Beta is a numeric value that measures the fluctuations of a stock to changes in the overall stock market. Beta measures the responsiveness of a stock's price to changes in the overall stock market. On comparison of the benchmark index for e.g. NSE Nifty to a particular stock returns, a pattern develops that shows the
It is a rate at which the price of a security increases or decreases for a given set of returns. Volatility is measured by calculating the standard deviation of the annualized returns over a given period of time. It shows the range to which the price of a security may increase or decrease. Volatility measures
A Rights Issue is a method through which companies can raise additional capital from their existing shareholders. Normally these stocks are offered at a discounted price than the existing market price. The Right Issue is attractive because the existing shareholder gets profit probably at the outset itself. It would be a Win-Win situation for both
Repurchase Option rate abbreviated as Repo Rate is the rate at which the Central Bank of a country (In India-Reserve Bank of India) lends short-term money to commercial banks. The RBI adjusts the Repo rate to control Inflation. The Monetary Policy Committee of the Reserve Bank of India decides what has to be the Repo
Moat is a ditch around the castle .It is filled with water that makes it difficult to attack for the enemies to attack the castle. The Concept of the Moat in Investing was propounded by Warren Buffet himself. Warren Buffet advises finding stocks with strong Economic Moats. If a stock is equipped with strong Moats,
A blue-chip is a stock with a good reputation for quality, reliability, and the ability to operate profitably in good and bad times. These stocks are known to have the capabilities to endure tough market conditions and give high returns in good market conditions. They withstand the pressures of the Bear market and perform very
Market capitalization is the aggregate valuation of the company based on its current share price and the total number of outstanding stocks. Market Capitalisation = Current Share Price * Total Number of Outstanding Stocks For Example: If the Current Share Price is Rs.100 and the total Number of Outstanding Stocks is 100000, then the Market
There are three major statements that form the three pillars of Corporate Accounting. They can be found in the Annual Report of the Company. The Three statements The Balance Sheet The Income Statement The Cash Flow Statement give the essential data to arrive at the ratios. Those ratios form the foundation of the Fundamental Analysis.
The annual report (AR) is a yearly publication by the company and is sent to the shareholders and other interested parties. The annual report is published by the end of the Financial Year, and all the data made available in the annual report is dated to 31st March. The Annual Report is a Official Document approved
Various stocks have letters like EQ, BE affixed to them. They denote the series to which they belong in National Stock Exchange (NSE). EQ – Intraday Trading is allowed in this series. Trading using Margin and Market Orders is permitted in this category of stocks. BE – Shares trading in the Trade-to-Trade category falls in
