Stocks = (also known as “shares” or “equity”) is a type of security that signifies proportionate ownership in the issuing corporation. This entitles the stockholder to that proportion of the corporation’s assets and earnings.

Beta = a measure of the volatility, or systematic risk, of an individual stock in comparison to the unsystematic risk of the entire market. Beta describes the activity of a security’s returns responding to swings in the market. A Beta of 1 or higher means it will go WITH the market in an uptrend or downtrend. A Beta of -1 means it will do the opposite of the market trend.

PE Ratio = The price-to-earnings ratio (P/E ratio) is the ratio for valuing a company that measures its current share price relative to its per-share earnings (EPS). P/E ratios are used by investors and analysts to determine the relative value of a company’s shares. “P/E (TTM),” where “TTM” is a Wall Street acronym for “trailing 12 months.” The price-to-earnings ratio or P/E is one of the most widely-used stock analysis tools used by investors and analysts for determining stock valuation and showing whether a company’s stock price is overvalued or undervalued. A high P/E suggests that investors are expecting higher earnings growth in the future compared to companies with a lower P/E. A low P/E can indicate either that a company may currently be undervalued or that the company is doing exceptionally well relative to its past trends.

EPS = Earnings per share. The number serves as an indicator of a company’s profitability. The higher a company’s EPS, the more profitable it is considered. The earnings per share metric are one of the most important variables in determining a share’s price.

PEG Ratio = The price/earnings to growth ratio (PEG ratio) is a stock’s price-to-earnings (P/E) ratio divided by the growth rate of its earnings for a specified time period, usually a 5-year estimation. The PEG ratio is used to determine a stock’s value while also factoring in the company’s expected earnings growth. The lower the PEG ratio, the more the stock may be undervalued given its future earnings expectations. The degree to which a PEG ratio result indicates an over or underpriced stock varies by industry and by company type. As a broad rule of thumb, some investors feel that a PEG ratio below one is desirable.

Dividend = A dividend is the distribution of reward from a portion of the company’s earnings and is paid to a class of its shareholders. Dividends are decided and managed by the company’s board of directors, though they must be approved by the shareholders through their voting rights. Dividends can be issued as cash payments, as shares of stock, or other property, though cash dividends are the most common. These are considered income and are taxable.

Forward Dividend Yield = A forward dividend yield is an estimation of a year’s dividend expressed as a percentage of the current stock price.

Profit Margin = Profit margin is one of the commonly used profitability ratios to gauge the degree to which a company or a business activity makes money. It represents what percentage of sales has turned into profits. Simply put, the percentage figure indicates how many cents of profit the business has generated for each dollar of sale.

Revenue = the income that a business has from its normal business activities, usually from the sale of goods and services to customers and is sometimes refereed to as “the top-line.” Generally it is the amount of money a company brought in, before paying expenses and taxes.

Earnings = Typically refer to after-tax net income, sometimes known as “the bottom-line” or a company’s profits. Earnings are the main determinant of a company’s share price and is the remaining income after all expenses and taxes are paid. The quarterly earnings calls and reports are extremely important to stock prices.

ESG Risk Rating = Environmental, social and governance (ESG) principles and how these three elements impact a company and the value. Contained within this is SRI (socially responsible investing) but this is more of a opinionated emotional outlook on a company that is incorporated into investment decision making. Finally, you have Impact Investing, and this is essentially investment “activism.”