9
votes
Accepted
How to check for short term supply and demand on the stock market
Unfortunately the information in the market depth (the bids and asks you can see in the trading platform) only represents the minimum number of shares that someone will buy or sell at a given price. ...
- 8,801
6
votes
Why call options are more profitable compared to stock trading?
Suppose you have $100 in the bank, and you want to invest in Company X. Company X starts trading at $10, and an option costs $2.
We will look at four possible scenarios.
No options, stock goes up: ...
- 169
5
votes
Interest rates effect on bank jobs and junk funds from the book intelligent investor
If I work in a bank and interest rates are rising then how can it put me in a job security risk since banks will have more profits with higher interest rates and there is not need for employee layoff.
...
- 166k
4
votes
Accepted
How does the stock market graph updates?
However, this feels weird to me since, if no one is selling or buying, the price on the stock market will stagnate forever.
Why is it weird? If you have no newer valuation, you use the last valuation....
- 166k
4
votes
I want to reinvest in a stock after 2 years of not investing
The profit is not reduced. If you invest in more of the stock it is a separate transaction. Your original profit isn't affected.
Your current holdings should not affect whether or not you buy more of ...
- 53k
3
votes
What will be the effects on the stocks of a mining company if they find a new deposit of metals and minerals
The abstract idea of the stock market is that the current price of the stock already accounts for all currently available public information pertaining to the value and profits of the company.
At the ...
- 1,185
3
votes
Dividends compared to stock prices
The goal is not to get "paid back" from dividends - if you buy a stock for $100 and it pays a 1% dividend - you will get $1 in dividends and still have a stock that's worth somewhere around $...
- 131k
3
votes
Accepted
Number of outstanding shares from Financial Statement
You're looking at a 2021 presentation that does not account for the 3:1 split that occurred in 2022. If you look at their most recent 10-Q (search for "outstanding"), they had about 3.15B in ...
- 131k
3
votes
How can a company be losing money from year to year but have the same/increased cash and cash equivalents?
The best way to see the source of an increase in cash is to look at the Cash Flow Statement. Looking at Uber's Cash Flow Statement, the source of their cash is indeed from financing, from a ...
- 131k
2
votes
How does my broker (optionsXpress) calculate probabilities that the stock will hit a certain price?
The proposed answers are almost surely not what was done here. One cannot look up the optionsXpress computations anymore as it now moved to Charles Schwab who explain that they use Black Scholes.
It ...
- 2,451
2
votes
TD Ameritrade Phone App Giving Inconsistent Candle Charts
With standard candlestick charts, hollow body means the stock opened lower and closed higher. A filled-in candle means the stock opened higher and closed lower.
The colors usually refer to the ...
- 6,508
2
votes
How can a company be losing money from year to year but have the same/increased cash and cash equivalents?
Large amounts of depreciation are possible. Depreciation allows for future replacement of systems, equipment, or logistical assets. Depreciation just accounts the future cost as there is no cash ...
- 3,572
2
votes
Accepted
Total Cash Flow unequal to Difference in Cash
The difference is in the description:
Balance sheet:
Cash and cash equivalents
Cash Flow Statement:
Cash, cash equivalents and restricted cash
So it is included in the cashflow statement but not ...
- 131k
2
votes
Accepted
How often do ETF's change holdings?
If an ETF follows and index (a passive ETF), then they make changes when the index makes changes. Their philosophy is to match the index. The index maker may periodically review the companies to see ...
- 136k
1
vote
Where can I look up total returns of stocks, ETFs, and mutual funds?
You can view performance of a list of holdings with a free account at seekingalpha.com I do this regularly, but have not actually tried to automate downloading the information. My list includes ...
- 11
1
vote
Evaluating whether a company is trading below cash...?
Yes that is what is meant by "trading below cash". It means that investors think the company is burning cash to the point that it cannot pay its debts (the company is not even worth it's ...
- 131k
1
vote
Accepted
Can CAGR be calculated for a time periods less than 1 year?
Take it back to first principles.
If it was $50 six months ago now, and is $100 now, it grew by 100% over 6 months.
If that rate is continued (HUGE "if"!), it would grow by another 100% in ...
- 42.9k
1
vote
Why should I use ROIC instead of P/E given that that is the price I'm paying to buy stock?
Since these two metrics are closely related in the sense that a high ROIC will tend to mean a high P/E (and conversely) you cannot really consider one in preference to the other. Also, keep in mind ...
- 6,400
1
vote
Why should I use ROIC instead of P/E given that that is the price I'm paying to buy stock?
ROIC is a measure of how well a company has used its capital to generate returns. It can be used to compare the efficiency or effectiveness of similar companies, or to see if a company is making ...
- 131k
1
vote
How can a quarter's net income loss can cause a positive diluted adjusted EPS for that quarter
Finance is as much an art as a science. The key word in the metric you're referencing is "adjusted", which is a non-GAAP measure (i.e., not an official accounting metric). However, if a ...
- 356
1
vote
How to compute TTM of fundamentals? (trailing twelve months) yahoo finance uses secret sauce?
Nope, no linear interpolation at play, but you have to remember that U.S. public companies report quarterly financials (and usually semi-annually in other countries, like the UK). So as of July 31, ...
- 356
1
vote
What are Insurance Reserves on The Balance Sheet
You'll find the answer in the S-1
Insurance Reserves
We utilize both a wholly-owned insurance subsidiary and third-party insurance, which may include deductibles and self-insured retentions, to ...
- 8,468
1
vote
Earnings Per Share Metric on Google Finance vs. Yahoo Finance
Given that I'm commenting several years since you posted this question, the layouts of these sites have changed; however, even now for Q2 2023, I can see there is a discrepancy. I have encountered ...
- 356
1
vote
What does "profits to the shareholders jumped to 15 cents a share" mean?
Expectations vs new information
When the market acknowledges new information, the expected impact on the share price represents the difference between that information and what "the market ...
- 3,353
1
vote
Accepted
Why Stock dividend yield (TTM) is different from Yield (FWD)
Looking at their investor relations website they have paid 4 dividends of around $.60 in the last 12 months: https://investors.coterra.com/Investors/dividend-history/default.aspx. Take the total of ...
- 8,801
1
vote
Is there any way to understand all the codes/names/symbols that describe an individual stock?
@fguillen thanks for your excellent question!
If you look at https://markets.ft.com/data/equities/tearsheet/summary?s=TSLA:VIE and use the drop-down, you'll see that Tesla is traded in a number of ...
- 131
1
vote
Where can I find itemized list of earnings from S&P 500?
Sort of. Partly it depends on your definition of earnings and return. For equities (i.e., stocks and ETFs thereof), bear in mind that one's investment return can come in the form of price ...
- 356
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