Dolans Recommended

How to Read Stock Quotes 101

Do you really, really know what the numbers mean when you look through the stock market quotes? Here's another basic tutorial, just to be sure you have it right. We won't tell anyone you're reading it!

Price: The current price of the investment

Previous close: The price at the end of the prior trading day.

Change: The difference between the current price and the previous close.

52-Week High, Low: Highest and lowest price during the preceding 52-week period.

Dividend: The dividend per share denoted in a dollar amount.

Yield: The dividend computed as a percentage of the current stock price.

PE: Price-to-earning ratio, derived from dividing the company's stock price per share by earnings per share. As we've talked about, this is one of our favorite gauges of whether a stock is overvalued or not. Stocks with stratospheric P/E ratios have to show quick growth to meet analysts' expectations.

Volume: Number of shares sold during the day, in thousands. You should also be able to find average volume to see how that day's trading activity compares.

Day's Range: The high and low prices for that particular day.

Market capitalization: The total market value of a company, derived by multiplying the current price per share by the number of shares available to investors.

Learn more investing basics:

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How You Can Become a Millionaire!


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Smart Money Moves for a Richer 2009

Make 2009 the year you make your money work as hard for you as you work for it! It's easier than you think. Our simple, easy to use tips will help you make and save money throughout 2009. More Video > >