Price-to-Earnings Ratio Definition and Formula

The price-to-earnings ratio gets written in several different ways. Financial journalists and investors will refer to price-to-earnings or “P-to-E.” On websites and in investing publications, you may see terms like “PE ratio” or “P/E ratio.” All these titles refer to the same thing: the price per share of stock compared to the earnings per share (which […]
How to Start Investing: Tips for Beginners

An investment is an asset you purchase now in hopes that it will be worth more in the future. Investments are an important part of retirement plans and other financial obligations because they attempt to make your money work for you over a period of time. When you make investments, you may not be able to […]
What Is Market Cap and What Is It Used For?

Market capitalization — “market cap” for short — is the total market value of a company’s stock. The equation for the market cap is simple. You start with the price of a single share of a company’s stock, and then you multiply it by the total number of outstanding shares on the market. Market capitalization […]
How to Buy Stocks Online Without a Broker

Most investors who are active in the stock market use a brokerage firm or stockbroker to help buy and sell different stocks. With a professional broker on your side, you can get assistance in building a strong investment portfolio that’ll perform. You’ll also be able to seek advice on the best investments to make and the right time to […]
What Is the Dow Jones Industrial Average?

The Dow Jones Industrial Average (DJIA) is an index that contains 30 of the largest blue-chip companies in the United States. These are not only among the largest companies in the country, but their shares also happen to be among the most widely held by investors. Like other indexes, such as the NASDAQ Composite or […]
A Guide to Buying Cryptocurrency

Buying Bitcoin or one of the many other types of cryptocurrency out there can be a very rewarding investment, but it comes with an extremely high risk. Investing in cryptocurrency won’t give you overnight returns, but it can be a lucrative endeavor over time. In recent years, the cryptocurrency market has evolved, but Bitcoin has remained […]