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If you want to learn how to buy NIKE stock, you’re in the right place. This article takes our guide on how to buy stocks and tailors it specifically to NIKE stock.
Here are the steps to take, in order from first to last:
Set up a Brokerage Account To Buy NIKE Stock
The term “broker” or “brokerage account” can be confusing to understand at first for many people.
We’re going to keep it simple and help explain it by using an analogy.
When you have money, there are different types of accounts where you can put your money.
If you want to put your money in an account where you can easily access it and write checks or withdraw cash from an ATM, then you typically set up a bank account.
If, on the other hand, you want to put your money in an account that allows you to buy stocks like NIKE, then you need a brokerage account. It might seem like a foreign term if you’re a beginner, but it’s just the terminology used to describe an account that can buy and sell shares of stock.
There are many brokerage accounts out there that are free to set up. You can choose one from our list of the best stock trading platforms.
We like Tradier. They’re a brokerage that makes it simple to buy NIKE stock online. We’ll feature Tradier in our tutorial in this guide.
Setting up a brokerage account involves more than just a click or two. It may take some time to go through all the forms, but at least it’s just a one-time deal to complete them.
Put Money in Your New Brokerage Account
After you set up the brokerage account, it’s time to put money in it. You can’t buy NIKE stock if you don’t have money in the account.
Most brokerages will clarify how to put money in the account right after you open it. Most times, it involves connecting your bank account with your brokerage account to transfer money between them electronically.
It’s worth noting that typically when you make your first deposit into a new brokerage account, it takes about a week for them to let you use that money. So don’t expect that you’ll be able to instantly buy NIKE stock shares after making the deposit.
Buy NIKE Stock Using Your Brokerage Account
You’re ready to buy NIKE stock now that your brokerage account has money. Here is a step-by-step guide on how to buy shares of NIKE stock using screenshots from the Tradier brokerage account.
First, you need to pull up a ticker symbol for the underlying stock. In Tradier’s platform (which they call Dash), that is done through the Dashboard page as shown here:
The Ticker Symbol for NIKE is NKE
Then type in the ticker symbol of the stock you want to buy. For NIKE, the ticker symbol is NKE.
In Tradier, after you type in NKE, it brings up a page that looks like this:
As you can see, it shows all the core information about NKE stock there, including the current price.
From here, to buy shares of stock for NIKE, you need to click the green button at the top that says “Trade.”
Doing that takes you to a page that looks like this:
That is where you can enter the details for your NIKE stock trade. These fields are already auto-populated:
- NKE (in the Symbol field)
- Equity (refers to stocks, as opposed to options or other assets)
- Buy (as opposed to Sell)
The remaining fields need some explanation:
There is an empty Quantity field. That’s where you enter the number of shares of NIKE stock you want to buy.
You can see at the top right of the above screenshot that the prevailing price of NKE stock was $128.85. So, each share you buy will cost approximately the amount shown there.
The two usual choices here are either Market or Limit.
To explain those, we need to talk about the mechanics of prices in the stock market. For any given asset, there are buyers and sellers.
When someone wants to buy a stock, the price they are willing to pay is referred to as a bid. When someone wants to sell, it’s an offer (or ask).
A transaction occurs when the bid criterion for a buyer matches the ask criterion for a seller.
You can see the highest bid and the lowest ask price for a stock at any given time. These are respectively referred to as “the bid” and “the ask.”
You’ll typically see some distance between the bid and the ask. If the bid and the ask were the same, that would have already resulted in a transaction. Any open orders will not have overlapping bid and ask prices.
If you look again at the screenshot above, you’ll see the bid and the ask indicated there for NIKE stock. It shows a bid of $128.82 and an ask of $128.83.
That means the highest bidder out there is willing to pay $128.82 And the lowest seller out there is willing to sell for $128.83.
Now let’s look at the two order types: market and limit.
If you submit an order to buy NIKE stock using a market order, it will match you up with the nearest seller. You don’t indicate a numeric price since “market” means you’ll pay the market price for NIKE stock. In this case, you would likely pay $128.83 for your shares.
If you buy NIKE stock using a limit order, you indicate the exact price you are willing to pay. Your order will only get filled if you get that price or lower.
There are tradeoffs with each order type.
With a market order, you ensure you get into NIKE stock position quickly, but you might make a sacrifice on the price since you’re automatically paying the ask price.
With a limit order, you can try to get a lower price (maybe a price between the bid and ask), but you risk missing the buying opportunity if your order isn’t filled. So limit orders offer less certainty of fulfillment than market orders do.
There is no perfect order type for your NIKE stock purchase. Ultimately you have to decide for yourself which tradeoffs you prefer.
Time In Force
That is the last field on the Tradier order entry page. You have two choices here:
- Day – Your order will only be active until the current day’s trading session ends.
- GTC – This stands for Good Til Canceled, which means your order will be active until you cancel it.
Once you’ve entered all your preferences, you can click the purple Submit button to submit your order.
The broker will fill your order immediately if you use a market order. If you use a limit order, it may not be filled right away. That’s where your Time In Force choice makes a difference. It affects how long your NIKE stock order stays open.
Those are the steps to take in order to buy NIKE stock. You need to have a brokerage account ready and open. Then you need to get to the ordering screen, type in the ticker symbol for NIKE (NKE), and make sure the settings are configured to buy the stock at the price you want.
FAQs About Buying NIKE Stock
Here are some FAQs we’ve heard before about buying NIKE stock shares:
What Is NIKE Stock?
NIKE is a public company. That means that there are no individuals who privately own NIKE. So it’s not just some guy or gal who single-handedly owns the entire company.
Most small businesses are private companies, and there is a single owner. But for huge companies, many of them are public companies. And for them, the company is owned by the general public.
For companies like NIKE, anyone can pay to own a piece of the company. A share of stock represents one share of ownership in a public company like NIKE.
So if you buy a share of NIKE stock, you are purchasing one share of an ownership stake in NIKE.
Can I Make Money From Buying NIKE Stock?
It’s certainly possible, although there is no guarantee that you will make money from buying NIKE stock. There is risk involved any time you invest in the stock market.
You can check out our guides on how to make money in the stock market and the best stock picking services in order to improve your odds of profitability.
What Does NIKE Do?
As per NIKE’s website:
“NIKE, Inc., together with its subsidiaries, designs, develops, markets, and sells men’s, women’s, and kids athletic footwear, apparel, equipment, and accessories worldwide. The company provides athletic and casual footwear, apparel, and accessories under the Jumpman trademark; and casual sneakers, apparel, and accessories under the Converse, Chuck Taylor, All Star, One Star, Star Chevron, and Jack Purcell trademarks.”
When Was NIKE Started?
NIKE was incorporated in 1964.
Where Is NIKE Located?
NIKE is headquartered in Beaverton, Oregon.
What Is The Exchange Where NIKE Stock Is Traded?
NIKE stock is traded on the NYSE exchange.
What Sector Is NIKE In?
NIKE is in the Consumer Cyclical sector.
What Industry Is NIKE In?
NIKE is in the Footwear & Accessories industry.