| Term | Definition |
|
Stock Market |
General term used to describe all transactions involving the buying and selling of stocks shares issued by a company. |
|
Stock |
A share of ownerships. |
|
Stock Certificate |
The piece of paper that shows that the owner has brought the stock. |
|
Portfolio Diversification |
An indivisual who has a variety of investments tools to decrease risk. |
|
Investment Risk |
The uncertainty about the outcome of an investment. |
|
Rate of Return |
The increse or decrese in the original purchase price. |
|
Common Stock |
Shares of ownership in a public corporation. |
|
Stock Split |
Shares owned by exsisting stockholders are div. into a larger # of shares. |
|
Dividends |
Distributions of earnings paid to stockbrokers. |
|
Preferred Stock |
Shares which pay fixed div. |
|
Par Value |
The fixed value stated on a preffered stock that indicates the div. paid. |
|
Market Price |
The amount a willing buyer will pay a willing seller for a stock. |
|
Growth Stock |
A stock from a company which has a consistent record of relativly rapid growth. |
|
Income Stock |
A stock that pays higher than average div. |
|
Value Stock |
A stock from a company with a low marketing price. |
|
Countercyclical Stock |
Stock from a company which gives consistent records of returns. |
|
Cyclical Stock |
A stock which is greatly influenced by changes in the economic buisness cycle. |
|
Speculative Stock |
A very high risk stock from a company with potential for substantial earnings in the future. |
|
Blue Chip Stock |
Stock from nationally recognized companies which dominate the industry. |
|
Book Value |
Net worth of a company. |
|
Earnings Per Share |
How much income a company has. |
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Price/earning Ration |
Relationships btween the price of one share and the annual earnings. |
|
Beta |
The measue of stocks voility. |
|
Year to Date |
Stock price % change form January 1st. |
|
52 Week High |
The highest price a stock was sole for |
|
52 Week Low |
The lowest price it was sold for. |
|
Stock Ticker Symbol |
A stocks abbreviated trading symbol. |
|
Div. Per share |
Total Cash Paid per share to stockholders. |
|
Div. Yeild % |
Total % Divedend Paid. |
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Volume 100's |
Number of transaction on that day. |
|
High Selling Price |
Highest selling price from the previous day. |
|
Low Selling Price |
Lowest selling price from the previous day. |
|
Close |
The price that the last share was sold for. |
|
Net Change |
Difference btween the closing price from proir to current day. |
|
Dow Jones Industrial |
Oldest indicator of ups and downs of the stock market. |
|
Standars and Poor's 500 Index |
Tracks stock market activity for 500 stocks. |
|
NASDAQ |
Monitors fast moving technology and financial service stocks. |
|
Bear |
Market = Doing poorly |
|
Bull |
Market = Doing Well |
|
Broker |
A person who is liscensed to buy and sell stocks. |
|
NYSE |
The oldest and largest exchange. |
|
American Stock Exchange |
The second largest exchange. |
|
Region Atock Exchange |
Stocks traded to investors who are living in specific geographical area. |