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A share price is the price of a single share of a company's stock. Once the stock is purchased, the owner becomes a shareholder of the company that issued the share.

When viewed over long periods, the share price is directly related to the earnings and dividends of the firm. Over short periods, especially for younger or smaller firms, the relationship between share price and dividends can be quite irrational.

In the US, a share must be priced at $1 or more to be covered by NASDAQ. If the share price falls below that level the stock is "delisted", and becomes an OTC (over the counter stock). Technically, a stock must have a price of $1 or more for 10 consecutive trading days during each month, to remain listed.

Many US based companies seek to keep their share price (also called stock price) low, partly based on "round lot" trading (multiples of 100 shares). A corporation can adjust its stock price by a stock split, substituting a quantity of shares at one price for a different number of shares at a new price where the value of shares x price remains equivalent. (For example 1000 shares at $16 may become 500 shares at $32. This example would be known as a reverse split, since traditionally splits have been used to increase shares and keep share prices from appearing too high for round lots.) Many major firms like to keep their price in the $25 to $75 price range.

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Share Price Articles

Creating High Resale Prices For Resale Rights eBooks!
by SANDEEP DHILLON
Dec 17, 2008
The right way to earn money on the Internet is to purchase resale rights for quality eBooks and then sell them without lowering the prices to an absurd level. By keeping the prices high, you can create an aura around your eBook and maintain a standar...

Creating High Resale Prices For Resale Rights Ebooks
by BHAIRUN RAM
Dec 11, 2008
The right way to earn money on the Internet is to purchase resale rights for quality eBooks and then sell them without lowering the prices to an absurd level. By keeping the prices high, you can create an aura around your eBook and maintain a standar...

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