Glossary


12(b)-1 Fee
Fee assessed shareholders by the mutual fund for some of its promotional expenses. A 12b-1 fee must be specifically registered as such with the Securities and Exchange Commission and the fact that such charges are levied must be disclosed.
13 Week Treasury Bill - IRX
The T-Bill index - (IRX) is based on the discount rate of the most recently auctioned 13-week U.S.Treasury Bill. The new T-bill is substituted weekly on the trading day following its auction, usually a Monday.
Actual EPS, CPS, or DPS
Reported annual Earnings Per Share (EPS -Trailing 12 months), cash flow (CPS) or Dividends Per Share (DPS) for a company for the fiscal year indicated. For companies which report on a quarterly basis, this information will contain the sum of the actual earnings, cash flow or dividends for the previous four quarters. For companies that report semi-annually, the field will contain the sum of the previous two semi-annual actuals.
After Hours Best Ask
The price at which someone who owns a security offers to sell a Nasdaq security during the current day's After Hours market; also known as the asked price. Investors may trade in the After Hours Market (4:00-6:30 p.m. ET for Nasdaq stocks and 4:00-8:00 p.m. ET for NYSE and Amex stocks). Participation by Market Makers and ECNs is strictly voluntary and as a result, this session may offer less liquidity and inferior prices. Stock prices may also move more quickly in this environment. Investors who anticipate trading during these times are strongly advised to use limit orders. NASD Rule 3350 (the Short Sale Rule) will initially not apply during 4:00 p.m. to 8:00 p.m. ET.
After Hours Best Bid
The price a prospective buyer is prepared to pay at a particular time for trading a Nasdaq security during the current day's After Hours market. Investors may trade in the After Hours Market (4:00-6:30 p.m. ET for Nasdaq stocks and 4:00-8:00 p.m. ET for NYSE and Amex stocks) on The Nasdaq Stock Market. Participation by Market Makers and ECNs is strictly voluntary and as a result, this session may offer less liquidity and inferior prices. Stock prices may also move more quickly in this environment. Investors who anticipate trading during these times are strongly advised to use limit orders.
After Hours High
The after hours high represents the highest price a person purchased this security during the current day's After Hours trading session. Investors may trade in After Hours Market (4:00-6:30 p.m. ET for Nasdaq stocks and 4:00-8:00 p.m. ET for NYSE and Amex stocks). Participation by Market Makers and ECNs is strictly voluntary and as a result may offer less liquidity and inferior prices. Stock prices may also move more quickly in this environment. Investors who anticipate trading during these times are strongly advised to use limit orders.
After Hours Last Sale
An electronic entry by an NASD Member firm representing the price involved in a transaction of a Nasdaq security during the current day's After Hours session. The trade report must be submitted to Nasdaq within 90 seconds after the execution of the trade. Investors may trade in the After Hours Market (4:00-6:30 p.m. ET for Nasdaq stocks and 4:00-8:00 p.m. ET for NYSE and Amex stocks). Participation by Market Makers and ECNs is strictly voluntary and as a result may offer less liquidity and inferior prices. Stock prices may also move more quickly in this environment. Investors who anticipate trading during these times are strongly advised to use limit orders.
After Hours Low
The after hours low represents the lowest price a person purchased this security during the After Hours trading session. Investors may trade in the After Hours Market (4:00-6:30 p.m. ET for Nasdaq stocks and 4:00-8:00 p.m. ET for NYSE and Amex stocks). Participation by Market Makers and ECNs is strictly voluntary and as a result may offer less liquidity and inferior prices. Stock prices may also move more quickly in this environment. Investors who anticipate trading during these times are strongly advised to use limit orders.
After Hours Volume
An electronic entry by an NASD Member firm representing the number of shares involved in a transaction of a Nasdaq security during the current day's After Hours session. The trade report must be submitted to Nasdaq within 90 seconds after the execution of the trade. Investors may trade in After Hours Market (4:00-6:30 p.m. ET for Nasdaq stocks and 4:00-8:00 p.m. ET for NYSE and Amex stocks). Participation by Market Makers and ECNs is strictly voluntary and as a result may offer less liquidity and inferior prices. Stock prices may also move more quickly in this environment. Investors who anticipate trading during these times are strongly advised to use limit orders.
After Hours % Change
After Hours Percent change represents the percent increase/decrease between the last sale and the Market Close. See Market Close.
American Depositary Receipt (ADR)
A security, created by a U.S. bank, that evidences ownership to a specified number of shares of a foreign security held in a depositary in the issuing company's country of domicile. The certificate, transfer, and settlement practices for ADRs are identical to those for U.S. securities. U.S. investors often prefer ADRs to direct purchase of foreign shares because of the ready availability of price information, lower transaction costs, and timely dividend distribution.
American Stock Exchange (AMEX)
The second-oldest U.S. stock exchange, located on Wall Street in New York City. Started as an alternative to the NYSE, the AMEX originating on the curb outside the NYSE, where brokers traded stocks that failed to meet the Big Board's listing requirements. Considerably smaller in market capitalization and trading volume than NASDAQ and the NYSE, the AMEX conducts trading through a centralized specialist system and is home primarily to small and medium-sized companies
AMEX Composite - XAX
The AMEX Composite Index - (XAX) the American Stock Exchange introduced a new AMEX Composite Index with a new ticker symbol, XAX, on January 2, 1997. The XAX is a market capitalization-weighted, price appreciation index, and replaces the AMEX Market Value Index (XAM) which, since its inception, has been calculated on a "total return basis" to include the reinvestment of dividends paid by AMEX companies. The new AMEX Composite Index is more comparable with other major indexes, which reflect only the price appreciation of their respective components.
Analyst
A person with expertise in evaluating financial investments; he or she performs investment research and makes recommendations to institutional and retail investors to buy, sell, or hold; most analysts specialize in a single industry or business sector.
Announcement Date
The date on which the company first made news of the split public.
Ask
The price at which someone who owns a security offers to sell it; also known as the asked price. (See also "Best Ask".)
Assets
Any possessions that has value in an exchange.
Average Daily Share Volume
The number of shares traded per day, averaged over a period of time, usually one year.
Average Maturity
The average time to maturity of securities held by a mutual fund. Changes in interest rates have greater impact on funds with longer average life.
Beginning Net Asset Value
The market value of a fund share on a predetermined start date.
Best Ask
The price at which someone who owns a security offers to sell it; also known as the asked price. Please note that the New York Stock Exchange and the American Stock Exchange do not provide Ask information on a delayed basis. (See also "Ask".)
Best Bid
The price a prospective buyer is prepared to pay at a particular time for trading a unit of a given security. Please note that the New York Stock Exchange and the American Stock Exchange do not provide Bid information on a delayed basis. (See also "Bid".)
Beta
A measure of the volatility of a stock relative to the overall market. A beta of less than one indicates lower risk than the market; a beta of more than one indicates higher risk than the market. Nasdaq.com uses the S&P 500 as the underlying index to measure the overall market for beta.
Bid
The price a prospective buyer is prepared to pay at a particular time for trading a unit of a given security. (See also "Best Bid".)
Capital Gains Distribution
Payments to mutual fund shareholders of profits from the sale of securities in a fund's portfolio. Capital gains distributions (if any) are usually made annually.
Consensus Rating
The average of analysts recommendations for a single entity. As many brokers have different ratings systems, their recommendations must be standardized so that a consensus can be calculated. The I/B/E/S ratings are calculated using a standard set of recommendations, maintained by I/B/E/S, each with an assigned numeric value:

1. Strong Buy
2. Buy
3. Hold
4. Underperform
5. Sell

Each recommendation received from the analysts is mapped to one of the I/B/E/S standard ratings. Assigning a numeric value to the broker text enables I/B/E/S to calculate a consensus recommendation. This consensus recommendation appears as the mean (average) of the assigned values.
Date of Record
The date on which a shareholder must officially own shares in order to be entitled to a dividend.
Days to Cover
Calculated as the aggregate short interest for the month divided by the average daily share volume traded for the period between short interest settlement dates. If days to cover is between 0 and 1, it is rounded up to 1 on Nasdaq.com
Debt to Equity Ratio
Long-term debt divided by shareholders' equity, showing relationship between long-term funds provided by creditors and funds provided by shareholders; high ratio may indicate high risk, low ratio may indicate low risk.
Deleted
A security is no longer included in The Nasdaq Stock Market.
Distribution Date
Date on which the payout of realized capital gains on securities in the fund portfolio occurred.
Diversification
The acquisition of a group of assets in which returns on the assets are not directly related over time. Proper investment diversification is intended to reduce the risk inherent in particular securities. An investor seeking diversification for a securities portfolio would purchase securities of firms that are not similarly affected by the same variables. For example, an investor would not want to combine large investment positions in airlines, trucking and automobile manufacturing because each industry is significantly affected by oil prices and interest rates.
Dividend
Distribution of earnings to shareholders, prorated by the class of security and paid in the form of money, stock, scrip, or, rarely, company products or property. The amount is decided by the Board of Directors and is usually paid quarterly. Mutual fund dividends are paid out of income, usually on a quarterly basis from the fund's investments.
Dow Jones Industrial Average - DJIA
The Dow Jones Industrial Average index - (DJIA) is a price-weighted average of 30 actively traded blue chip stocks, primarily industrials but including American Express Co. and American Telephone and Telegraph Co. Prepared and published by Dow Jones & co., it is the oldest and most widely quoted of all the market indicators. The components, which change from time to time, represent between 15% and 20% of the market value of NYSE stocks. The DJIA is calculated by adding the closing prices of the component stocks and using a divisor that is adjusted for splits and stock dividends equal to 10% or more of the market value of an issue as well as substitutions and mergers. The average is quoted in points, not in dollars.
EBITDA
Earnings before interest, taxes, depreciation, and amortization.
Effective Annualized Seven-Day Yield
Yield for 7 day period including the day reported, calculated by adding 1 to the base period return used in calculating the standard 7 day yield raising the total to the power of 365 divided by 7 and subtracting 1 (NOTE: To be reported on Wednesday only).
Earnings Per Share (EPS)
EPS represents the portion of a company's profit allocated to each outstanding share of common stock. Net income (reported or estimated) for a period of time is divided by the total number of shares outstanding (TSO) during that period; See growth rate measures for EPS.
Electronic Data Gathering, Analysis, and Retrieval EDGAR
An electronic system implemented by the SEC that is used by companies to transmit all documents required to be filed with the SEC in relation to corporate offerings and ongoing disclosure obligations. EDGAR became fully operational mid-1995.
Ending Net Asset Value
The market value of a fund share on a predetermined end date.
Ex-dividend
Interval between the announcement and the payment of the next dividend.
Ex-dividend Date
The date on or after which a security begins trading without the dividend (cash or stock) included in the contract price.
Expense Ratio
The proportion of assets of a mutual fund required to pay annual operating expenses and management fees. If a fund charges an annual fee of 50c per $100 of net assets, the expense ratio will be .5%. The expense ratio is independent of any sales fees.
Family of Funds
Group of mutual funds managed by the same investment management company. Each fund typically has a different objective; one may be a growth-oriented stock fund, whereas another may be a bond fund or money market fund. Shareholders in one of the funds can usually switch their money into any of the family's other funds, sometimes at no charge. Family of funds with no sales charges are called no load families. Those with sales charges are called load families.
Fiscal Periods
Because not all companies have the same fiscal year end, we, in cooperation with I/B/E/S, use FY1, FY2, etc., to identify unique fiscal periods for forecast data. For comparison purposes, I/B/E/S rounds off the quarter end dates to the nearest month end.

The following is a description of how this labeling works:

FY = fiscal year
Q = quarter
SAN = semiannual

The most recently reported earnings number is denoted with a zero (0). Then, the first estimate year is denoted with a one (1), the year after that, a two (2), and so on. So, as an example, if FY0 corresponds to the December 96 year end reported, then FY1 data refers to estimates for December 97, FY2 refers to estimates for the December 98 year end, and so on. Use the same conventions for interim periods (quarter and semiannual).
Footnotes:
Footnote A
To be used if the fund's return to shareholders may differ due to capital gains or losses. This footnote applied to money market funds only.
Footnote B
To be used if there are any sales charges or account charges which impact yield. This footnote applies to money market funds only.
Footnote C
Return of Capital information is being submitted for the year in the Capital Gains Distribution field.
Footnote D
To be used on any day that a mutual fund's net asset value is reduced by a capital gains distribution.
Footnote F
To be used by any type of fund that reports quotations as of the day prior to the day of reporting.
Footnote G
To be used if the fund's capital gains figure includes short term gains.
Footnote N
To be used by mutual funds when the fund does not have a sales load, i.e. there is no front-end and no contingent deferred sales load.
Footnote P
To be used by mutual funds if the fund has adopted a rule 12(b)1 distribution plan under which a specific charge is made against the net assets of the fund.
Footnote R
To be used by mutual funds with redemption fees, contingent deferred sales charges, or other charges deducted from net asset value upon redemption (other than charges for special services such as wire transfer).
Footnote S
To be used on the ex-date for stock splits or stock dividends.
Footnote T
To be used if the fund began reporting prices to Nasdaq during the current year (in this case 1999).
Footnote X
To be used by mutual funds on any day a fund goes ex-dividend.
Foreign
A non U.S. company with securities trading on The Nasdaq Stock Market.
Gold - GOX
The CBOE Gold Index - (GOX) is an equal-dollar-weighted index composed of 10 companies involved primarily in gold mining and production. The index is re-balanced after the close of business on expiration Friday on the March quarterly cycle.
Growth Rate Measures for EPS
  • Current year/last year % growth shows the percent change between the current year's Forecasted mean EPS estimate and the last reported actual EPS
  • Next year/current year % growth shows the percent change between next year's forecasted mean EPS estimate and the current year's forecasted mean estimate
  • Historical EPS growth % (historical 5 year growth)shows the average annual EPS growth for the company over the past five years
  • 5 year growth median is the median annual growth forecast over the next five years
  • 12 Month Forward % Growth is the projected growth in the company's EPS over the next 12 months (PEG Ratio)
Held
A situation where a security is temporarily not available for trading (e.g. Market Makers are not allowed to display quotes).
Inside Market
The highest bid and the lowest offer prices among all competing Market Makers in a Nasdaq security, i.e., the best bid and offer prices.
IPO Date
The date that the security started publicly trading.
Last Sale Reporting
An electronic entry by NASD Members to The Nasdaq Stock Market of the price and the number of shares involved in a transaction in a Nasdaq security. The trade reported must be submitted to Nasdaq with 90 seconds of the execution of the trade.
Limit Order
A Limit Order is an order to buy or sell a stock at a customer specified price.
Load Fund
Mutual Fund that is sold for a sales charge by a brokerage firm or other sales representative. Such funds may be stock, bond or commodity funds, with conservative or aggressive objectives.
Long Term Gain
A gain on the sale of a capital asset where the holding period was twelve months or more and the profit was subject to the long term capital gains tax.
Management's Discussion and Analysis (MD&A)
A key area looked at by analysts; an interpretive section of the prospectus and of the annual report, frequently called the Financial Review.
Margin account
A brokerage account that permits an investor to purchase securities on credit and to borrow on securities already in the account. Buying on credit and borrowing are subject to standards established by the Federal Reserve and by the firm carrying the account. Interest is charged on any borrowed funds only for the period of time the loan is outstanding.
Market Category
The market it trades on, either Nasdaq National Market(NNM) or Nasdaq SmallCap Market (SCM).
Market Close
An electronic entry by NASD Members to The Nasdaq Stock Market of the regular trading day's last reported trade. Investors may trade during the regular trading session from 9:30am - 4:00pm. Trades must be submitted to Nasdaq within 90 seconds of the execution of the trade by an NASD Member Firm.
Market Close Date
Date on which the closing Net Asset Value (NAV) was last calculated.
Market Makers
The NASD member firms that use their own capital, research, retail and/or systems resources to represent a stock and compete with each other to buy and sell the stocks they represent. There are over 500 member firms that act as Nasdaq Market Makers. One of the major differences between The Nasdaq Stock Market and other major markets in the U.S. is Nasdaq's structure of competing Market Makers. Each Market Maker competes for customer order flow by displaying buy and sell quotations for a guaranteed number of shares. Once an order is received, the Market Maker will immediately purchase for or sell from its own inventory, or seek the other side of the trade until it is executed, often in a matter of seconds.
Market Maker Spread
The difference between the price at which a Market Maker is willing to buy a security and the price at which the firm is willing to sell it i.e., the difference between a Market Maker's bid and ask for a given security. Since each Market Maker positions itself to either buy or sell inventory at any given time, each individual Market Maker spread is not indicative of the market as a whole. (See also "Inside Market".)
Market Order
A Market Order is an order to buy or sell a stock at the market's current best displayed price.
Market Surveillance
The department responsible for investigating and preventing abusive, manipulative, or illegal trading practices on The Nasdaq Stock Market. Considerable resources are devoted to surveilling The Nasdaq Stock Market. A vast array of sophisticated automated systems reviews each trade and price quotation on an on-line, real-time basis. Off-line computer-based analyses are conducted to evaluate trading patterns on a monthly, weekly and daily basis.

Whenever any of these automated systems indicate unusual price or volume in a stock, Nasdaq Market Surveillance analysts determine if this was the result of legitimate market forces or perhaps a violation of rules. Among other things, analysts review press releases, review historical trading activity, interview brokers, Market Makers, and Nasdaq-listed company officials. Market Surveillance continues its inquiries until unusual movements are adequately explained.

If legitimate market forces were at work the case is closed without action. If it appears rule violations have occurred, a disciplinary action is initiated. Where corporate insiders or members of the investing public are involved in a potential violation, the case will be referred to the SEC.

Market Value
For NASDAQ-listed securities, the price per share of the specified security multiplied by the total number of shares outstanding (as used in the calculation of NASDAQ index values) for the specified security.
Maturity Date
The date on which the principal amount of a bond is to be paid in full.
Material News
News released by a Nasdaq company that might reasonably be expected to affect the value of a company's securities or influence investors decisions. Material news includes information regarding corporate events of an unusual and non-recurring nature, news of tender offers, unusually good or bad earnings reports, and a stock split or stock dividend. (See also "Trading Halt".)
Mean
The mathematical average of a range of numbers (calculated by dividing the sum total of all the items in the range by the total number of items in the range).
Median
The middle number in a defined distribution; when looking at estimates, median refers to the estimate above and below which lie an equal number of estimates for the period indicated.
Money Market Fund
Open-ended mutual fund that invests in commercial paper, banker's acceptances, repurchase agreements, government securities, certificates of deposit, and other highly liquid and safe securities, and pays money market rates of interest. The fund's net asset value remains a constant $1 a share, only the interest rate goes up or down.
Most Active
Most active Nasdaq National Market stocks.
Mutual Fund
Fund operated by an investment company that raises money from shareholders and invests it in stocks, bonds, options, commodities or money market securities.
Nasdaq Composite Index -
The Nasdaq Composite Index measures all Nasdaq domestic and non-U.S. based common stocks listed on The Nasdaq Stock Market. The Index is market-value weighted. This means that each company's security affects the Index in proportion to it's market value. The market value, the last sale price multiplied by total shares outstanding, is calculated throughout the trading day, and is related to the total value of the Index.

Today the Nasdaq Composite includes over 5,000 companies, more than most other stock market indexes. Because it is so broad-based, the Composite is one of the most widely followed and quoted major market indexes.

Nasdaq International Ltd.
A subsidiary of the NASD headquartered in London, England. Its mission is to support NASD members in London, serve as a liaison to international companies seeking to list securities on Nasdaq, encourage foreign institutional participation in Nasdaq stocks, and to heighten the international image of the NASD and its markets.
Nasdaq International Service
An extension to The Nasdaq Stock Market's trading systems that allows early morning trading from 3:30 to 9:00 A.M. Eastern Standard Time on each U.S. trading day. This Nasdaq service enables participants to monitor trades during London market hours. NASD members are eligible to participate in this session through their U.S. trading facilities or through those of an approved U.K. affiliate.
Nasdaq National Market Securities
The Nasdaq National Market consists of over 3,000 companies that have a national or international shareholder base, have applied for listing, meet stringent financial requirements and agree to specific corporate governance standards. To list initially, companies are required to have significant net tangible assets or operating income, a minimum public float of 500,000 shares, at least 400 shareholders, and a bid price of at least $5. The Nasdaq National Market operates from 9:30 A.M. to 4:00 P.M. EST, with extended trading in SelectNet from 8:00 A.M. to 9:30 A.M. EST and from 4:00 P.M. and 5:15 P.M. EST.
Nasdaq SmallCap Market Securities
The Nasdaq SmallCap Market comprises of over 1,400 companies that want the sponsorship of Market Makers, have applied for listing and meet specific and financial requirements. Once a company is approved and listed on this market, Market Makers are able to quote and trade the company's securities through a sophisticated electronic trading and surveillance system. The Nasdaq SmallCap Market operates from 9:30 A.M. to 4:00 P.M. EST., with extended trading in SelectNet from 8:00 A.M. to 9:30 A.M. EST and from between 4:00 P.M. and 5:15 P.M. EST.
Nasdaq-100 Index -
The Nasdaq-100 Index includes 100 of the largest non-financial domestic companies listed on the Nasdaq National Market tier of The Nasdaq Stock Market. Launched in January 1985, each security in the Index is proportionately represented by its market capitalization in relation to the total market value of the Index.

The Index reflects Nasdaq's largest growth companies across major industry groups. All index components have a minimum market capitalization of $500 million, and an average daily trading volume of at least 100,000 shares.

The number of securities in the Nasdaq-100 index makes it an effective vehicle for arbitrageurs and securities traders. In October 1993, the Nasdaq-100 Index began trading on the Chicago Board Options Exchange. On April 10, 1996 the Chicago Mercantile Exchange began trading futures and futures options on the Nasdaq-100 Index.

National Association of Securities Dealers, Inc. (NASD)
The self-regulatory organization of the securities industry responsible for the regulation of The Nasdaq Stock Market and the over-the-counter markets. The NASD operates under the authority granted it by the 1938 Maloney Act Amendment to the Securities Exchange Act of 1934.
Net Asset Value (NAV)
The market value of a fund share, synonymous with a bid price. In the case of no-load funs, the NAV, market price, and offering price are all the same figure, which the public pays to buy shares; load fund market or offer prices are quoted after adding the sales charge to the net asset value. NAV is calculated by most funds after the close of the exchanges each day by taking the closing market value of all securities owned plus all other assets such as cash, subtracting all liabilities, then dividing the result (total net assets) by the total number of shares outstanding. The number of shares outstanding can vary each day depending on the number of purchases and redemptions.
Net Change
The difference between today's last trade and the previous day's last trade. The difference between today's closing Net Asset Value (NAV) and the previous day's closing Net Asset Value (NAV).
Net Income
Income after all expenses and taxes have been deducted, and used in calculating a variety of profitability and stock performance measures.
New York Stock Exchange (NYSE)
The oldest U.S. stock exchange, located on Wall Street in New York City. Tracing its origins to 1792, the NYSE is one of the few remaining financial markets to use a physical trading floor to conduct trading. Representatives of buyers and sellers, know a specialists, meet and shout out prices in an "open outcry system." Often referred to as the Big Board.
Number of Estimates (# of Est)
Number of analysts included in the Mean EPS forecast.
NYSE Composite Index - NYSE
The NYSE Composite Index - (NYSE) is a market value-weighted index which relates all NYSE stocks to an aggregate market value as of Dec. 31, 1965, adjusted for capitalization changes. The base value of the index is $50 and point changes are expressed in dollars and cents.
No Load Fund
Mutual Fund offered by an open end investment company that imposes no sales charge (load) on its shareholders. Investors buy shares in no-load funds directly from the fund companies, rather than through a broker as is done in load funds. Many no-load fund families allow switching of assets between stock, bond, and money market funds. The listing of the price of a no-load fund in the newspaper is accompanied by the designation NL. The net asset value, market price and offer prices of this type of fund are exactly the same, since there is no sales charge.
No Quote (NQ)
No Market Makers making an inside market at this time.
Offer Price
The price at which the shares were originally offered to the public.
Open Order
An order to buy or sell a security that remains in effect until it is either canceled by the customer or executed.
OTC Bulletin Board (OTCBB)
The OTCBB is a regulated quotation service that displays real-time quotes, last-sale prices, and volume information in over-the-counter (OTC) equity securities. An OTC equity security generally is any equity that is not listed or traded on NASDAQ or a national securities exchange. Approved by the SEC in 1997, OTCBB securities include national, regional, and foreign equity issues, warrants, units, American Depositary Receipts (ADRs), and Direct Participation Programs (DPPs).
Other OTC
A security that is neither listed on Nasdaq or any stock exchange, nor quoted on the Pink Sheets or the OTCBB; bids and offers are not centrally collected
P/B Ratio (Price/Book Ratio)
A stock analysis statistic in which the price of a stock is divided by the reported book value (as of the date specified) of the issuing firm.
P/C Ratio (Price/Cash Flow Ratio)
A financial ratio that compares stock price with cash flow from operations per outstanding shares.
P/E Ratio (Price/Earnings Ratio)
A stock analysis statistic in which the current price of a stock (today's last sale price) is divided by the reported actual (or sometimes projected, which would be forecast) earnings per share of the issuing firm; it is also called the "multiple".
P/S Ratio (Price/Sales Ratio)
A financial ratio that compares stock price with sales per share (or market value with total revenue).
Payment Date
The date on which a dividend or split will be paid to stockholders by the issuers' paying agents. The payable date is the date on which one must own the shares (at the close of the session) in order to receive the split.
Penalty Bid
A Syndicate Penalty Bid can be displayed on the Nasdaq System during the period of a registered public offering of a security. Such a bid may be entered by the managing underwriter or a member of the underwriting group acting on its behalf, and is intended to facilitate the offering by stabilizing the price of the security during the distribution period. This activity is permissible under SEC Rule 10b-7.
Pre-Market High
The Pre-Market high represents the highest price a person purchased this security during the Pre-Market session. Investors may trade in the Pre-Market (8:00-9:30 a.m. ET). Participation by Market Makers and ECNs is strictly voluntary and as a result may offer less liquidity and inferior prices. Stock prices may also move more quickly in this environment. Investors who anticipate trading during these times are strongly advised to use limit orders.
Pre-Market Last Sale
An electronic entry by an NASD Member firm representing the price involved in a transaction of a Nasdaq security during the Pre-Market session. The trade report must be submitted to Nasdaq within 90 seconds after the execution of the trade. Investors may trade in the Pre-Market (8:00-9:30 a.m. ET). Participation by Market Makers and ECNs is strictly voluntary and as a result may offer less liquidity and inferior prices. Stock prices may also move more quickly in this environment. Investors who anticipate trading during these times are strongly advised to use limit orders.
Pre-Market Low
The Pre-Market low represents the lowest price a person purchased this security during the Pre-Market session. Investors may trade in the Pre-Market (8:00-9:30 a.m. ET). Participation by Market Makers and ECNs is strictly voluntary and as a result may offer less liquidity and inferior prices. Stock prices may also move more quickly in this environment. Investors who anticipate trading during these times are strongly advised to use limit orders.
Pre-Market % Change
Pre-Market Percent change represents the percent increase/decrease between the last sale and the Market Close. See Market Close.
Pre-Market Volume
An electronic entry by an NASD Member firm representing the number of shares involved in a transaction of a Nasdaq security during the Pre-Market. The trade report must be submitted to Nasdaq within 90 seconds after the execution of the trade. Investors may trade in Pre-Market (8:00-9:30 a.m. ET). Participation by Market Makers and ECNs is strictly voluntary and as a result may offer less liquidity and inferior prices. Stock prices may also move more quickly in this environment. Investors who anticipate trading during these times are strongly advised to use limit orders.
Pre-Syndicate Bid
A Pre-Syndicate Bid can be entered in the Nasdaq System to stabilize the price of a Nasdaq security prior to the effective date of a registered secondary offering. This activity is permissible under SEC Rule 10b-7.
Previous Day's Close
The previous trading day's last reported trade. The Previous Day's Close on the Nasdaq Web site is updated at 3:30 A.M.
Principal Orders
Refers to activity by a broker/dealer when buying or selling for its own account and risk.
Quarterly Report (10 Q)
A report, which public companies are required to file quarterly with the SEC, that provides unaudited financial information and other selected material.
Real-time Trade Reporting
A requirement imposed on Market Makers (and in some instances, non-Market Makers) to report each trade immediately after completion of the transaction. Stocks traded on The Nasdaq Stock Market are subject to real-time trade reporting within 90 seconds of execution.
Retained Earnings
Net profits kept to accumulate in a business after dividends are paid.
Return of Capital
A distribution of cash resulting from depreciation tax savings, the sale of a capital asset or of securities in a portfolio, or any other transaction unrelated to retained earnings.
Return on Equity
(net income divided by shareholders' equity) a measure of the net income that a firm is able to earn as a percent of stockholders' investment.
Return on Total Assets
(net income divided by total net assets) a measure of the net income that a firm's management is able to earn with the firm's total assets.
Sales Load
The sales fee that the buyer pays in order to acquire an asset. The fee varies according to the type of asset and the way it is sold. Many mutual funds impose a sales charge. As a result of the load, only a portion of the investor's funds go into the investment itself.
Securities and Exchange Commission (SEC)
The federal agency created by the Securities Exchange Act of 1934 to administer that act and the Securities Act of 1933. The statutes administered by the SEC are designed to promote full public disclosure and protect the investing public against fraudulent and manipulative practices in the securities markets. Generally, most issues of securities offered in interstate commerce or through the mails must be registered with the SEC.
Settlement Date
The date specified for delivery of securities between securities firms, usually three business days after the execution of an order.
Seven-Day Yield
Yield for seven day period including the day reported.
Short Interest
The total number of shares of a security that have been sold short by customers and securities firms that have not been repurchased to settle short positions in the market.(See also Short Selling,Days to Cover, Settlement Date,and Average Daily Share Volume.)
Short Selling
Short selling is the selling of a security that the seller does not own, or any sale that is completed by the delivery of a security borrowed by the seller. Short selling is a legitimate trading strategy. Short sellers assume the risk that they will be able to buy the stock at a more favorable price than the price at which they sold short.

The Nasdaq Short Sale Rule prohibits NASD members from selling a Nasdaq National Market stock at or below the inside best bid when that price is lower than the previous inside best bid in that stock.

Short Term Gain
The profit realized from the sale of securities or other capital assets held twelve months or less.
SIC Code
Standard Industrial Classification (SIC) code. A numbering system established by the Office of Management and Budget that identifies companies by industry. It is used to promote the comparability of economic statistics from various facets of the U.S. economy.
Spread
The spread for a company's stock is influenced by a number of factors, including:
  • Supply or "float" - the total number of shares outstanding available to trade.
  • Demand or interest in a stock.
  • Total trading activity in the stock.
Standard and Poor’s 500 - $SPX
The S&P 500 index - ($SPX), more formally known as the S&P 500 Composite Stock Price Index, is a european-style, capitalization-weighted index (shares outstanding multiplied by stock price) of 500 stocks that are traded on the New York Stock Exchange, American Stock Exchange and Nasdaq National Market. The advantage of "cap-weighting" is that each company's influence on index performance is directly proportional to its relative market value. It is this characteristic that makes the S&P 500 such a valuable tool for measuring the performance of actual portfolios.
Stock Dividend
Payment of a corporate dividend in the form of stock rather than cash. The stock dividend may be additional shares in the company, or it may be shares in a subsidiary being spun off to shareholders. Stock dividends are often used to conserve cash needed to operate the business. Unlike a cash dividend, stock dividend are not taxed until sold.
Stock Index
A securities price indicator such as the Nasdaq-100, Standard & Poor's or Dow Jones series created to measure the relative value of the market.
Stock Symbol
A unique four- or five-letter symbol assigned to a Nasdaq security. If a fifth letter appears, it identifies the issue as other than a single issue of common stock or capital stock. A list of fifth-letter identifiers and a description of what each represents follows:
A - Class A
B - Class B
C - Issuer qualifications exceptions*
D - New
E - Delinquent in required filings with the SEC
F - Foreign
G - First convertible bond
H - Second convertible bond, same company
I - Third convertible bond, same company
J - Voting
K - Nonvoting
L - Miscellaneous situations, such as depositary receipts, stubs, additional warrants, and units
M - Fourth preferred, same company
N - Third preferred, same company
O - Second preferred, same company
P - First preferred, same company
Q - Bankruptcy Proceedings
R - Rights
S - Shares of beneficial interest
T - With warrants or with rights
U - Units
V - When-issued and when distributed
W - Warrants
Y- ADR (American Depositary Receipt)
Z - Miscellaneous situations such as depositary receipts, stubs, additional warrants, and units.
* The letter "C" as a fifth character in a security symbol, indicates that the issuer has been granted a continuance in Nasdaq under and exception to the qualification standards for a limited period.
Syndicate Bid
A Syndicate Bid can be entered in the Nasdaq System to stabilize the price of a Nasdaq security prior to the effective date of a registered secondary offering. This activity is permissible under SEC Rule 10b-7.
SuperMontage
The NASDAQ Stock Market's trading system to aggregate quotes and orders, providing access to more possible trades. Launched in 2002, SuperMontage is a fully integrated order display and execution system, capable of handling an expanded universe of orders. Key features include pre-trade anonymity, the ability to aggregate interest five price levels deep on each side of the market, internalization of orders still available, time stamps of individual orders to preserve position and priority, elimination of locked and crossed markets and a high level of confidence of best execution for users.
Surprise (Earnings Surprise)
A company earnings report that differs(either positively or negatively) from what analysts were expecting (consensus forecast). This often causes movement in the stock's price.
See Consensus Rating. Special symbols are used for negative actual or expected earnings as follows:
N+ : Negative actual earnings with positive surprise
N- : Negative actual earnings with negative surprise
-+ : Negative consensus earnings with positive actual earnings
-0 : Negative consensus earnings with zero actual earnings
-VL: Very large negative percent surprise
+VL: Very large positive percent surprise
NA : Not available (data necessary for calculation are not available)
TREASURY BOND 30 Year - TYX
The Treasury Bond index - (TYX) is based on 10 times the yield-to-maturity on the most recently auctioned 30-year Treasury bond.
Today's High
The intra-day high trading price.
Today's Low
The intra-day low trading price.
Total Shares Outstanding (TSO)
For NASDAQ-listed securities, the number of issued and outstanding shares for the specified security as used by NASDAQ in the calculation of NASDAQ index values. The number of total shares outstanding used by NASDAQ for index calculation reflects the value most recently reported for the security by the issuing corporation, via required SEC filings or other communication with NASDAQ, as adjusted for any corporate actions such as stock dividends. However, use and display of a newly reported value may be briefly delayed pending review for accuracy and/or the facilitation of the management of the indices. Also, values for certain non-U.S. securities may not include all shares globally issued and outstanding.

The TSO for OTCBB companies can be found on OTCBB.com, under the "Company Profile" section. Please see the following example.
Trading Halt
The temporary suspension of trading in a Nasdaq security, usually for 30 minutes, while material news from the issuer is being disseminated over the news wires. A trading halt gives all investors equal opportunity to evaluate news and make buy, sell, or hold decisions on that basis. A trading halt may also be imposed for purely regulatory reasons, either by The Nasdaq Stock Market or the SEC.
Two Sided Market
The obligation imposed by the NASD that Nasdaq Market Makers make both firm bids and firm asks in each security in which they make a market.
Unallocated Gain
Fund distributions that are not categorized as short, medium or long term.
Underwriter
The investment banking firm that brought the company public.
Volatility
The degree of price fluctuation for a given asset, rate, or index; usually expressed as a variance or standard deviation.
Volume
Total volume in each stock reported to The Nasdaq Stock Market from NASD members and exchanges trading Nasdaq securities between the hours of 8:00 A.M. and 5:15 P.M. EST.
Warrant
A certificate issued by a company giving the holder the right to purchase securities at a stipulated price within specific time limits or perpetually. A warrant is sometimes offered by a company as an inducement to buy an offering of common stock or other securities.
WEBS
World Equity Benchmark Shares — WEBS Index Shares represent a new approach to international investing, offering passive index management and facilitating targeted portfolio exposure. There's a WEBS Index Series for each of 17 countries. Each WEBS Index Series seeks to track the performance of a specific MSCI Index. Many of these indices have been used by investment professionals for more than 25 years. WEBS are listed on the American Stock Exchange and trade like any other stock.
Yield
In general, a return on an investor's capital investment. For bonds, the coupon rate of interest divided by the purchase price, called current yield. Also, the rate of return on a bond, taking into account the total of annual interest payments, the purchase price, the redemption value, and the amount of time remaining until maturity.

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