If you're one of the millions of people who have been using TikTok, you may be wondering if there is a way to invest in TikTok stock. Unfortunately, TikTok is not publicly traded and there is no stock market for it yet.
However, there are some ways that you can invest in ByteDance, the company that owns TikTok.
In this article, we will reveal how you can invest in one stock that owns part of ByteDance!
Is TikTok publicly traded?
No, TikTok is not publicly traded. This means that the company is not publicly traded and it is not required to disclose financial information to the public.
Can you invest in TikTok stock?
The short answer is no, you cannot invest in TikTok stock. The company is not publicly traded and there is no TikTok stock code. Although you cannot invest directly in TikTok, you can get some upside exposure to the company.
Who owns TikTok?
ByteDance is a Chinese internet technology company that owns various social media platforms including TikTok, Douyin, Vigo Video, and Toutiao. ByteDance was founded in 2012 by Zhang Yiming and had a revenue of 58 billion USD in 2021.
They are a large company with approx. 110,000 employees. While you cannot directly invest in TikTok, you can indirectly invest by owning shares in the company that owns a portion of ByteDance.
Keep reading as we will reveal which company owns a portion of ByteDance and how you can invest in it.
Is ByteDance and TikTok the same?
Yes and no, ByteDance is the parent company of TikTok but they are two different entities. TikTok is a social media app while ByteDance is an internet technology company.
They are the same in the sense that ByteDance owns TikTok but they are different entities. Basically, TikTok is a part of a larger company. They may have their own operations and leadership team, but ultimately, they are owned by ByteDance.
How to invest in TikTok stock?
There is no way to invest with direct exposure to TikTok, but there are two ways that you can invest in TikTok stock, indirectly in the parent company ByteDance:
- Investing in a company that owns part of ByteDance
- Private Investment
Investing in a company that owns part of ByteDance
Can you buy stock in ByteDance? Not directly, but you can buy Softbank which owns 3% of ByteDance.
Softbank is a Japanese conglomerate holding company headquartered in Tokyo. You can buy stock in this company on the Tokyo Stock Exchange with the ticker symbol (TYO: 9984).
Remember that when a company owns a portion of another company, it is called a stake. Eventually, if the parent company continues to own more and more of the child company, it will be a majority stake. If the conditions are right, it may open opportunities for a hostile takeover.
Although there are no guarantees of this happening and parent companies may end up selling their stakes. In this scenario, you would not own the original asset (TikTok) but rather a company that has abandoned the investment.
You would want to make sure that your brokerage account allows for foreign stocks to be traded. For example, some trading apps may not allow for this. If you're looking to get started in buying stocks, do your research and make sure you understand the process and any fees associated with trading.
The only way to buy TikTok shares is to invest in their parent company, ByteDance. You may be able to own shares through private investment as they are not a publicly-traded company either.
You would need to be an accredited investor to do this, which typically means having a net worth of over $200,000 or an annual income of over $100,000.
Even as a venture capital private investor, you may not be able to buy TikTok shares or ByteDance shares if the company does not wish to sell any. As a retail investor, buying shares in TikTok is an interesting idea, but as of right now, it is not possible.
Will there be a TikTok stock IPO?
An IPO, or initial public offering, is when a company first sells shares to the public. There are no plans for TikTok to have an IPO shortly.
This could change, but as of right now, there is no TikTok stock code and the company is not publicly traded. There are rumors of this IPO as there were plans back in early 2021 but regulations from Chinese authorities have prevented that from happening.
The TikTok IPO may be delayed or it may never happen.
What is TikTok stock code?
There is no stock code for TikTok because it is not publicly traded. The only way to invest in ByteDance, the company that owns TikTok, is to buy shares of their stock. They unfortunately are not publicly traded either. However, that may eventually change.
Is TikTok on the stock market?
No, TikTok is not on the stock market. The company is privately owned by ByteDance. This can be upsetting for retail investors as they are unable to invest in the company. However, there are other popular social media apps and industry competitors that are publicly traded.
These alternative options include:
- Snapchat (SNAP)
- Twitter (TWTR)
- Pinterest (PINS)
Investing in this mainstream social media platform is an interesting proposition. After all, it has been one of the most downloaded apps in recent years. And while you can't directly invest in TikTok, you can own shares in indirect ways.
However, just because you can own companies that own a large stake in a company, it does not mean you have direct control. You also won't know what that company does on a day-to-day basis.
There may eventually be a TikTok stock IPO, but for now, the app is not publicly traded and there is no stock code for TikTok. If you're interested in investing in the company, your best bet would be to invest in ByteDance through Softbank.
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