The Information You Get from Online Stock Quotes
When you enter a stock symbol in just about any online quote service, you get more than just a stock price or quote. The following table shows you the information you’ll typically get from these quote services.
Picking Apart the Data You Get from Quote Services
| Data Point |
What It Means |
| Ticker symbol |
The abbreviation or code used to designate the stock. |
| Last sale |
The price at which the last shares of the stock traded
hands. |
| Time |
The time of the day the quote information is based on. |
| Previous close |
The price the stock closed at in the last trading session. |
| Net change |
Tells you how much the stock price has changed from the
previous close. The change is usually given as a dollar amount and
percentage. |
| Bid |
The price a buyer is willing to pay for a share of the
stock. |
| Ask |
The price a seller is willing to accept for a share of the
stock. |
| Market |
Tells you where the stock trades. It might be the New York
Stock Exchange, NASDAQ, American Stock Exchange, or markets like
the Pink Sheets. |
| Volume |
The number of shares that have traded hands during the
day. |
| Average daily volume |
The number of shares that trade hands among investors, on
average, over a period of time (such as a quarter). |
| Today’s high |
The highest level the stock traded at during the day. |
| Today’s low |
The lowest level the stock traded at during the day. |
| 52-week high |
The highest the stock’s price has been over the past
year. |
| 52-week low |
The lowest the stock’s price has been over the past
year. |
| Shares outstanding |
The number of shares available for shareholders to buy and
sell. |
| Market capitalization |
The total value of the company based on the current stock
price. |
| P/E ratio |
The price-to-earnings ratio. A way to determine whether a stock
is cheap or expensive. |
When you’re looking at online stock quotes, pay close attention to the time of the quote. Some free online stock websites provide delayed quotes, which are usually 15 minutes old. If you need a real-time current quote, most online brokers provide them for free from their sites. You can also get free real-time quotes from Yahoo! Finance. FreeRealTime also provides real-time quotes, you guessed it, for free.

Online Investing Glossary
60 percent margin requirement
The requirement that you must put up 60 cents of every $1 you invest.

Online Investing Glossary
annual report to shareholders
A document that contains all the required financial statements and information contained in the 10-Ks presented in a colorful format.

Online Investing Glossary
average daily share volume
The number of shares that usually trade hands in a given day.

Online Investing Glossary
balance sheet
A document that tells you what a company owns and what it owes.

Online Investing Glossary
bond
An IOU issued by a government, a company, or another borrower.

Online Investing Glossary
brokerage
A fee paid to a broker to handle investment transactions for you.

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capital gains
Income you’ve made on the capital you’ve invested.

Online Investing Glossary
cash account
A brokerage account into which you deposit cold hard cash your broker uses to buy stocks for you.

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commission
The price brokers charge for executing trades.

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Consumer Price Index
The measure of how much prices for the things individuals buy are changing.

Online Investing Glossary
days to cover
The number of days it would take, on average, for the number of shares that are being shorted to trade.

Online Investing Glossary
diversifying
To spread your risk over a wide swath of investments.

Online Investing Glossary
dividend yield
The amount of return you’re getting in the form of a dividend, in other words, how big the dividend is relative to what you’ve invested.

Online Investing Glossary
dividends
Cash payments made by companies to their investors.

Online Investing Glossary
earnings reports
A document that tells you how much the company made during the quarter. Earnings reports also contain all the vital financial results for the quarter, including the net income (or total profit) as well as earnings per share, which is how much of the company’s profit you can lay claim to as a shareholder.

Online Investing Glossary
Exchange Traded Funds; ETFs
Groups of stocks, much like mutual funds, that trade like stocks.

Online Investing Glossary
geometric mean
The way to correctly measure stock return.

Online Investing Glossary
holding period
The length of time you hold a stock.

Online Investing Glossary
income statement
A document that outlines how much money a company made.

Online Investing Glossary
limit orders
Trades in which you set the price you’re willing to accept.

Online Investing Glossary
maintenance margin
The percentage of ownership of stocks relative to what has been borrowed (typically 30 percent or higher at most firms) most online brokers require investors to maintain.

Online Investing Glossary
margin account
An account type that lets you borrow money you can use to buy stocks.

Online Investing Glossary
mutual funds
Money collected from many investors and used to invest in a basket of assets.

Online Investing Glossary
number of shares outstanding
The number of shares that are in the hands of investors.

Online Investing Glossary
options
If you own an option, you have the right, but not the obligation, to buy or sell an investment, including shares of stock by a certain preset time in the future.

Online Investing Glossary
penny stocks
Stocks that trade for less than a dollar.

Online Investing Glossary
Producer Price Index
Tracks prices paid by companies that create goods. When prices are rising, both bond and stock investors pay attention because that affects the value of their investments. Stock investors typically don’t like inflation because it drives up costs and makes their investments worth less.

Online Investing Glossary
proxy statement
A document that describes company matters to be discussed and voted on by shareholders at the annual meeting.

Online Investing Glossary
shareholders’ equity
The difference between assets and liabilities is what portion of the company shareholders own, called.

Online Investing Glossary
short squeeze
What happens when the short sellers get nervous that a stock they’re betting against will rise and they rush out and buy the stock back so that they can return it to the brokers they borrowed it from.

Online Investing Glossary
taxable accounts
The standard accounts that come to mind when you think about investing online.

Online Investing Glossary
tax-advantaged accounts
Accounts that are sheltered in some way for some period or other from the Internal Revenue Service.

Online Investing Glossary
total return
The amount a stock has gone up plus its dividend.

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turnover
The amount of buying and selling a fund does.

Online Investing Glossary
valuation ratios
An estimation a stock’s value computed by comparing the stock price with a measure taken from the company’s financial statements.

Online Investing Glossary
volume
A measure of how many times shares of a stock or ETF trade hands.