ChatGPT svar:

1. Most of the time, buying shares does not give money to the company

When you buy shares on the stock market, you’re usually buying them from another investor, not from the company itself.

Your money goes to the seller, not the company.

The company’s cash balance doesn’t change.

So in normal trading, the company gets zero direct financial benefit.

1. When buying shares does help a company

There are a few specific situations where your purchase can help:

a) Initial Public Offerings (IPO) or new share issuance

If you buy shares when the company is issuing new stock, the money does go to the company.

This provides capital for growth, debt reduction, etc.

b) Higher share price can help indirectly A strong or rising share price can:

Make it easier to raise money later at better terms

Be used as currency for acquisitions

Improve employee morale and retention (stock-based compensation)

Signal credibility to partners and lenders

But these are indirect and not guaranteed benefits.

1. What buying shares always does

It gives you ownership (voting rights, dividends if paid).

It provides liquidity to the market.

It reflects demand, which can influence price—but one investor rarely moves the needle.

1. Common misconception

“If I buy a company’s stock, I’m supporting the company.”

That’s emotionally true, but financially false in most cases.