Latest share price divided by book value stated in latest report.
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Convertible Bond
A bond that can be exchanged for shares of stock.
Price to Earnings Ratio (p/e)
Latest share price divided by 12-month earnings per share (eps). Also a measure of the market’s enthusiasm for a company.
Convertible Security
A security of an issuer (for example – bonds, debentures, or preferred shares) that may be converted into other securities of that issuer, in accordance with the terms of the conversion feature. The conversion usually occurs at the option of the holder of the securities, but it may occur at the option of the issuer.
Corporation or Company
A form of business organization created under provincial or federal laws that has a legal identity separate from its owners. The shareholders are the corporation’s owners and are liable for the debts of the corporation only up to the amount of their investment. This is known as limited liability.
Price to Sales Ratio (p/s)
Latest share price divided by 12-month sales per share.
Correction
This occurs when an average falls 10% or more off of its high.
Price-Earnings (P/E) Ratio
A common stock’s last closing market price per share divided by the latest reported 12-month earnings per share. This ratio shows you how many times the actual or anticipated annual earnings a stock is trading at.
Cost of Sales
Cost of materials and labor required to produce products or services. Gross profit is sales minus cost of sales.
Principal Trade
A trade when a Participating Organization is either buying from, or selling to its client.