EPS (Earnings-Per-Share) measures how much of a company’s net income actually trickles down to each outstanding share. EPS is a good estimator of how much money each shareholder is entitled to from the profits of the company.
PE Ratio (Price-to-Earnings) is a valuation ratio that compares the price per share of a company’s stock to its earnings per share. It basically shows how much investors are willing to pay for a share given the earnings currently generated.
Fundamental Analysis is the process of looking at the basic financial level of a business by assessing factors like sales and earnings.
Class B Shares are a form of common stock that may have more or less voting rights that Class A shares. Generally Class B shares have lesser voting rights, but be vary of some companies that trick investors by using the perception of Class “B” (compared to “A”) shares to attach more voting rights to them than Class A shares.
In a Covered Call strategy, the call option that is written is “covered” by the underlying stock in case the person on the other side of the option exercises it. It is for investors who feel that the stock price will either remain stable or will grow.
Class A Shares are a form of common stock that may have more or less voting rights that Class B shares. Generally Class A shares have more voting rights, but companies sometimes trick investors by using the perception of “Class A” shares to attach fewer voting rights to them than Class B shares.
A Balanced Fund is a type of Mutual Fund whose main objective is to diversify risk by holding a defined percentage of different security types.
AMEX is the third largest Stock Exchange in the US by trading volume.
An Aggressive Growth Fund is a form of Mutual Fund whose main investment objective is to achieve capital gains.