Stock Market Terminology And Market-Related Concepts
Stock Market Terminology And Market-Related Concepts:- What Is Dividends:- As we learned earlier, one part is a part of the company. When the company makes a profit, you often get a share of it. This is the idea behind Dividends . Every year, companies distribute a small number of profits to investors in the form of Dividends . This is the primary source of income for long term shareholders - those who do not sell stock together for years. What Is Market Capitalization:- Different companies issue different types of shares when they are listed. The value of stock varies from the stock of the other company. Market Capitalization makes these differences smooth. This is many times more market value than the total number of shares held by the public. Thus, it reflects the total market value of the stock, which takes into account both the size and value of the stock. For example, if the price of a stock is Rs. 20 per share, and public investors have 100,000 shares, its marke