Stu follows the stock market on a daily basis as he tries to build his savings for retirement.
Buying Google Stock for Beginners
In the last five years, Google stock has gone from about $300 per share to over $1,200 per share (before the split). It is one of the few companies (besides Apple) that you can say really has their act together. Most of their revenue comes from their top-rated search engine and Adwords, but they have their hand in other businesses as well. This is what makes them a strong company: They have a handful of businesses that are all doing very well so their income stream is steady and not reliant on one or two products like Apple stock might be.
Many analysts still think this stock is going higher and is in the midst of a turnaround. You might be asking yourself: Is it still a good buy? I can't specifically answer that question, but if you are interested in buying Google, read on.
August 2019 Updates: Alphabet
The latest earnings drove the stock higher by almost 10%!
August 1, 2019 Update: GOOG ($1227) and GOOGL ($1229) have both had a good 2019 as the stocks have risen more than 200 points. July's earnings report bolstered investor's confidence that the company is back on track and the stock jumped about $100 as a result. You can read the full earnings press release here and the transcript of the earnings call here.
How Much Money Do You Need to Buy Google Stock?
Google stock is expensive, at least dollar-wise. As I write this, the both stocks (GOOG & GOOGL) are priced at $1,227 or higher! That means you need at least $12,270 just to buy 10 shares, or $122,700 to buy 100 shares. However, you can buy as little as one share at a time with any online stockbroker.
The high stock price prevents many people from buying the stock, and is why many investors in Google stock wish it would split. If it did split, the stock price would decrease and make it more accessible to everyday investors. Splitting just means the price is cut in half and there are then twice as many shares available.
Right now you need enough money to buy at least one share of stock and depending on when you read this, that may be more or less than $1,227. Please be aware that if you do decide to buy the stock, your money is at risk as the stock can always go down. Google shouldn't be the only company you buy. It is always best to diversify, which means putting some of your money in other stocks as well.
Online Investing for Beginners
1. Find an Online Stock Broker
In order to buy stocks online, you will need to find and sign up for a discount stock broker. There are a lot to choose from and you will get pretty much the same services with all of them. You can find ones that charge around $5 a trade (Ally Invest) all the way up to around $20 per trade.
Ultimately, you will find that the biggest difference between the brokers is their user interface. In other words, what their site looks like and how they present the information in your portfolio. This is ultimately a matter of personal taste. Whichever one you use, you will easily be able to buy Google shares.
Here are some of the better-known online discount brokers:
2. Sign Up and Get Money into Your New Broker Account
After you pick a broker, you are then have to sign up for an account. Most people are used to doing things online now and signing up for online accounts is much the same with a broker as it is for anything else.
They will need your name and address along with your Social Security number (yes, this is required). They might also ask you to fill out some personal information regarding income, net worth, savings goals, and similar thing, but you usually do not have to answer those questions if they make you uncomfortable. Most likely they are used for the trading company's own marketing and data-collection purposes.
Read More From Toughnickel
Before you can buy Google stock, you will of course need to get money into your account. Most people simply have the money wired in from their bank, but you can also send in a personal check or hand deliver it to your broker's office if they have one in your city. The wire transfer is quickest and it will allow you to get started buying stock fastest.
3. Practice Buying Stock with an Online Simulator
If this is your first stock purchase, you might want to take a dry run before you use real money. For that I recommend signing up to Wall Street Survivor. It is a free stock-trading game that gives you 100,000 virtual dollars in play money and lets you place buy and sell trades in a system that resembles what you will find with real stock brokers. They have all sorts of contests, videos, articles, and training materials to help beginning investors learn the ropes. Again, it is free, so give it a try if you feel you want some quick experience before buying Google for real.
4. Time To Buy Google Stock For Real!
Once you feel you are ready to buy Google with real money and your online broker account has been funded, it's time to make your first trade. You can buy the stock right away any time the market is open or you can wait in hopes of getting the stock at a cheaper price. There isn't a right way to do it because while it is true that you might be able to get a better price sometime in the future, it is also possible that the stock will continue to go up and you will end up having to buy at an even higher price.
Keep the following in mind:
- Learn to ride the waves: You have to get used to having money in the stock market and seeing it go up and down on a daily basis. If you have never owned stocks before, this can take some getting used to. It's nerve-wracking when your stocks go down. However, over time most investors learn to live with it. Nevertheless, knowing that you can lose money every day the market is open is difficult for some people to adjust to.
- Diversify your holdings: Make sure that Google isn't the only stock you buy. You should never have all your savings in one stock or even all in the same economic sector. This also means putting your money in other investment vehicles such as real estate, bonds, CDs, or precious metals. That way, your wealth can take a hit without collapsing if and when the market takes a dip.
This article is accurate and true to the best of the author’s knowledge. Content is for informational or entertainment purposes only and does not substitute for personal counsel or professional advice in business, financial, legal, or technical matters.
New Guestbook Comments
Justine Chongo on May 07, 2020:
Sajid 0300 on November 02, 2019:
Hy, I'm Sajid from Bargain Green Town Lahore, Pakistan.
I hope you will be fine and well by the Grace of Almighty Allah.
I intend to purchase google shares and want to know that purchasing procedure in Pakista and which city.
Aser Ashkir on July 11, 2019:
Liked the article - and will buy google stock
DEBU on July 08, 2018:
how can we buy without the help of any broker or agent
Hi on August 10, 2017:
Google well done
Edmund Custers on July 16, 2017:
Thanks for the interesting read. I have one question. Did the stock split already? Your poll seems to suggest that, but the current price doesn't. I guess you created the poll just in case there is a split in future.
interesting on March 30, 2017:
fearless on March 09, 2017:
i hope google splits it's stock
steve on October 27, 2016:
what does google trade under on stock market
Edward on September 21, 2016:
I dont seem to getting the game
Karen M on June 24, 2016:
Thank you. Thinking about entering the stock market for the first time outside the IRA and 401k I already have. Gold maybe? Alternative energies? I'm listening!
Ravi Gandhi on May 22, 2016:
Thanks for the helpful tips! I would definitely try Wall Street Survivor prior!
lagnew on July 31, 2015:
Great article, I am excited to try Wall Street Survivor :)
Stu89 (author) on June 11, 2015:
I don't think anything has changed. When you sign up you should have gotten money to trade with and you find it all at the very top of the screen under "Portfolios". You can then trade that using that fake money just like you would if it were real money in a real broker account.
leighallan on May 29, 2015:
Hi, just joined Hubpages so I could ask this question. Enjoyed your article and was most interested to try the simuator at Wall Street Survivor that you recommended. I signed up and was ready to dig in and start learning but instead of finding a free simulator to try all I see are courses for a fee. The first one I chose was $29.95. Am I looking in the wrong place? Or have they started charging since you wrote this article? I hope you or someone can point me to a free simulator to try. I don't want to be losing money before I even know what I'm doing! Thank you.
Adil on March 18, 2015:
I would like to start investing please if you can help me any advice i live in morocco, i have a bank account in us
Chinedu from Switzerland on July 02, 2014:
Great info! thanks for this advise recommendations.. haven`t owned stock before but you have prepared me for it and I`ll give it a try... Thanks, once again
Robert Connor from Michigan on June 23, 2014:
Maybe one day we will be able to get some Google stock!
Stu89 (author) on June 01, 2014:
@julietsaaid: Please read this: buying US stocks for non-residents
julietsaaid on May 22, 2014:
Great guide. I would like to ask you how can I buy GOOG stocks if I'm not living in USA( What SSN do I provide?)
sirteacup on May 14, 2014:
Awesome little guide. I'm not sure if I'm ready to invest in a stock like GOOG quite yet but definitely going to get practicing on Wall Street Survivor - great idea!
sew savaay from Westchester New York on May 03, 2014:
Thank you for the practical advice & mentioning Wall Street Survivor. I will definitely try that site before investing my "real" money.
veronica-hunt-69 on April 27, 2014:
Very helpful, can't wait to try the virtual account thanks!
whitney-chadwick-1 on March 31, 2014:
This was very helpful! Thank you!
XmasterJ on January 22, 2014:
Nice lens, Google and Apple are certainly good opportunities.
subodhghulaxe on November 13, 2013:
How can I buy google stocks from India using indian rs.
KathyZ1 on October 30, 2013:
Thanks for your sharing.
TechnicalIndicators on October 12, 2013:
Nice pick. Google is definitely a great company.
Andrew4M on August 01, 2013:
Notafraid on July 25, 2013:
I think Google could break 1000 this year! Great lens!