What is a stock?
A stock, also known as equity or shares, represents ownership in a company. When you buy a stock, you become a part-owner of the company and have the right to vote on major decisions.
Types of stocks
- Common stock: represents ownership in a company
How to analyze stocks
To analyze stocks, look at factors such as the company's financial health, industry trends, and competitive position. You can also consider metrics like EPS (Earnings Per Share), P/E ratio, and dividend yield.