You can buy shares of Apple or Amazon through a brokerage account, either online or with a financial advisor

To own stock in Apple (ticker: AAPL) or Amazon (ticker: AMZN), you open an account with a brokerage firm, deposit money, and place an order to buy shares at the current market price. The brokerage holds the shares in your account and handles the transaction on the stock exchange. You do not buy directly from the company — you buy from other investors selling their shares, and the price changes throughout each trading day based on supply and demand.

The main choice is between a self-directed brokerage account, where you make all decisions and pay lower fees, and working with a financial advisor, who manages the account for you in exchange for a percentage of your assets or a flat fee. Most people starting out use self-directed accounts because the barrier to entry is low — many brokerages have no minimum deposit and charge no commission per trade.

Key Takeaways

  • You need a brokerage account to buy stock; common brokerages include Fidelity, Charles Schwab, E*TRADE, and Robinhood, each with different fee structures and account minimums.
  • Stock prices fluctuate during market hours (9:30 a.m. to 4 p.m. Eastern time on weekdays), so the price you see when you place an order may not be the price you pay.
  • You can buy a single share of either company through most brokerages, so you do not need thousands of dollars to start.
  • Holding stock means you own a small piece of the company and may receive dividends if the company pays them, but the value of your shares can go down as well as up.

Opening a brokerage account

Choose a brokerage and go to their website or app to open an account. You will provide your name, address, Social Security number, employment information, and bank details. The process usually takes 10 to 15 minutes. Most brokerages verify your identity instantly, though some may take a day or two.

Common brokerages for individual investors include Fidelity, Charles Schwab, E*TRADE, TD Ameritrade, Robinhood, and Webull. Each has different fee structures, research tools, and account features. Some charge monthly fees if your account balance is below a certain amount; others have no minimums. Compare a few before you choose — the brokerage you pick will be where your money sits and where you place all your trades.

Once your account is open, you link a bank account and transfer money into it. This transfer usually takes one to three business days. You cannot buy stock until the money has arrived in your brokerage account.

Placing an order to buy shares

Log into your brokerage account and search for the stock by its ticker symbol (AAPL for Apple, AMZN for Amazon). The stock page shows the current price, trading volume, and a chart of recent price movement. Click "Buy" or "Place Order" and enter the number of shares you want to purchase.

You will choose an order type. A market order buys shares immediately at whatever the current price is — this is the simplest option and usually executes within seconds during market hours. A limit order lets you set a maximum price you are willing to pay; the order only goes through if the stock drops to that price or lower. Limit orders can take days or never fill if the price does not reach your target.

Review the order summary, which shows the number of shares, the estimated cost, and any fees. Confirm the order. The transaction is complete once the brokerage executes it — usually instantly for market orders during trading hours. Your account will show the shares you own and their current value.

Understanding what happens after you buy

Once you own the shares, they sit in your brokerage account. You can check their value anytime — it updates throughout each trading day. If the stock price goes up, your shares are worth more; if it goes down, they are worth less. You do not have to do anything; the brokerage holds the shares for you.

If the company pays a dividend (a cash payment to shareholders), it will be deposited into your account automatically. Apple and Amazon have different dividend policies — Apple pays a quarterly dividend; Amazon historically has not paid dividends but returns value to shareholders through stock buybacks. Your brokerage will show any dividends you receive in your account history.

You can sell your shares anytime the market is open by going to your account, finding the stock, and clicking "Sell." The same order types apply — market orders sell immediately, limit orders wait for a price target. When you sell, the cash goes back into your brokerage account, where you can withdraw it or use it to buy other stocks.

Costs and fees to know about

Most brokerages charge no commission per trade, meaning you do not pay a fee to buy or sell a stock. However, some brokerages charge monthly account maintenance fees if your balance is below a threshold (often $1,000 to $10,000). Check your brokerage's fee schedule before you open an account.

When you sell a stock for more than you paid for it, you owe capital gains tax on the profit. The tax rate depends on how long you held the stock and your income level — the IRS taxes short-term gains (stocks held less than a year) as ordinary income, and long-term gains (held a year or more) at a lower rate. Your brokerage will send you a tax form (Form 1099-B) at the end of the year showing your sales and gains.

Some brokerages offer margin accounts, which let you borrow money to buy more stock than you have cash for. Margin comes with interest charges and risk — if the stock price falls, you can owe more than your initial investment. Most beginners should avoid margin and stick to a cash account, where you can only spend money you have deposited.

Self-directed versus advisor-managed accounts

A self-directed account is what most individual investors use — you make all decisions about what to buy and sell, and you pay only the brokerage's standard fees (usually zero per trade). You are responsible for your own research and strategy. This route is cheaper if you are comfortable making your own choices.

An advisor-managed account means a financial advisor or robo-advisor (an automated service) manages your portfolio for you. Robo-advisors typically charge 0.25% to 0.50% of your account balance per year; human advisors often charge 0.5% to 1.5% or a flat annual fee. You describe your goals and risk tolerance, and the advisor builds a diversified portfolio — which may include Apple, Amazon, or other stocks, but usually as part of a broader mix. This route costs more but requires less work from you.

For a single stock purchase, a self-directed account makes sense. If you want someone else to manage your money across multiple investments, an advisor-managed account may be worth the fee.

Tax accounts and long-term holding

You can buy stock in a regular taxable brokerage account, or you can buy it inside a tax-advantaged account like an Individual Retirement Account (IRA) or 401(k). In a traditional IRA or 401(k), you do not pay tax on gains until you withdraw the money in retirement. In a Roth IRA, you pay tax upfront but gains are tax-free forever.

Tax-advantaged accounts have annual contribution limits and rules about when you can withdraw money without penalty. A traditional or Roth IRA allows you to contribute up to $7,000 per year (as of 2024, though this amount changes). If you have access to a 401(k) through your employer, you can contribute much more, but the money is usually invested in a set menu of funds rather than individual stocks.

For most people, buying individual stocks in a regular taxable account is simpler to start with. You can move to tax-advantaged accounts once you understand how stock investing works.

Frequently Asked Questions

How much money do I need to start buying stock?

Most brokerages have no minimum deposit, so you can open an account with as little as $1. However, you should have enough to buy at least one share — Apple and Amazon shares each cost several hundred dollars, so plan to deposit at least that amount. Some brokerages offer fractional shares, letting you buy a portion of a share for less.

Can I buy stock during after-hours trading?

The regular stock market is open 9:30 a.m. to 4 p.m. Eastern time on weekdays. Some brokerages offer after-hours trading (usually 4 p.m. to 8 p.m.), but prices are less stable and spreads (the difference between buy and sell prices) are wider. Most beginners should stick to regular market hours.

What if the stock price drops after I buy?

Stock prices go up and down daily. If you believe in the company long-term, you can hold and wait for the price to recover. If you need the money or change your mind, you can sell anytime the market is open, but you will lock in a loss. There is no penalty for selling at a loss — you just owe no tax on it.

Do I need a financial advisor to buy individual stocks?

No. Most individual investors buy stocks through a self-directed brokerage account without an advisor. An advisor is useful if you want help building a diversified portfolio or if you prefer not to make investment decisions yourself, but it is not required to buy Apple or Amazon stock.

What is the difference between a stock and a mutual fund?

A stock is a single company's share. A mutual fund or exchange-traded fund (ETF) is a basket of many stocks managed as one investment. If you want to own only Apple and Amazon, you buy individual stocks. If you want exposure to many companies with less research, a fund may be simpler.