Stocks refer to shares of ownership in a company. When you buy stocks, you become a shareholder or part-owner of that company. These shares represent a claim on the company's assets and earnings. Investing in stocks can be a way to earn profits by selling shares at a higher price or receiving dividends, which are a portion of the company's profits distributed to shareholders. Stocks are traded on stock exchanges, and the prices of stocks can fluctuate based on various factors such as company performance, market conditions, and investor sentiment. It is important to conduct proper research and analysis before investing in stocks to make informed decisions.