If You Have $3,000, Should You Spend It on 1 Share of Amazon?
Amazon (NASDAQ: AMZN) stock looks expensive today, trading at more than $3,000 for one share. That's enough money to buy about 15 shares of PayPal, 20 shares of Walt Disney, 26 shares of Apple, or 58 shares of Coca-Cola. Where should you put your money?
While $3,000 seems like a hefty price for one share of stock, the number of shares you buy isn't what really matters. For example, Apple executed a 4-for-1 stock split in August. For each share worth about $500, shareholders received four shares worth about $125 each. While it may be easier to purchase shares that cost less, if you had $500 to invest in Apple, it didn't matter if you bought one share before the split or four shares after -- it was worth the same amount of money and had the same growth prospects over time.
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Source Fool.com
