Common Terms - Investor

GLOSSARY

Common Terms

dividend
A dividend is the distribution of profits to a company's shareholders.

ex dividend
A share is described as ex dividend when the buyer is not entitled to dividends declared. The seller of the share remains the beneficiary.

cum dividend
A shares is described as cum dividend when the purchaser is entitled to current dividend declared.

P/E ratio
The PE ratio of a stock (also called its "earnings multiple", just "multiple", or "P/E") is used to measure how cheap or expensive share prices are. The price earnings ratio relates a stocks price to its earnings per share.

DPS
The DPS or Dividends Per Share is calculated as the Total dividend ÷ number of shares

EPS
The EPS or Earnings Per Share is calculate as the Total Earnings ÷ number of shares

For more terms look at http://www.investopedia.com/dictionary/ and moneyterms.co.uk/glossary-d/

Add Comment | Recommend This

what commission is one charged foe trading shares?????

Nicky thompson | Monday, February 07, 2011