What links a stock to its actual company?

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As I understand it, when people buy a share of stock, the price goes up. When people sell it, the price goes down. So what does this have to do with the company itself that this stock represents? For example, if a bunch of people wanted to make Apple’s stock price go down, they could just agree to sell their shares. So what does the actual stock price have to do with the company?

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Anonymous 0 Comments

What links a stock to the actual company is that stock holders are the owners of the company and make decisions on how the company is ran. The price is just the demand that people have to own part of that company.

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