds from other brokerages like Vanguard or Fidelity with a flat transaction fee. Stock trades used to be $9.95 per trade. A few years back they dropped to $4.95 and a year or so ago most stock trades became free. There are some penalties for sales within a couple months but that does not affect me. They have been great for our needs and I have consolidated most of our holdings to various accounts with them.

 

[BoylermanCT]

I tried bottom feeding several individual stocks over the years by buying at all time or ridiculous lows. Their bankruptcies wiped me out on a couple.

Been there too. Bought real cheap and then they went bankrupt. When they emerged from bankruptcy, their old stock is worth $0 and they have new stock going forward.

I now only buy stock in companies that are successful in their sectors. This has provided my portfolio with good growth over the years. I am a big fan of FAANG. Facebook, Amazon, Apple, Netflix and Google. In 2019 they returned 44% compared to the S&P500’s 25%. You can buy their individual stock or buy a FAANG mutual fund. That said, Momma always told me never put all your eggs in one basket.

 

[tallyho8]

Investing in stocks is no different than gambling at casinos except you have better odds. The riskier the deal, the higher profits or losses. If a stock has a low risk like one of the perennial standards like ATT there is not much risk but not much to gain either. For the lowest risk possible just buy a CD at the bank with 1% interest. When investing, never invest more than you can afford to lose.

Most of my savings are in low risk savings but I also have been buying some high risk stocks for years and have done very well. Well enough that at times I wished that I had invested all of my savings in these stocks because I would be rich right now if I had. But I refuse to ever invest more than 20% of my savings in stocks and if I lose that, no more stocks.

 

[RickB]

Stocks with solid dividend histories have better odds than a trip to the casino.

 

[tallyho8]

That's why I said you have better odds with stocks than you do at the casino. At the casino the odds are ALWAYS in the casino's favor. Not so with stocks.

 

[RickB]

But some casinos now have drive up service. They meet you at the curb, you give them cash then go home.

 

[Jstpssng]

But some casinos now have drive up service. They meet you at the curb, you give them cash then go home.

:rotfl::shocked: