Who determines a company's share price?
Actually nobody. The price of a company's share is determined by
the demand and supply theory and not by any individual. During an
IPO, the price is determined by the lead underwriters to the IPO
issue. But once the stock gets listed, the demand and supply drives
the price of the stock.
If a stock has heavy demand and limited supply, the price of the
stock goes up. Similarly if a stock has little demand and heavy
supply, the price goes down.
Related Q&A：
If the price of the stock goes down the stock holder？Well, if the price of the stock goes down, the stock holder can be in a bit of a pickle, you know. They might start feeling worried or anxious because their investment is losing value. But it's not all doom and gloom. Sometimes, it could just be a temporary dip and they might decide to hold onto the stock, hoping for it to recover in the future. Or, they might choose to sell and cut their losses. It really depends on their risk tolerance and overall investment strategy. Oh, and they also need to keep an eye on the market trends and the company's performance to make informed decisions.
