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Questions tagged [stock-analysis]

For questions related to the analysis of stock prices, stock markets, etc.

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2answers
311 views

What is Fibonacci values?

I was trying to analyze one stock, where there was a link called Fibonacci value, which shows different prices of stock as bellow: Trading :: Fibonacci Values Stock Code ANDPRA Exchange NSE ...
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2answers
524 views

Calculating net investment portion of Discounted Cash Flow (DCF)

I am trying to calculate free cash flow and conduct DCF analysis. How do you calculate the net investment as per DCF Analysis: Forecasting Free Cash Flows | Investopedia for Microsoft in 2012? The ...
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2answers
90 views

Would every FX currency pair or public stock that is under the 30 level using Relative Strength Index (RSI) be an undervalued pair?

Would every FX currency pair or public stock that is under the 30 level in an RSI indicator be an undervalued pair at that moment (see screenshot)?
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1answer
341 views

Calculating returns across multiple securities and time

I've been getting very confused on the topic of calculating returns. To get cumulative returns in time, log-returns are used, but apparently log-returns aren't used across different securities at a ...
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2answers
2k views

How much time should be spent on Penny Stocks Trading a day?

I am a student studying and I got interested in Penny Stocks, because I hope to gain money earlier in my life. I hope to invest the first amount of money that I may earn by part time job; cleverly ...
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3answers
760 views

How to execute a large stock purchase, relative to the order book?

I am looking to buy my first stock, it is TLN, and I want to buy about 3300 stocks. Looking at the order book on yahoo, it looks like this: Bid Price Size 10.46 200 10.45 100 10.44 100 10....
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3answers
1k views

How does stock dilution work in relation to share volume?

I'm aware of stock splits/reverse splits used for modifying volume of a stock, but how often are they actually used? Isn't it less common that a company simply decides to sell more stock at the ...
3
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2answers
331 views

Where does the stock go in a collapse?

During the crash at the end of 2008, pretty much everyone was selling their stock and the market tumbled approximately 50%. Who purchased the stock? Was it market makers or other people? I understand ...
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1answer
262 views

Why does heavy volume indicate the strength of a trend?

When a reversal occurs on a chart on a heavy volume, it is supposed to signal the beginning of a strong reverse trend. For example, if a security was trending upwards and then it moves down on heavy ...
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2answers
287 views

Looking at Options Liquidity: what makes some stocks so attractive for options traders?

I've noticed that options volumes can vary dramatically between underlying securities. What makes some stocks (e.g. AAPL, BAC) so attractive for options traders?
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3answers
20k views

What does the average log-return value of a stock mean?

Assuming log-return is defined by the log of the price today divided by the price yesterday. Does knowing this single piece of information (the average log-return of a stock over a long period of ...
2
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1answer
12k views

Why can low volume move a stock price drastically?

Over the summer on days with very low volume, there were substantial movement in the stock markets. Why is this? Is it because there aren't enough market forces in check to really give a correct ...
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3answers
203 views

Which set of earnings is used to work out the P/E of a stock

So company earnings can fluctuate quite a bit, based on the market conditions, seasonal conditions, whether there was a big spend in the last year etc. Therefore, even the last years earnings could ...
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2answers
2k views

Understanding a Trailing Limit if Touched Order

I"m trying to wrap my head around a Trailing Limit if Touched Order that is offered by Interactive Brokers. The order explanation is at Trailing Limit if Touched. What I'm trying to figure out is ...
3
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2answers
442 views

What rules govern when a new option series is issued?

As I'm typing this, the CBOE quotes and data page lists GOOG and FB options with expirations of September, October, November and December of 2012. But AMZN and GS only get September and October of ...
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4answers
192 views

Are there common stock price trends related to employee option plans?

Facebook IPO was May 18th, 2012. I understand that employees are not able to sell their shares until 6 months after the date of IPO (is this correct?). Can we expect the price of Facebook to decrease ...
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4answers
13k views

Why does the biotechnology industry have such a high PE ratio?

I'm looking at this link, which lists P/E ratios by industry. I see that biotechnology has a P/E ratio of 145, which is very high compared to other industries. What is so special about this industry ...
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1answer
286 views

Can I get a dumbed down explanation of risk measures used for evaluating stocks?

Hoping this will be a good reference question for the site. Can someone explain in a way that doesn't require a lot of math/statistics background what the following terms mean when analyzing the ...
2
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3answers
1k views

Equation to determine if a stock is oversold and by how much?

Given a stock, is there any mathematical equation than can determine if that stock is oversold? I will use the equation against all stocks in the market to generate a sorted list of oversold stocks.
2
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1answer
177 views

How do stock analysts estimate the earnings for a publicly traded company? What about costs?

I assume that if one was a careful study of a company, you could determine revenue by surveying consumers and determining how much inventory is being sold, but I don't see how an analyst could gain ...
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1answer
88 views

Judge market efficiency from raw price action

Is it possible to judge just by tape reading and analyzing the price action, if a particular security in a particular market is efficient or not? I often read commentaries by experts that state that ...
2
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2answers
2k views

Why does a small number of bid/ask quotes not cause stock price to fluctuate drastically?

Often times I find that the number of bid and ask quotes presented for a stock are quite small in number. For example, just today I was watching a stock whose bid and ask prices looked very similar to ...
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3answers
1k views

Historical 52-week highs data source

I'm new to investing, but am very interested in the workings of the market. Does anyone know of a (preferably free) way to retrieve historical 52-week highs data? Specifically, I would like to analyze ...
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0answers
73 views

Question about beta - trading

I've been a bit stuck with this question: "If a portfolio P had a predicted beta=1.05 wrt to an index, and that index later underperformed Treasury Bills by 5%, what would be the expected return of ...
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2answers
173 views

Using simple moving average in Equity

I have read about simple moving average. However I am still not able to analyse on how to use it in equity(Stocks). I have read about many SMA, 5 day SMA, 10 day SMA and 200 day SMA. However want ...
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2answers
737 views

Market Cap lower than Shares Outstanding x Share Price?

Why would the market cap for a company be lower than its shares outstanding x share price? Example: Meggitt trades at 544 a share with shares outstanding of 801,960,000. Their market cap is 4.37 ...
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1answer
115 views

Is there no overlap of ticker symbol even if old company was unlisted or bankrupt?

I want to know if ticker symbols are always unique in all time period. Or is it unique only in currently listed companies?
2
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1answer
101 views

Book Value vs Market Value of PWT.TO

I'm new to this forum, so please excuse if my formatting or something is wrong. Anyways, I had a question regarding stocks. The particular question is regarding PWT.TO; Penn West Petroleum Ltd. on ...
2
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1answer
2k views

What does “issued XXX and YYY shares” mean?

I'm looking at a random company, Hain Celestial Group (HAIN). Their 10-Q from 2014-11-07 says on the first page: "As of November 3, 2014 there were 50,460,313 shares outstanding of the registrant’s ...
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1answer
293 views

How useful is the PEG Ratio for large cap stocks?

I've read a few articles recently that discuss the PEG (Price/Earnings to Growth) Ratio and how, when it's 1 or lower, it can mean that the company is undervalued, and thus a good investment (I know ...
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5answers
17k views

If I have $1000 to invest in penny stocks online, should I diversify risk and invest in many of them or should I invest in just in one?

I have $1000 to invest. I use Scottrade to invest in penny stocks online, they charge $7 to buy a stock and another $7 to sell it ($14 in total). Given the high volatility of these stocks, what tactic ...
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1answer
835 views

Rate of return of stock index

One can always see on the news for example, the movement of stock indexes. Say for example: S&P +5.15 (0.05%) or S&P -0.57 (0.001%) But how would I calculate the 2 numbers above? (+5.15 and ...
2
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2answers
276 views

Incorporating real-world parameters into simulated(paper) trading

A bit expanding the question asked here, I want to try and test a strategy using a simulated(paper) trading. As a first step, I have tried to find any brokers who provide a convenient simulated ...
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2answers
8k views

How do I calculate the quarterly returns of a stock index?

I was reading an article and it stated something along the lines of (not accurate figures): Quarter | Stock Index % Change In Quarter Sep 2011 | 5.21 Dec 2011 | 4.69 Mar 2012 | 3.20 June 2012 | -...
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1answer
865 views

What are some important factors to consider before investing in a stock/index fund and why?

I am a newbie to financial markets and I would like to know what people consider before buying/selling in markets. For example I know that interest rates would be one as it has an effect on liquidity. ...
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1answer
520 views

Where can I get a list of all Stocks that were acquired or went bankrupt

I'm looking for a list of stocks from 2005 - present that were delisted from Nasdaq/NYSE due to being acquired/going bankrupt/going private/etc. Where can I get such data online (free or paid)?
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2answers
2k views

How can this stock have an intra-day range of more than 90% on 24Aug2015?

I am looking at this stock BKCC and was shocked at one point at its price of only $0.97. Just within 1 hour of opening, BKCC traded between $0.97 and $9.5. How can this be so, particularly when it is ...
2
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1answer
73 views

Who puts out buy/sell orders during earnings reports or other scheduled relevant information? [closed]

I understand that some stock traders try to quickly act on public information to make profits, for example. In the case of scheduled releases of information, however, why do people keep buy or sell ...
3
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1answer
166 views

Does technical analysis work on small stock exchanges?

I live in Europe, in a rather small country, and we also have a stock exchange. It's really ridiculously small, compared to NYSE, NASDAQ, the Frankfurt Stock Exchange and similar. Lately I've been ...
1
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1answer
102 views

Is there a Limit Order to buy long if the price RISES (not falls) to a specific value?

I trade with Interactive Brokers. I want to buy at the Close in one of the following scenarios. The scenario depends on the indicator that I'm using. First scenario: Assume that the price is ...
2
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1answer
717 views

How can I identify a likely bull trap?

Ok, so I've been learning a lot about bear traps recently and think I've got it. Based on creating a lead in trendline and a sell line to match, and on the cues in the swings, I'm saying this is a ...
7
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3answers
17k views

If a company's assets are worth more than its market cap, can one say the shares must be undervalued?

Imagine a company sold a 10% stake in one of its assets to a 3rd party for $100 million. It would be fair to assume that the asset is worth $1 billion. If that company had 200 million shares issued, ...
2
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3answers
1k views

Which kind of investment seems feasible to have more cashflow every week or month?

My plan is to make close to $2000 a month/$500 a week through investments. For that, I can risk up to $2000 to start with. The following come in to my mind, even if nothing is for sure. 1) If I ...
8
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2answers
295 views

How much of my capital should I spend on subscribing to a stock research company?

I've subscribed for a free 2 month trial to a stock research company and so far it has made me good money so far. I've now been offered a 1 year subscription for a fee of $599. I have a capital of $...
3
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1answer
1k views

How can there be two stock tickers for one company?

I was doing some research and came across two stock tickers with the same name eseentially, and the tickers are MDCN and MDCND. I'm not sure what each of these means and how this works within the ...
2
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1answer
642 views

What happened to GOOG-stock? Why isn't it 1.000 USD?

I just try to understand what happened to the Google stock. In October 2013 many newspapers wrote that the GOOG stock reached 1.000 USD. When I now look at the charts for this share and scroll back ...
2
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2answers
1k views

What Did Benjamin Graham Mean by Earnings Stability in The Intelligent Investor?

On page 386 it lists 5 criteria for stock selection for the enterprising investor. #2 is earnings stability - it reads "Earnings stability: No deficit in the last five years covered in the Stock Guide....
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0answers
393 views

Help identifying trading strategy based on Mandelbrot

I came across a set of pictures regarding a trading strategy using pure mathematics. Normally, I am quite skeptic regarding any strategy that uses some sort of 'golden formula', but this particular ...
1
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2answers
465 views

Stock Closing Price Manipulation

Imagine Company X' stock price is $400/share. Can two individuals (owning shares of this company) conspire against it by selling/buying their shares at $1 by the end of the day so that the "closing ...
2
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1answer
2k views

What is vested stock and yearly dividends?

I am not a financial specialist but my company has offered me several stock options. Under this agreement, I will get 25,000 shares immediately, after 180 days I get an additional 50,000 vested, and ...