How to Buy iRobot Corporation (IRBT) Stock

A broker is a financial service provider that is authorized to buy and sell stocks on behalf of retail investors. Dozens of brokers operating in the United States, and almost every exchange will allow you to buy and sell IRBT as a stock that trades on the NASDAQ. Some of the factors you might want to consider when selecting a broker might include:

- Pricing
- The type of platform each broker offers
- Access to additional markets (for example, foreign brokers or cryptocurrencies)

After your brokerage account is open and funded, you’ll need to decide how many shares you want to buy. Take a look at the current market price of IRBT and the total amount of money you want to invest. Never invest more money than you can afford to lose, especially on an asset showing a high level of volatility. 

When you’re ready to place an order using your brokerage platform, the first decision you’ll need to make is which type of order you want to place. Most brokers provide you with access to multiple order types, and the order you choose will determine when your shares are purchased and the price you pay per share. Let’s take a look at a few of the most common order types and terms you’ll see when investing. 

Bid
The bid price is the highest possible price that a buyer is willing to pay for a share of a particular stock.   

Ask
The ask price is the lowest price that a trader who owns a share of a particular stock is willing to sell shares for.

Spread
The spread is the difference between the bid price and the ask price. Stocks with a high daily trading volume tend to have very small spreads, while less liquid stocks and stocks under $10 may have a higher spread that affects how much you’ll pay for the shares you want to buy. Monitor the spread and how it’s changing to get the most accurate estimate of what you’ll pay when you place your buy order.    

Limit Order
A limit order allows you to buy shares of stock at or below a certain price. When you place a limit order, you’ll specify how many shares of stock you want to buy as well as a maximum price you’re willing to pay per share. If your broker can execute your order at or below your limit price, they will buy the shares and deposit them into your account. If the price of each share rises above your limit price, your broker will stop executing your order.  

Market Order
A market order is a type of order that is executed as soon as possible. When you place a market order, you won’t specify a price that you want the order to be executed at — only a number of shares that you want to buy. This is because your broker will execute the order as quickly as possible at the current market price. In most cases, market orders are closed in a matter of just a few seconds. 

Stop-Loss Order
A stop-loss order is a type of sell order that helps protect investors from sharp declines in stock prices. When you place a stop-loss order, you’ll specify a price that, if reached, you’d like your investment liquidated at. For example, if you bought 100 shares of IBRT at a price of $120 per share, you might set a stop-loss order for a price of $108. If the price of IBRT falls to $108, your broker will automatically execute your order and sell your shares. Stop-loss orders can help you control losses by limiting the maximum percentage loss you can sustain. 

Stop-Limit Order
A stop-limit order gives you more control over the price that your buy order is executed at. Your stop price is the price that you’d like your order to begin executing at, while the limit price is the maximum price that you’re willing to pay per share. If the stop price is reached, your order will turn into a limit order and begin executing. If the limit price is reached, your broker will stop filling the order. A stop-limit order allows you to choose a range of prices between which you want to invest. 

Double check your order to be sure that you have entered the right information before you place your order. If everything looks correct, submit your order through your broker. From here, your broker will work on executing your order according to your specifications. Depending on the type of order you place, your broker may close your order at the end of the day if it cannot be filled or they may leave it open for up to 90 days.