Hypothetically speaking, let's say there is no trading volume during 1 year for a given stock, does that mean the stock price will remain the same regardless of how the company is performing?

Let me emphasize the word "Hypothetically", because I know it is unrealistic. I just would like to know if Supply and Demand is the only rule applied when it comes to stock price.

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    'Stock Price' is literally just the last traded price. No trades = no price to update, it would remain as is. – Grade 'Eh' Bacon Apr 30 '18 at 1:04
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    Indeed, quite simply there is no "price" for a stock, it is a meaningless idea. Imagine a house for sale on your street ... #123 Smith Street. What is the "price" of the house, you tell me ? All you can really say is "well the last time it was sold, it was $220,000". That's it. Houses and stock have no "price". – Fattie Apr 30 '18 at 5:48
  • I would like to thank everyone that answered the question and those who marked the question as a duplicated as well. Everything was using, thank you !! – Slipmp May 1 '18 at 1:32

The bid and the ask price might vary. The current price or closing price would be the last trade - which occurred a year ago - and it would not change unless there was a hypothetical dividend (regular or special) or a hypothetical stock split (standard or reverse).

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    Even if there was a dividend, if there is no sale the last traded price would not change. – Victor Apr 30 '18 at 1:28
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    @Victor Stock exchanges reduce share price by the exact amount of the dividend on the ex-dividend date so the previous close (last trade) is adjusted down in price by that amount. For example, the closing price of HAS was $87.36 on 4/27. Today (4/30) it went ex-div for 63 cents. No trades have occurred and the adjusted close is now $86.73 in the pre-market. So while the last trade was at a higher price, the closing price is now lower than it was on Friday. – Bob Baerker Apr 30 '18 at 11:23
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    @BobBaerker: I could've sworn the market reduces the share price. That is, people decide to pay less for the stock based on the reduction in value. Looking at a price chart doesn't dispel that illusion; the price drops are more gradual than if the exchange did it unilaterally. – cHao Apr 30 '18 at 18:41
  • @Chao Look up what stocks are going ex-dividend tomorrow. Note the amount of the dividend as well as today's closing prices for those stocks. Then check the closing price of those shares tomorrow morning before and trading occurs. You will see an adjusted close which is today's close minus the amount of the dividend. That is done by the exchanges not through some group think of investors. This process also explains why a dividend does not provide Total Return. – Bob Baerker Apr 30 '18 at 20:03

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