What is meant by going public ?

An expression used to describe the first public selling of shares of an institution that previously sold shares privately

What is fundamental analysis ?

An analysis of stocks based on fundamental factors, such as company earnings, growth potential, etc., to determine a company's worth, strength, and potential for growth

Who is financial planner ?

An investment professional who helps with financial plans for specific goals and assists in the coordination of financial concerns

What is financial strength ?

A company's financial condition as seen by its analysts .Value Line rates financial strength on a scale from A++ to C.

What is DCA (dollar cost averaging) ?

A system of buying securities at regular intervals, using a fixed amount of cash over a considerable period of time regardless of the prevailing prices of the securities .DCA protects against the risk of losing a sum of money invested all at once at an inopportune time, e.g., right before a price drop.

What is diversification ?

The process of buying securities in different investment types, industry types, risk levels, and companies in order to reduce the loss from a possible company-local or industry-local loss of business .Diversification is illustrated by a famous saying, "Don't put all your eggs in one basket."

What is cyclical industry ?

An industry whose success is closely linked to the rise and fall of the general economy . For example the auto industry is a cyclical industry.

What is Capital Loss ?

A decrease from the purchase price to the selling price of common stock or any other capital asset; a loss from the sale of investments or property

What is Capital gain ?

An increase from the purchase price to the selling price of common stock or any other capital asset; profit from the sale of investments or property .A capital gain that persists for one year or less is called a short-term capital gain. Likewise, one that persists for more than one year is called a long-term capital gain.

What is beta ?

The indicator used by Value Line to measure a stock's risk relative to the market, in this case the NYSE Index. The market's beta is always 1.0 (Based on past statistical records, a beta higher than 1.0 indicates that when the market rises, the stock will rise to a greater extent than that of the market; likewise, when the market falls, the stock will fall to a greater extent. A beta lower than 1.0 indicates that the stock will usually change to a lesser extent than that of the market. The higher the beta, the greater the investment risk.)