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Demystifying some of the most important acronyms in investing


First contact with something new is always frustrating.

It seems like a quote one could pin to the Facebook wall and forget, but we think this statement requires some more thinking. Not that it's hard to understand, on the contrary, it's very simple - but we often tend to forget this when we get into something new, although keeping this in mind will help relief some stress and not give up learning.

Our philosophy, at StocksGeneral, is that every person is capable of generating money in the Stock Market, no matter the experience, and it would be a pity if we didn't do everything we can to make life easier of those new to investing.
This is why we would like to demystify some of the acronyms one would certainly come across when researching for stocks to invest in.

The list of acronyms investors often use

Tick Company's Trading(Ticker) Symbol
Market Cap Market Capitalization
EPS Earnings per Share
FCF Free Cash Flow
PE (Ratio) Price to Earnings (Ratio)
PEG (Ratio) Price to Earnings (Ratio) Growth
PFCF (Ratio) Price to Free Cash Flow (Ratio)
PS (Ratio) Price to Sales/Revenue (Ratio)
PB (Ratio) Price to Book Value (Ratio)
EBIT Earnings Before Interest and Taxes
EBITDA Earnings Before Interest, Taxes, Depreciation and Amortization
ROA Return On Assets
ROI/ROIC Return On Investment/(ed) Capital
ROE Return On Equity
TTM Trailing Twelwe Months
YTD Year-to-Date
DCF Discounted Cash Flow
SMA Simple Moving Average
MACD Moving Average Convergence-Divergence