A stock is a type of security that an ordinary person buys of a company to obtain partial ownership of said company. 

In other words, one gives money to a company which needs liquidity, and in return the company pays back the individual with a share, making them a shareholder of the company. 

Now, depending on the market, the individual’s new stock can raise, or decline. In reality, nearly anything can cause the movement of a stock; however, usually it is directly related. For example, one way one’s share can go up is when the company releases a new product that has been highly anticipated, and on opening day the item sells out. This would bring a profit to the company, and in turn, would cause the company’s shares to increase in value, meaning that if an individual owns a share, they technically make money. Now, I say technically here because the individual doesn’t get, say, $20 mailed to them when this stock goes up. Rather, the stock’s value raises, meaning that the owner would have to sell it first for him or her to actually “make” money. See, stocks are really like a company’s products; although they are intangible, the stock is something that can rise or decline in value, and must be sold before an actual profit can be made. Now, this may sound like a bad thing, but in reality, it’s useful; if your stock goes down in price, the only way you would actually lose money is if you sold it right then and there; however, with stocks, you can hold onto it and wait until it goes up. If you own a share in a common company, say Microsoft or Ford, chances are they won’t ever go bankrupt, since they are so big. Hence, always remember that in the long run, the stock market always goes up in value. Notice how I say the stock market, and not stocks or shares. However, the general rule of thumb is that if you invest into a solid, well-known company in a modern industry, it will rise in value over time. Therefore, owning a share in a company can be quite profitable.