1. Introduce myself or other presenters
Teachers introduce themselves
Briefly review EconomicsPA and the National Council of Economic Education

2. How to Read the Stock Market Page

3. 52 Week High/Low
Highest and lowest price a share of the stock has sold for in the past 52 weeks.
Example ABC: High was 49
Example ABC: Low was 39
Sovereignty – complete independence and authority

4. Stock Varies by Newspaper Either company abbreviation or ticker symbol
In A-Z order

5. Div Annual Dividend per Share of Stock
Based on the rate of the Last Quarterly Payout
Annualized Data
Example ABC: $1.30 per share
Example: XYZ: $0 per share

6. Yield Percentage Known as Dividend Yield
A Measure of the Income Produced
by the Stock
Is the Amount of the Dividend
divided by the Price of the Stock

7. Yield Percentage Achieved by Dividing the Annual
Dividend by the Day’s Closing Price
Example: ABC 1.30/40 = .0325
or as a percentage: 3.25%

8. P/E Ratio PRICE- EARNINGS RATIO Ratio: latest closing price
of the stock to the latest available annual earnings per share of the firm
Trailing P/E: is what is reported in the financial section of newspapers
Forward P/E: based on forecasting net year’s future expected earnings

9. P/E Ratio Example: ABC – 20 P/E Ratio
Indicates that ABC is selling for 20 times the company’s earnings
Example: XYZ – P/E Ratio is 62
Indicates that XYZ is selling for
62 times the company’s earnings

10. Sales 100s
This represents the volume of transactions on the trading day
Bought or Sold
Presented in hundreds, simply multiple by 100
Example: ABC – 3314
Indicates that 331,400 shares traded

11. High/Lows This represents the highest and
lowest selling price of the stock
for the day.
Example: ABC – high of 40
low of 39

12. Close This represents the price of the last stock sold for the day
Example: ABC – closed at 40

13. Net Change This lists the net change between
the closing price for the stock for
the day and the closing price on the previous trading day
Example: BBA: Today’s Close: 76
Net Change: + 1
Previous Day: 75

14. Earnings per Share A means of valuing common stock.
Part of a firm’s profit that is
allocated to each outstanding
share of common stock.
Can be a good indicator of fiscal health

15. Earnings per Share Many investors carefully watch this number
In general, higher earnings per share means better dividend and overall
stock performance.

16. Earnings per Share Calculated by dividing the
closing price on the day being
consider by the P/E ratio.
Example: Today’s Close P/E Ratio
Earnings per Share:
ABC – $2.00