| Quarterly
Report (10 Q) |
A
report, which public companies are required to file quarterly with
the SEC, that provides unaudited financial information and other
selected material. |
| Quick
Ratio |
Indicator
of a company's financial strength (or weakness). Calculated by taking
current assets less inventories, divided by current liabilities.
Also called Acid Test. |
| Quote |
The
highest bid to buy and the lowest offer to sell any stock at a given
time. |
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| Rally |
A
brisk rise following a decline in the general price level of the
market, or in an individual stock. |
| Rate
of Return |
In
stocks and bonds, the amount of money returned to investors on their
investments. Also known as yield. |
| Real-time
Trade Reporting |
A
requirement imposed on Market
Makers (and in some instances, non-Market Makers) to report each
trade immediately after completion of the transaction. Stocks traded
on The Nasdaq Stock Market are subject to real-time trade reporting
within 90 seconds of execution. |
| Recession |
A
period of no or negative economic growth and high unemployment. |
| Record
Date |
The
date on which you must be registered as a shareholder of a company
in order to receive a declared dividend or,
among other things, to vote on company affairs. (see Ex-Dividend, Transfer) |
| Redemption
Price |
The
price at which a bond may
be redeemed before maturity, at the option of the issuing company.
Redemption value also applies to the price the company must pay to
call in certain types of preferred
stock. (see Callable) |
| Red
Herring |
(see Prospectus) |
| Refinancing |
Same
as refunding. New securities are sold by a company and the money
is used to retire existing securities. Object may be to save interest
costs, extend the maturity of the loan, or both. |
| Registered
Bond |
A
bond that is registered on the books of the issuing company in the
name of the owner. It can be transferred only when endorsed by the
registered owner. (see Bearer
Bond, Coupon Bond) |
| Registered
Competitive Market Maker |
Members
of a stock exchange who trade on the floor for their own or their
firm's account and who have an obligation, when called upon by an
Exchange official, to narrow a quote or improve the depth of an existing
quote by their own bid or offer. |
| Registered
Representative |
The
person, normally employed by a brokerage firm or broker/dealer, who
acts as an account executive for customers to buy and sell securities.
The term registered means the individual has passed qualifying securities
examinations and is registered with the SEC. |
| Registrar |
Usually
a trust company or bank charged with the responsibility of keeping
a record of the owners of a corporation's securities and preventing
the issuance of more than the authorized amount. (see Transfer) |
| Registration |
Before
a public offering may be made of new securities by a company, the
securities must be registered under the Securities Act of 1933. A
registration statement is filed with the SEC by the issuer. It must
disclose pertinent information relating to the company's operations,
securities, management and purpose of the public offering. Before
a security may be admitted to dealings on a national security exchange,
it must be registered under the Securities Exchange Act of 1934.
The application for registration must be filed with the exchange
and the SEC by the company issuing the securities. |
| Regulation
T |
The
federal regulation governing the amount of credit that may be advanced
by brokers and dealers to customers for the purchase of securities.
(see Margin) |
| Regulation
U |
The
federal regulation governing the amount of credit that may be advanced
by a bank to its customers for the purchase of listed stock. (see Margin) |
| Regulatory
Pyramid |
A
network of safeguards that surrounds the securities industry - from
individual brokerages all the way up to the U.S. Congress. |
| Reinvest |
Funnelling
of profits back into a company to enhance its operations. An individual
stockowner can also reinvest by designating that dividends paid on
stock will be used to purchase additional shares of that stock. |
| REIT |
Real
Estate Investment Trust, an organization similar to an investment
company in some respects but concentrating its holdings in real estate
investments. The yield is generally liberal since REITs are required
to distribute as much as 90% of their income. (see Investment
Company) |
| Relative
Strength |
A
stock's price movement over the past year as compared to a market
index (i.e. the S&P 500). Value below 1.0 means the stock shows
relative weakness in price movement (underperformed the market);
a value above 1.0 means the stock shows relative strength over the
1-year period. |
| Retained
Earnings |
Profits
a company keeps for its operations, after paying taxes and dividends. |
| Retracement |
A
price movement in the opposite direction of the previous trend. |
| Return
of Capital |
A
distribution of cash resulting from depreciation tax savings, the
sale of a capital asset or of securities in a portfolio, or any other
transaction unrelated to retained earnings. |
| Return
on Equity |
A
measure of the net income that a firm is able to earn as a percent
of stockholders' investment (net income divided by shareholders'
equity). |
| Return
on Total Assets |
A
measure of the net income that a firm's management is able to earn
with the firm's total assets (net income divided by total net assets). |
| Reverse
Stock Split |
(see Stock
Split) |
| Rights |
When
a company wants to raise more funds by issuing additional securities,
it may give its stockholders the opportunity, ahead of others, to
buy the new securities in proportion to the number of shares each
owns. The piece of paper evidencing this privilege is called a right.
Because the additional stock is usually offered to stockholders below
the current market price, rights ordinarily have a market value of
their own and are actively traded. In most cases they must be exercised
within a relatively short period. Failure to exercise or sell rights
may result in monetary loss to the holder. (see Warrant) |
| Right
to vote |
The
right of common stockholders to vote on matters of corporate policy
at an annual stockholder's meeting. The impact of a stockholder's
vote is proportionate to the amount of stock owned. |
| Round
Lot Order |
An
order to buy or sell in multiples of 100 shares.
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