Must-read before stock trading: How much is one share? Is a whole Taiwan stock sheet okay?

Want to enter the stock market but get confused by all the different units? Taiwanese stocks cost tens of thousands of dollars per share, while U.S. stocks are only a few hundred dollars per share. What’s going on here? The underlying logic is simple—the price of one share depends on the trading unit setting. Since Taiwan and the U.S. use different pricing methods, the investment thresholds are worlds apart.

First, understand stock prices: What does the price you see represent?

Open your stock trading app, and the number you see is the stock price—that is, the transaction price of one share. It fluctuates in real-time based on the matching of buy and sell orders, representing the amount an investor needs to pay to buy or sell one share at that moment.

For example, TSMC’s current stock price might be displayed as NT$561. This means buying one share of TSMC costs NT$561. Tesla (TSLA) at $254 means buying one share costs $254. In simple terms, the stock price is the direct answer to “how much is one share”.

Different countries’ stocks are priced in different currencies: U.S. stocks in USD, Taiwanese stocks in TWD. Stock prices change constantly based on company performance, market expectations, and economic conditions, and are not fixed.

How much is one share? It depends on which market you’re in

The same concept applies, but different markets have completely different trading rules.

How U.S. stocks are calculated: in units of shares

U.S. stock trading is straightforward—the unit is “one share.” Want to buy Tesla? If the stock price is $254, you pay $254 for one share, no tricks. Buying 10 shares costs $2,540; 100 shares costs $25,400. In other words, in the U.S. market, the price of one share is simply the stock price.

How Taiwanese stocks are calculated: in units of “lots,” where 1 lot = 1000 shares

Taiwan’s logic is entirely different. The basic trading unit isn’t “shares” but “lots.” One lot equals 1000 shares.

For example, TSMC’s current stock price is NT$561. So:

• One share = NT$561
• One lot = NT$561 × 1000 = NT$561,000 (about NT$560,000)

This means if you want to buy one lot of TSMC, you need at least NT$560,000. This is a significant barrier for ordinary retail investors, which is why Taiwan introduced fractional share trading, allowing investors to buy from 1 to 999 shares, greatly lowering the entry cost.

Why are Taiwanese stocks so expensive, and U.S. stocks so cheap?

The fundamental reason is the different trading unit settings:

Let’s look at a real example: TSMC listed on both markets.

• Taiwan (code 2330): stock price NT$561, buying one lot costs NT$560,000
• U.S. (code TSM): stock price $95, buying one share costs $95 (about NT$3,000)

The same company, but the investment threshold differs by nearly 20 times. U.S. markets are also more flexible—they often have zero trading fees, no price limits, and global trading hours.

Key factors that determine the price of one share

The price of one share is not fixed; it fluctuates based on multiple factors:

1. Company fundamentals — performance, financial health, growth prospects all influence investor interest. Companies with strong earnings reports attract more buy orders, pushing the stock price higher.

2. Macroeconomic environment — GDP growth, interest rate policies, inflation rates, and other macro factors change market expectations and influence stock prices.

3. Market sentiment — investor optimism or panic can cause rapid reactions. Bad news, political instability, or global events (like pandemics) can trigger panic selling, leading to falling stock prices.

Taiwan stocks also offer more flexible trading options

Although the minimum threshold for full lots is high, fractional share trading provides more options for ordinary investors. Trading full lots (more than 1 lot) offers high liquidity but requires more capital; fractional trading (1 to 999 shares) requires less capital but has lower liquidity and longer matching times.

Once you understand these basic concepts, you’ll be better equipped to judge how much “one share” costs and how much capital you need to start trading in U.S. or Taiwanese markets. Choose the market and trading method that best fit your funds and investment goals.