Why are some shares of huge companies $10 while other smaller companies can be $200 a share?

Question

It doesnt mean that one company is worth 20x more than the $10 company. But I dont get it, are more shares just available of certain companies?

Answer 1

It's the number of shares that counts.

Answer 2

it,s called speculation.

it,s what people think it,s worth

not what it really is worth.

like the price of oil...there is more oil in

this world than water,but they both cost more than milk ? right...

oil on top-water is second.

everyone thinks there are none left

but they are all wrong.

there is so much it isn;t even funny.

Answer 3

companies get to say how many shares they have.  it doesn't change the market cap of the company, so most companies will use splits and special dividends to keep their stock prices in ranges that behavioral finance studies have shown to be the most attractive to investors - usually between $30-80 (in the US - in other companies, shares are usually under ~$5 by custom).

but some companies don't buy in to those theories as much, so they don't split as often, which means that they have fewer shares with a larger price tag.  Warren Buffet is one of those who doesn't buy-in to any of the behavioral finance stuff - that's why his company (Berkshire-Hathaway) has a stock price over $100,000.

the bottom line is that nominal share prices don't matter - only the valuation does.

Answer 4

because thats the whole point of shares, they arent all the same price, wheres the fun and financial gain if that was the case, my dad has shares in absolutely everything.

Answer 5

Once shares go up to a certain amount, the companies will cometimes split them. So if you had 100 shares of a company worth $30 a pop and they split them, you end up with 200 shares which are only worth $15.

They essentially divide into more, but smaller, chunks.

Some companies however, do not split and can thus end up with individual shares worth hundreds.

So it doesn´t just matter the price of the shares, but the amount you own as well.