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Introduce myself or other presenters

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Presentation on theme: "Introduce myself or other presenters"— Presentation transcript:

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

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