How to buy Facebook or Meta shares. The stock buying process is not as complex as it sounds. However, you will have to do some research and master the language before making the first purchase. Are you looking to buy shares of Facebook in Nigeria? This article is for you. With nearly two billion daily active users on its platform and nearly $120 billion in annual sales, Facebook is a global phenomenon and a revenue-generating juggernaut.
Facebook has rebranded as Meta Platforms, Inc and will change its ticker symbol from FB to MVRS sometime in 2022. While this change won’t have a material impact on investors, current holders of the Facebook stock and prospective buyers should at least be aware of the rebranding effort.
To buy stocks, you will need an account with a brokerage company that can be created in just 15 minutes. Once you’ve added funds to your account, you can follow the steps below to buy Facebook shares.
If you’re interested in adding some Facebook stock to your portfolio, here’s how to get started.
STEP 1: Open a Brokerage Account
If you’re looking to buy Facebook or any other stock, you need a brokerage account to handle the transactions. Available services, fees and investment options differ from one broker to the next, so it’s smart to shop around to find one that fits your preferences. Check out our listing of the best online brokers to get started.
STEP 2: Choose an Account to Match Your Goals
After you settle on the right brokerage platform, decide what kind of account you need. Your choice of account should match your investing goals.
- Retirement accounts. Individual retirement accounts (IRAs) give you tax advantages when you save for retirement. IRAs come with one big limitation: If you withdraw money before you are at least 59 ½, you’ll owe a 10% penalty, plus any applicable taxes.
- Taxable accounts. While taxable brokerage accounts don’t offer any special tax benefits, you can withdraw funds at any time, for any reason. This gives you flexibility when it comes to building general purpose wealth.
STEP 3: Decide How Much to Invest in Facebook
When buying individual stocks, there are a few factors you should take into consideration. To determine how much money to invest in Facebook, make sure you ask yourself the following questions:
- What’s your budget? Before buying a stake in Facebook, consider your other budget items. After you’ve paid the bills, make sure you’re saving enough for retirement and that you have a solid emergency fund.
- What’s FB’s current price? Like all stocks, shares of Facebook fluctuate in price constantly. You can certainly buy a single share of FB, but consider that you could also purchase a part of a share, known as a fractional share. Brokerages like Charles Schwab, Fidelity, Stash and Robinhood allow investors to purchase fractional shares.
- What’s your investing strategy? You may choose to make a single purchase of Facebook all at once or you can use dollar cost averaging by purchasing the same dollar amount of the stock at regular intervals, no matter what the stock costs at the time. Dollar-cost-averaging can help reduce your risk of volatility and save you money on the cost-per-share over time.
- What about your other investments? How does FB fit into your overall investment strategy? Do you own a lot of other large-cap technology stocks, or will Facebook be your first investment in this sector? Making sure you have a diversified portfolio that represents several different industries and company sizes can help ensure a healthy portfolio.
STEP 4: Determine Your Order Type and Place Your Order
You can request that your brokerage purchase shares of Facebook stock at the current price or use a more advanced order type, like limit orders or stop orders. These types of orders only purchase shares once the stock price falls below a certain threshold.
Facebook is traded on the Nasdaq stock exchange, and its shares can be bought or sold between 9:30 a.m. and 4:00 p.m. ET, Monday through Friday. If your brokerage platform offers the option, the Nasdaq allows pre-market and after-market trading.
Nasdaq’s pre-market trading hours are 4:00 a.m. until 9:30 a.m., and its after-hours trading runs from 4:00 p.m. until 8:00 p.m. ET. If you place an order outside of the hours your brokerage allows you to trade during, it will be processed once trading resumes.
STEP 5: Evaluate Facebook’s Performance
Once you own shares of Facebook, you should periodically review your investment and its performance. To evaluate the performance of Facebook or any other stock, start by reviewing the annualized percent return. This will give you a number you can compare to other assets as you gauge how well your investment in FB has performed.
Compare Facebook’s performance to benchmark indexes such as the Nasdaq 100 or the S&P 500. This shows you how Facebook has been doing in comparison to the stock market in aggregate. Since Facebook is publicly traded, it is required to file both Form 10-K annual reports and Form 10-Q quarterly reports to disclose its performance and finances.
Facebook provides this information on its investor relations site, and it can also be found on the SEC database. If looking through these reports feels like you’re trying to read a foreign language, try reading expert analysis of these reports from sites like Morningstar. The information disclosed by Facebook plus the expert analyses you read can help you determine if this is the right stock for your investing needs.