Anatomy of a Stock Report

Anatomy of a Stock Report

Use the information on page 1 to help you learn the following terms. You
must be able to understand each term, and also know where to find the
information on a stock report. Practice by writing down the information for
each of the following based on Apple Inc. (above).

1. Date of Record
Answer: Jan 26
2. Company Name- If there are no special symbols or letters
following the name, it is common stock (regular stock).
Different symbols show different classes of shares. For example
pf means the shares are preferred stock
Answer: Apple Inc.
3. Stock Market - A market in which shares of publically held
companies are issued and traded either through exchanges or
over-the-counter markets. Also known as stock exchange.
Answer: NASDAQ
4. Ticker Symbol A group of letters representing a security
(stock) listed on an exchange or otherwise traded publicly.
When a company issues securities to the public marketplace, it
selects an available ticker symbol for its securities which
investors use to place trade orders.
Answer: AAPL ()
5. Net Change (Percent)- the net change in the overall stock value
at the time of closing.
When you hear about a stock being up for the day it means that the net
change was positive.
Answer: 0.55% (percent)
6. After Hours- After hours means trading after regular trading
hours at the major exchanges; it is also known as the afterhours market. After hours trading is heaviest in the 1-2 hours
after closing. After hours trading has less buyers and less
sellers. This makes stocks less liquid and more volatile
(unpredictable). Because of this less people trade after
hours. *After Hours is not shown in the first image, but you
can see it in the second.
Answer: 4 pm - 8pm

Anatomy of a Stock Report

7. After Hours Close- The After Hours Close is the last trading price
recorded in the After Hours trading session.
Answer: 97.42
8. Net Change (After Hours): This is the dollar value change in the
stock price from the previous days closing price.
Answer: 99.44
9. Open The Open is the first price the stock will be sold for when
the stock exchange opens. Note: a stocks opening price will
not be identical to its previous days closing price. This is
because of after hours trading and changes in what investors
value or expect that happen after the trading day ends.
Answer: 99.93
10.
High Daily High is the maximum price that people have
paid for this stock throughout the day.
Answer: 100.88
11.
Low Daily Low is the lowest price that people have paid
for the stock throughout the day.
Answer: 98.07
12.
Market Cap (Short for Market Capitalization) The market
value of a companys total outstanding shares (# of shares sold
to public). This number is found by taking the stock price and
multiplying it by the total number of shares outstanding. This
gives us a basic idea of what the company is worth in the eyes
of the investors or market, although other types of shares may
also exist, such as treasury shares which are owned by the
company.
*Before the 2008 financial collapse the Market Cap for all publicly
traded companies in the world rose as high as US $57.5 Trillion
($57,500,000,000,000) before falling to under $40 trillion by
September 2008. That was a loss of $17,500,000,000,000 in value.
Answer: 554.39B
13.
EPS Earnings Per Share. Shows a companys
profitability, and how much profit you will get for each share
you own. Calculated as (profit dividends) / # of outstanding
shares. Most investors view this as one of the most important
numbers in calculating a shares value.
Answer: 9.22
14.
P/E ratio - Price Earnings Ratio is calculated by dividing
the current stock price by earnings per share from the last four
quarters. It is a complicated tool used by investors to calculate
how much money investors are willing to pay per dollar of
earning. For example: If Stock A is trading at $24 per share and

Anatomy of a Stock Report

earnings per share is $3: ($24 / $3) = $8. The P/E ratio is $8.
People are willing to pay $8 for every $1 they can earn per year.
*ttm means that it is calculated using data from the last 12
months.
Answer: 10.84
15.
Dividend Per Share (shown on chart 1)- This shows the
annual (yearly) dividend payment per share. If this space is
blank, the company does not currently pay dividends.
Answer:

16.
Dividend Yield- Used to calculate the amount of dividend
payments you will receive based on the amount you pay for a
stock. Some investors prefer a high dividend yield while others
do not. It is calculated as follows: Annual dividends per share /
price per share. Yield is always in (%), where the total of all
payments is not. In the above example the amount of
dividends paid and the yield are the same number. Can you
guess why?
Answer:
17.
Close- the close is the last trading price recorded when
the market closed on the day. The close shows us past
performance and usually will show us about what you should
expect to pay.
Answer: 99.99
18.
Volume: This figure shows the total number of shares
traded for the day, listed in millions. On some tickers, it may be
in other values, such as hundreds or thousands.
Answer: 75.1m

Anatomy of a Stock Report

With the internet, we can trade even

after the exchange is closed. But.

The purpose of a market is to bring

buyers and sellers together. This
improves liquidity (easier for sellers to
sell, easier for buyers to buy)

Anatomy of a Stock Report

After hours, there are less buyers and

less sellers. It is harder to make a trade.
Buyers might have to pay more. Sellers
might sell for less. This makes trade
more volatile (hard to know the price)