Suppose I buy some stock for 100 but sell it for 50. I will have a loss of 50. It's the same as buying tomatoes for 100 but only able to sell for 50.
However tomatoes have at least some value in themselves (they can be eaten by the owner). How can stock have some value ? Isn't it some imaginary thing ?
How does a stockholder benefit if a company makes a lot of profit ? How does a company benefit if its stock has a high price ?
I understand that it provides some share or ownership. But if we can't receive some amount from companies' revenue every year, what is the point of selling and buying ownership and why will people be eager to buy it ? It's like I have some shares and I can't do anything except hoping someone will buy it for a high price. It doesn't have some value in its own.
To elaborate my question in bit different style : We know there is a limited amount of gold on earth. People like to wear things made from it. Hence its price will go up since rich people will always want to buy and wear it. So what is the similar thing that stock has which causes an increase/decrease in it's price ? Tomatoes hold value because they fill the stomach, gold holds value because it fulfills a materialistic desire, what kind of value does stock have?