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Percentage of earnings paid out in dividends.

After tax income minus preferred dividends and general partner distributions plus depreciation, depletion, and amortization (Market Guide definition). See Operating Cash Flow and Free Cash Flow.

A security not listed on a stock exchange, but traded on the over-the-counter market.

Price to earnings ratio divided by the forecast annual earnings growth rate. Traditionally, stocks were said to be fairly valued when the p/e and the forecast growth rate were equal.

This occurs when a stock has consolidated, formed a base, or has been in a trading range, and then breaks above that level, surpassing resistance at the top of the range or base. Breakouts are suspect if they do not occur on high volume (compared to average daily volume). When playing a stock to buy on the upside breakout, we like to use a “buy stop” which calls for purchase when a stock rises above a certain price.

Settlement of an option contract not by delivery of the underlying shares, but by a cash payment of the difference between the strike or exercise price and the underlying settlement price.

We use this with respect to options trades in determining if we like an option enough to buy it or if we are in an option, if we want to stay in it. This calculation tells you how far the underlying stock must move before the option will double in value. We prefer a 7%-10% value, less if we can get it. This does not mean we will not buy an option, but it does give us insight as to how long we will hold it. Percent to double is a Smith Barney proprietary calculation.

A stock is said to be on an uptick when the last trade occurred at a higher price than the one before it.

The physical document that shows ownership of a bond, stock or other security.

Holdings of securities by an individual or institution. A portfolio may include various types of securities representing different companies and industry sectors.