How to Buy Amazon Shares from India – 2021?

How to Buy Amazon Shares in India – 2021

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There comes a time in almost every person’s life when they start thinking about investing. This question usually pops up for people who have managed to secure their basic needs and are now looking for ways to improve their lifestyle and quality of life.

If you’re thinking about investing, one of the first things you should look into right away is the Amazon share price in India. This is one of the most popular investments of the moment and certainly one of the most recommended by global financial advisors.

The stock market offers investment options for almost every budget, meaning that more and more people will start building their stock portfolio in the upcoming period. However, when you start investing, be prepared to make mistakes and possibly lose some money because the stock market always goes up and down, and you never know what wave you’re riding.

So, are you ready to start reading more about Amazon stocks and about investing platforms?

Amazon Share Price in India

When you’re looking for the AMZN share price in India, you shouldn’t look that much in specific, as the price of a stock is the same all around the world, based on the NASDAQ and S&P 500 listings.

However, where you buy your Amazon stocks could be a completely different story. Based on your chosen broker, the price for any stocks may vary, and this is why you should read their policy very carefully in advance.

Some online brokerage companies may charge you a small fee for each transaction you make (buy or sell), some may only charge you when you purchase or only when you sell, while others can charge you a monthly subscription plus a commission for every transaction.

This is why choosing the right online brokerage company for you is one of the most important decisions one can make when starting their investments.

So, how many shares can I buy in India, you may ask yourself. There’s no limit to the number of stocks you can buy/ It all depends on the budget you have and the number of shares made available by each company.

Let’s go over the historical price for Amazon stock from 1997 until now. The prices have been adjusted for splits.

$3573.63 is the latest closing stock price for Amazon (listed as AMZN) as of July 16, 2021

So this is the price you’ll be paying if you decide to buy an Amazon share today.

$3731.41 was the all-time high (ATH) Amazon stock (AMZN) closing price on July 08, 2021

The highest the stock has been is referred to as an ATH (all-time high).

$3773.08 is the Amazon 52-week high stock price, which is 5.6% above the current AMZN share price

It’s usually a really good idea to check out the historic price for a large period of time, like the 52-week margin offered by most brokers.

$2871.00 is the Amazon 52-week low stock price, which is 19.7% below the current AMZN share price

$3237.41 is the average Amazon (AMZN) stock price for the last 52 weeks, Looking at the average price of a stock for a larger time span could help you out in making a decision on whether or not you should buy Amazon stocks or not.

How to Buy Amazon Shares From India (Step-by-step Guide)

You made it so far into this article about the Amazon India share price, so why not go on and learn everything you need to know about how to start investing in stocks? 

Nobody says it’s going to be easy, but if you do your research straight upfront, chances are that you’ll be in for a very enjoyable and profitable ride in the long run. Let’s go over the steps below so you’ll learn how to buy your first Amazon shares.

Step 1 : Search for the right online broker that suits your needs

When first thinking about purchasing some stocks, no matter the company you are interested in investing in, you’ll need to find an online broker that tailors to your needs, budget and most of all, your region or country.

Not all online brokers offer their services in India, so you need to make sure that the online broker (website or app) you choose is available for use in your area.

Once you’ve found the right online broker that operates in India, you can now begin investing in Amazon stocks.

Step2: Open an account at the online brokerage of your choice

Wow! You’ve made it all the way to step 2! Don’t worry, we’re almost there and you can begin your investing adventure as soon as we’ve finished going through all the steps.

Opening an online account at an intermediary broker is a lot like opening a bank account online. This means that you will be required to provide your information (name, address, bank account, and in some cases proof of address via utility bill).

After you have been verified by your online broker, you are now free to start buying and selling Amazon stocks, and any other stocks made available by the service you chose.

This online account will act as your portfolio of stocks, which you should look at like a wallet. A wallet where you keep all your Amazon stocks in one place for safe keeping.

Step 3: Depositing money into your account so you can begin investing

After you have been verified on the online brokerage platform, you can now deposit money into your account and start purchasing stocks based on the Amazon share value of the moment you are thinking of hitting that “Buy” button. 

You can usually deposit money in your brokerage account via credit or debit card (Mastercard, VISA, VISA Electron, American Experience, Discovery and many more), through-wallets like Trustly, Skrill, or whoever offers services in your region) and even through basic bank transfers (they may take up to 3 to 5 business days to be processed). 

Once the money is in your account, you need to start following the AMZN stock value. AMZN is the name Amazon stocks are listed on the stock market and that’s how you will find it written in most places. Always be comfortable with the decisions you make, because you’re investing your own hard earned (or not) money.

Step 4: Buy the Amazon share today, tomorrow, or whenever the price is right for you

In the online stock trading world there’s such a term as FOMO, which means “Fear Of Missing Out. This is the emotion that governs most new and inexperienced investors, meaning that they tend to panic buy and to panic sell.

A “panic buy” is when you start buying the Amazon stock the moment it goes up because you FOMO, whilst a “panic sell” is the moment you start selling your position when the AMZN share goes down.

For a better return on your investments, you should seriously avoid these strategies, because they won’t lead to any good. You will wind up losing money with each trade you make, because stock prices are bound to go up and down on a regular basis.

Always remember that such fluctuations are a normal thing on the stock market, for both big stocks and small stocks alike. Just because your Amazon share is going down that does not mean that they’ll be going out of business.

At the same time, if your AMZN share rises, that also doesn’t mean that it will continue to rise from then on. Have patience with your stock market investments, because they usually tend to pay off in the long run.

Step 5 : Check your Amazon share price today (and on a weekly basis)

We’re not saying that you should lose sleep over your Amazon share price day and night, but you should always have an idea about how much your stocks are worth. 

Again, this does not mean that you should know the exact Amazon share price in INR at any given moment, but a good investor is always aware of where his portfolio is currently at.

Going over your Amazon shares (and any other stocks you own) from time to time is what any good investor would do. If you’re a casual investor looking for long term wins, you should check your portfolio once a week, or at least once per month.

If you’re looking into trading your Amazon stocks when they go up and then buying some more when they go down, you should probably check the stock market a couple of times a day.

The prices may go up and down in a matter of hours, if not minutes, and if trading’s the way you want to go about investing, you should always stay in the loop. So, are you ready to start investing? Here’s everything you need to know!

Can I buy 1 share of stock in India?

The good part about investing in the stock market is that you don’t need to buy a whole entire share. This means that you can own small fractions, less that 100% of a stock, which is optimal for investors who are just starting out with a limited budget.

Let’s say you don’t have $3.500 to buy a full Amazon stock in India, or anywhere else in the world for that matter. So you have $1.000 as your initial investment. With this amount of money you can buy close to a third (⅓) out of an AMZN stock. 

If the next month you have more funds available at your disposal and you want to invest them again, you can continue to buy another third of a stock and so on and so on. You could be focused on having an exact number of shares, or you could be focused on having round amounts of money invested in each company.

To answer the question simply, you can buy small portions of a single share based on the amount of money you have in your brokerage account. Usually, what most stock market investors do is they slowly but steadily build up their portfolio over time.

Investing a designated amount of money on a monthly basis is a good strategy that pays off in the long run, given that it will act as a savings account that increases in value over time. However, this is not a guarantee, but neither is your savings account that winds up being less at the end of the year due to inflation adjustments. 

How has coronavirus impacted Amazon.com share price?

If the coronavirus pandemic has taught us anything, it’s that some businesses can go bankrupt in a matter of seconds, while some businesses can sky rocket to the moon during the same time frame. 

Having a business that’s scalable on a worldwide level is usually a good thing, especially if your company is a digital one. Sure, Amazon has warehouses all over the world, but its operations are run almost 100% online.

This gave Amazon a huge advantage during the COVID-19 pandemic, given the fact that everybody had to stay inside and order everything via the world’s largest online retailer – Amazon.com.

From February 2020 to April 2020, Amazon managed to capitalize an extra $90 billion to its vaults.

That means that founder and CEO of Amazon, Jeff Bezos, added another $5 billion to his net within less than 3 months during COVID-19, in 2020.

Amazon’s stock (AMZN) has increased in value by 9% during the same 3-month time span

Online shopping bloomed during the pandemic and Amazon saw the direct results of this global epidemic in its sales numbers. 

23% increase to $73.61 billion per quarter is the estimated revenue for Amazon according to financial analysts

This means that the adjusted earnings of AMZN will be $6.25 per share, based on all the latest projections.

So, the next time a pandemic hits, be sure to count your eggs right and invest in companies that you see to be scalable at a global level. Usually, investing in digital companies offers the most wiggle room for investors, but they can also be pretty uncertain at times.

Is it a good time to buy Amazon stock?

Whenever you’re thinking about investing your real money into stocks, ETFs, NFTs or cryptocurrency, consider all the consequences of your actions. 

This means that you should take into account all the best possible scenarios, as well as the worst case scenarios that could always pop up just around the corner. 

So, when asking yourself or anybody else for that matter, if it’s a good time to buy Amazon stocks or not, think about the available amount of money you have with the exact purpose of investing it in shares.

If you have already settled on an amount with which you are comfortable, you should proceed to the next step and check out the Amazon share price of the day. Look over what happened during the past week, past year and even 5 years if you want to make an even better informed decision.

Set the amount of money you want to invest, look at the average price of the AMZN stock for a longer period of time and then start investing on a regular basis. 

Let’s say you decide on investing 25% of your monthly income in stocks. That means that no matter the price of the Amazon stock at the moment, you should always buy. In the long run, investing every month a settled amount of money pays off more than trading whenever you think the price will fall and buying back before you think the prices will rise.

There’s even an old stock market saying about this that applies to every investment you’ll make in share as of today. 

“Time in the market beats timing the market” Remember this and you’ll have a lot more chances to succeed than by randomly trading based on hunch or panic, every time a stock’s price fluctuates.

Everything you need to know about Amazon stock

So, we’ve gone through the do’s and don’ts when it comes to investing in stocks (which you can also apply for most types of investments), but what’s the most important thing you should always keep in mind about Amazon stocks?

Amazon is a S&P 500 company which means that it’s one of the most important and most successful 500 companies in the world today. That should give you a lot of confidence when it comes to investing in such a huge corporation. Chances are that if they go bankrupt, the global economy will already be in collapse by that time and we’ll be facing different level problems. 

There are 2 types of stocks you can invest in: dividend stocks and non-dividend stocks. AMZN is a non-dividend stock which means that you don’t get quarterly or annual dividends back based on the number of shares you own in the company.

However, when it comes to non-dividend offering stocks, that means that you will gain more value when they rise, being more inclined to volatility than dividend stocks. 

Dividend stocks offer you a percentage (decided by the company’s board or directors) of your stock’s worth every quarter or once a year, meaning that you’ll be earning some passive income from your shares.

The higher the percentage is, means that the stock is also riskier, but there are some exceptions, like Exxonmobil, AT & T, IBM, GSK and many more. If you decide to invest in this type of stock, expect to receive something back in return annually, but don’t expect the value of your stocks to go through the roof.

Most investors prefer a mixed portfolio of stocks, where they buy Amazon shares and other companies of the same level, while also having a significant amount of their portfolio invested in dividend stocks.

No matter what type of investor you decide to be, always remember that the stock market can go down, just as much as it can go up, so be sure to only invest money you are willing to lose, or money you are not counting on in the near future.

The stock market’s a marathon, not a sprint, and every penny you invest today could be worth dollars, if not tens of dollars in a decade or two. 

Head over to your chosen online brokerage and see what advice they offer you based on your style of investment. They usually have a test made to see what type of investor you are so you can choose the type of stocks and companies that are best suited for your style. 

Are you a high risk taker, or are you more on the safe and temperate side? Your stock portfolio could say a lot about your personality, and you may even be surprised to find out what type of an investor you are.

Conclusion

If we are to judge by all the latest financial projections, investing in the stock market may very well be the smartest thing you can do in your twenties and thirties. However, this doesn’t mean that if you’re in your 40s it’s too late to invest.

The only problem with investing later in life is that you’ll have to start putting more money on the stock market if you’re looking to get the same returns on your Amazon stock, or for any other shares you own for that matter.

After you finish reading this complete article about investing in stocks, you should check out the Amazon share price in India for today and start carving out a plan for your future finances. Investing offers more possibilities of becoming rich than your old school traditional bank deposits, and that’s a fact.

Before investing your real money in the stock market, always be aware that your entire capital is at risk. Big wins, big losses, right?

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