Question

Choose either Exxon or Penny’s Pickles and describe two reasons why the stock price could rise and two reasons why the stock price could fall.

Answer 1

Answer:

• Two reasons for stocks to rise:

Increased sales and profit.

One company won a lawsuit.

• Two reasons for stocks to go down:

Falling profits and sales

Loss of a large customer.

Explanation:

Stocks is a term used to describe small fractions of a company, company, or corporation. In other words, when an individual buys stocks in a company, it is as if he is buying a small piece of that company, and with that he will have a share in the profits and losses of that company.

As you already know, a company's stock may fall or rise. There are several reasons that can lead a stock to fall or rise, in general, these reasons are related to supply and demand relationships in the market. Examples of reasons that may cause shares to fall or rise are:

• Two reasons for stocks to rise:

Increased sales and profit.

One company won a lawsuit.

• Two reasons for stocks to go down:

Falling profits and sales

Loss of a large customer.