Financial Glossary

Master the language of the markets. 2 terms and counting.

P/E Ratio (Price-to-Earnings)

Fundamentals

A valuation ratio calculated by dividing a stock's current price by its earnings per share. Used to determine if a stock is over- or under-valued relative to its earnings.

Portfolio

General

A collection of financial investments such as stocks, bonds, commodities, and cash equivalents held by an individual or institution.