A fuller guide to this term is on the way. In the meantime, the related terms below explain the ideas around it.
Related MoneyPedia terms
- Growth StockShares of a company expected to grow faster than average, usually reinvesting profits instead of paying dividends.
- Price-to-Earnings RatioA stock's price divided by its earnings per share, used to gauge whether it looks expensive or cheap.
- Dividend StockShares of a company that regularly pays out part of its profits, often favored by income-focused investors.
- Fundamental AnalysisStudying a company's finances, industry, and management to judge whether its stock is fairly priced.
- Blue-Chip StockShares of large, well-established companies with a long track record of stable performance and reliability.
- StockA share of ownership in a company that you can buy and sell, giving you a small stake in its profits and growth.
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Plain-English education — not personalized legal, tax, or investment advice.