What is free cash flow?
Dec 6,23Understanding Free Cash Flow Defining Free Cash Flow Free cash flow (FCF) refers to the financial performance measure that depicts the amount of cash a business generates after accounting for capital expenditures like buildings or equipment. This crucial metric highlights the cash left over for the company to expand, distribute, or reinvest in business opportunities …
Read MoreWhat is a Capital Loss?
Dec 4,23Understanding the Concept of Capital Loss in the Stock Market Introduction In your journey of investing in the stock market, you will occasionally stumble upon jargon that may seem complicated at first glance. One such term that often baffles beginners is ‘capital loss’. This concept is fundamental to understand, especially when you delve into the …
Read MoreWhat is a capital gain?
Dec 4,23Understanding Capital Gain Definition of Capital Gain A capital gain can be defined as the profit accrued after the sale of an investment or non-inventory asset that has increased in value. It is the difference between a lower purchase price and a higher selling price, resulting in a financial gain for the investor. The realization …
Read MoreWhat is market value?
Dec 4,23Understanding Market Value in the Stock Market When diving into the world of stock market investments, terms such as “market value” are often thrown around, and understanding them is crucial. So, what is market value, and why is it important for investors? Market value, also known as market capitalization, refers to the total dollar market …
Read MoreWhat is a dividend yield?
Dec 4,23Understanding Dividend Yield Concepts of Dividend Yield A Dividend Yield is a financial ratio that shows how much a company pays out in dividends each year relative to its stock price. In simple terms, it is the return on investment for a stock if you held it for a year and the company did not …
Read MoreWhat is intrinsic value?
Dec 4,23Understanding Intrinsic Value in the Stock Market Introduction At the heart of smart and informed investing lies the key concept of ‘intrinsic value’. Both beginners and seasoned investors in the stock market must understand this concept to make sound investment decisions. It offers insightful parameters to evaluate stocks, gauge their value, and subsequently base your …
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