Browsing articles in "A – E"
Aug
15
2012

Circular Trading:

Fundamental analysis

Circular trading is a fraudulent trading practice which aims at artificially creating high trading volumes and affecting the price of the stock. It is a practice whereby two or more brokers/clients enter the buy or sell order who know beforehand that a similar offsetting order for the same stock at a similar price and quantity have been entered or is to be entered at the same time by some another person. For instance if two […]

Bookmark and Share
Apr
30
2012

BSE Sensex:

Fundamental analysis

Sensex is an index comprised of 30 representative companies of various sectors listed on BSE (Bombay Stock Exchange). The index is a representation of the combined performance of all the comprised companies on the basis of demand and supply forces of the stock market. To study the calculation and working of Sensex go to featured article “What is Sensex and how it works !!!”. The index BSE Sensex is comprised of the following 30 companies […]

Bookmark and Share
Apr
26
2012

Buy-Back:

Fundamental analysis

Buy-back is the process when a company repurchases or buys it’s own shares from the existing shareholders. The companies go for the process of buy-back to support the stock price and also to park the additional funds available on the balance sheet. The company may buy-back its shares through either of the following methods: Open market buy-back From existing shareholders through book building The advantages of buy-back are: It increases the Earnings Per Share (EPS) […]

Bookmark and Share
Apr
16
2012

Advance and decline index:

Fundamental analysis

Advance and decline index is an indicator that depicts the actual movement of the stocks at any particular moment. This indicator gives the number of stocks that have advanced in the price from their previous day’s close, to the number of stocks that have declined from their previous day’s close. Thus with the help of advance and decline index the actual performance of stocks could be seen. The index is calculated as a ratio by […]

Bookmark and Share
Apr
8
2012

Divestment:

Fundamental analysis

Divestment refers to the sale of assets or existing business by an owner. Divestment may be done to satisfy certain needs such as financial need, regulatory need or ethical purposes. In India divestment process was started in 1991 with the introduction of LPG concept or with the liberalization of the Indian economy. The various objectives for divestment are: To obtain cash for some desired activities of business. To sell out unproductive branches or subsidiaries. To […]

Bookmark and Share
Mar
25
2012

Exchequer:

Fundamental analysis

Exchequer is a government department responsible for collection and management of government revenues. The concept of exchequer was first evolved in United Kingdom. The name ‘Exchequer’ is derived from the table used for the calculation of taxes and goods in the medieval period.

Bookmark and Share
Mar
21
2012

Consolidation:

Fundamental analysis

The term consolidation in stock market refers to the condition when markets see a selling pressure and start to trade in a range bound mode. This means that the investors at this very period stop investing further in expectation of any further cue (either positive or negative) and then decide the next move of the markets. Thus while consolidating the markets wait for any further news and then decide as to which direction would be […]

Bookmark and Share
Mar
15
2012

Current account deficit:

Fundamental analysis

Current account deficit occurs when a country’s total imports of goods and services exceed the total exports. When the total of imports are less than those of exports then current account surplus is said to exist. In the case of deficit the capital outflow from the home country takes place whereas in current account surplus the capital inflow takes place. But current account surplus is not always the ideal situation to occur. The developing and […]

Bookmark and Share
Mar
10
2012

Bull Trap:

Fundamental analysis

It is a false signal which indicates the trend reversal of a declining security when actually no upward move is going to occur and this traps the investors to a stock or index. The investors get trapped in such a bad declining trend and hence it derives it’s name.

Bookmark and Share
Mar
10
2012

Bottom Line:

Fundamental analysis

Bottom line refers to the companies net profits; i.e. excluding all the expenses incurred to generate them. Thus bottom line represents the net or pure profits to the company. It is also being referred to as net earnings, net income or Earning Per Share (EPS). It is being referred as bottom line as it stands at the bottom of the income statement of companies’ financial results. To improve the bottom line businesses do it in […]

Bookmark and Share
Pages:12»

LIKE US ON FACEBOOK

Sign Up For Our Newsletter

Sign Up Now

Sign up for mailing list and receive new posts directly to your inbox.

We promise never to share or sell any of your personal information.

Copyright © 2012 Stocks Analyser