How to Invest Stocks With 10 Dollars

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Investing in stocks is not without risk. Stock markets are ever-changing entities that ebb and flow in reaction to the economic climate. If you are new to stock investment, you may equate the requirements of investing in stocks with images of Warren Buffett's billions.However, you don't need to be a billionaire to invest in stocks. In fact, it takes very little money--as little as $10--to purchase a stock. If you have done your homework, you can watch that stock blossom into profit.

Things You'll Need

  • Internet access
  • Information from the Securities and Exchange Commission
  • Access to stock exchange listings
  • North American stock exchanges, such as the New York Stock Exchange and Nasdaq, have websites that list all stocks with prices. Identify ones priced at $10 per share or lower.

  • Make a list of the stocks that interest you, and research the companies behind them. Utilize resources from the Securities and Exchange Commission, such as annual and quarterly filings, to evaluate each company's earning potential.

  • Decide the stock-purchasing method you will use once you have made your stock choice. Common stock-purchasing methods include 401(k) plans (offered through employers), or private stock options such as Roth IRAs and brokerage accounts.

  • Buy the stock and track its progress to determine whether or not another $10 investment in the stock is worth your time.

Tips & Warnings

  • Websites for stock exchanges enable you to look up stocks on other exchanges worldwide, and some even enable you to make purchases of these international stocks.
  • Thorough research of a company before purchasing its stock is crucial, especially for stocks valued at $10 per share or lower. While some of these stocks can signal the start of a steadily increasing income for you, others signal a company with little or no momentum.
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