The data points you need are: The portfolio weight of Stock 1 and Stock 2. Calculate this by dividing the value of each position by the total portfolio value. Let's label these values W1 and W2.

Preferred stock combines features of both equity and debt. Unlike common stock, preferred shares often offer fixed dividends and priority in asset distribution, making them attractive for ...

Calculating the value of preferred stock involves taking into account fixed dividend payments and the required rate of return. This method can help you determine whether a preferred stock aligns ...

When investors assess stocks, they often look beyond the market price to determine a company's true worth, known as its intrinsic value. It represents the fundamental value of a stock based on the ...

Most of the time, you calculate the cost basis for inherited stock by determining the fair market value of the stock on the date that the person in question died. Sometimes, however, the person's ...

The P/E ratio helps investors determine the market value of a stock compared with the company’s earnings. It shows what the market is willing to pay for a stock based on its past or future earnings.

Fundamental analysis seeks to determine whether a ... ratio where a company's stock price is divided by its book value, where book value equals the net value of all the company's assets; the ...

Instead, investors will compare EPS with the share price of the stock to determine the value of earnings and how investors feel about future growth. Say that the calculation of EPS for three ...