A stock valuation system that uses over 100 variables in seven major categories to determine the value of a stock. The overall score for a particular stock is determined by a weighted average of all 100 variables. Taobiz explains Quadrix The seven categories of variables used in quadrix are momentum, quality, value, financial strength, forecasted earnings, performance, and volume.
The ticker symbol for the Nasdaq 100 Trust, an ETF that trades on the Nasdaq. This security offers broad exposure to the tech sector by tracking the Nasdaq 100 Index, which consists of the 100 largest and most actively traded non-financial stocks on the Nasdaq. It is also known as "cubes" or the "quadruple-Qs". This was formerly known as the QQQ. Taobiz explains QQQQ The QQQQ is a great way to invest in the long-term prospects of the technology industry. It offers diversification across various companies and business types with a range of market caps.
The price that an investor pays for a security. This price is important as it is the main component in calculating the returns achieved by the investor. Essentially, it can be thought of as the price that is paid for anything that is bought. Taobiz explains Purchase Price For example, if an investor buys Ford stock at $15, then this would be the purchase price. When looking at the return on the investment, the investor would compare the purchase price of $15 to the price the investment was sold at or the current market price for Ford. Purchase price can also refer to the price that a company pays for an item, such as another company. For example, if Ford bought Kia for $3.5 billion, this would be Ford's purchase price.
A warrant that gives the holder the right to sell the underlying share for an agreed price on or before a specified date. Taobiz explains Put Warrant Basically, it's a warrant that gives the right to sell.
A company devoted to one line of business, or a company whose stock price is highly correlated with the fortunes of a specific investing theme or strategy. Taobiz explains Pure Play For example, a startup R&D company developing a new technology would be considered pure play because its success depends upon a single product. Coca-Cola would also be considered a pure play in the beverage business. Whereas Pepsi wouldn't be pure play, because it has activities in the food business.
A time interval that captures all relevant company activity that occurred between the beginning of the current quarter and the time in which the data was gathered. Quarter to date information is typically gathered in situations when the entire quarterly period has not ended yet, and it can allow management to see how the quarter is shaping up. Taobiz explains Quarter To Date - QTD For example, a company may have software that is tracking its revenue for the quarter to date. If the information is suggesting that QTD revenue is dramatically lower than the same quarter from last year, this updated data will allow management to start looking for trends to see what is different compared to last year. Further analysis can also determine if any changes will need to be made in order to improve the situation.
A measuring technique that calculates the change between one financial quarter and the previous financial quarter. This is similar to the year-over-year measure, which compares the quarter of one year (Q1 2005) to the same quarter of the previous year (Q1 2004). The measure gives investors and analysts an idea of how a company is growing over each quarter. Taobiz explains Quarter On Quarter - QOQ For example, the QOQ measure can be used to compare the earnings between quarters. Let's say that the ABC Company's first quarter earnings were $1.50 per share and its second quarter earnings were $1.75 per share. This means that the company has grown its earnings by 16.6% quarter-on-quarter ($1.75-$1.50/$1.50), which is a good sign for investors.
Trading strategies based on quantitative analysis which rely on mathematical computations and number crunching to identify trading opportunities. Price and volume are two of the more common data inputs used in quantitative analysis as the main inputs to mathematical models. As quantitative trading is generally used by financial institutions and hedge funds, the transactions are usually large in size and may involve the purchase and sale of hundreds of thousands of shares and other securities. However, quantitative trading is also commonly used by individual investors. Taobiz explains Quantitative Trading Quantitative trading techniques include high-frequency trading, algorithmic trading and statistical arbitrage. These techniques are believed to contribute to increased market volatility because of the rapid-fire nature of their trading and extremely short investment horizon. Many individual investors are more familiar with quantitative tools such as moving averages and oscillators.