Term Glossary

Compare P/E to peers in the same industry - a 'high' or 'low' P/E only makes sense in context.

A rapidly falling Forward P/E (price stays flat, earnings estimates rise) is often a bullish sign.

Forward EPS is an estimate, not a fact. Watch revisions, not just the latest number.

Use the target as context next to valuation and growth, not as a buy or sell instruction.

Recommendation labels move slowly. Combine them with estimate revisions and the target range.

PEG is most useful for comparing growth stocks - it levels the playing field between slow and fast growers.

P/B is less useful for tech and services companies whose main assets are intangible (software, talent, brand).

Use EV/EBITDA next to P/E. If they disagree, check debt, cash, and how one-time items hit earnings.

BVPS matters most when assets are tangible and mark-to-market. Pair it with P/B and ROE.

P/S ignores profitability - a company with great revenue but terrible margins can still be a bad investment.

Market cap tells you size, not value. A $1T company can still be a bargain - or a $1B company can be wildly overvalued.

Use EV when comparing firms with different debt loads. Market cap alone ignores the capital structure.

Treat EBITDA as a starting point. Pair it with capex and FCF to see whether those earnings become cash.

Trending EPS matters more than a single number - look for consistent year-over-year growth.

Be cautious of very high ROE driven by heavy debt (leverage artificially inflates it). Check debt levels alongside ROE.

Compare ROA inside the same industry. Pair it with ROE to see how much leverage is boosting equity returns.

Sustained gross-margin expansion is one of the cleanest signs a product mix or cost structure is improving.

Watch the trend next to gross margin. Gross up and operating flat means spending below the line is eating the gain.

Operating income is the bridge from gross profit to net income. Interest and one-time items live below it.

Net income is the earnings number. Free cash flow is the cash number. Read both.

Revenue size is scale. Revenue growth is trajectory. Mix tells you which product is doing the work.

FCF yield is a valuation lens, not a payout. The company can still retain every dollar.

Do not flag a low current ratio as distress without looking at cash flow and the industry's normal working-capital cycle.

Read quick ratio next to operating cash flow. A low print with strong OCF is a working-capital style, not insolvency.

A printed 0.00 on a cash-rich mega-cap is often a data quirk, not a missed coupon. Check the cash-flow statement.

OCF is the bridge between the income statement and FCF. Persistent OCF below earnings deserves a closer look.

Compare profit margins within the same industry - a 5% margin is great for a retailer but terrible for a software company.

"Cash is king" - FCF is what pays dividends and buybacks. Earnings can be an illusion; FCF is real.

FCFPS can diverge from EPS when working capital or capex swing. Trust the cash figure for payout capacity.

Rising capex is not automatically bad — check whether FCF and returns on that spend stay healthy.

Cash is a snapshot. Pair it with total debt and free cash flow to see whether the pile is growing or shrinking.

Total debt is a dollar stock. Debt/Equity is the leverage ratio — they answer different questions.

A high payout is only sustainable if earnings and free cash flow cover it through a down year.

DPS is the check. Yield is DPS ÷ price. Payout ratio is DPS ÷ earnings. Read all three together.

Context matters: utilities and banks naturally carry high D/E, while tech companies typically run low.

Total debt is the gross borrowing. Net debt is what remains after the cash pile. They answer different questions.

Beta is a tool for risk management, not stock picking. Low-Beta stocks aren't automatically better investments.

High short interest isn't automatically bearish - a strong earnings surprise can trigger a short squeeze and rocket the price.

Watch the change in shares outstanding over time more than the headline number.

Float is a share count. Free-float % is a different field and is not short interest.

If Short % is N/A on Starter, that is missing short-interest data — not a free-float number in disguise.

This figure needs FMP Ultimate (13F). On Starter it stays N/A — that is not a data bug. Rising institutional ownership over time can signal growing conviction; watch SEC 13F filings for institutional moves.

The 52W range provides context, not a buy/sell signal by itself. Always pair with fundamentals.

Volume is context for the price change, not a thesis. Pair it with average volume and the news of the day.

Average volume is the liquidity yardstick. Compare today's volume to this, not to a friend in a different sector.

Negative working capital is a style for some businesses and a warning for others. Check cash flow before calling it a problem.

Do not mix the two meanings. A liquid stock can still belong to an illiquid company, and the reverse.

Volatility is a speed limit for the price, not a grade for the company. Beta is the same idea versus the market.

EPS can rise from buybacks alone. Confirm whether profits grew, or the share count just fell.

Decelerating revenue growth (e.g., from 50% to 25% to 10%) is often a warning sign even if growth is still positive.

Long-run stock prices tend to track earnings growth. A company that grows EPS at 15%/yr will likely see its stock appreciate similarly over time.

Price return is not the same as business growth. Pair it with revenue and earnings trends.

Short windows are noisy. Treat 6-month return as context, not a thesis by itself.

YoY is the default growth lens for seasonal businesses. Sequential (quarter-to-quarter) is a different question.

TTM is recent history. Forward figures are estimates. Do not mix them in the same sentence without saying so.

CAGR hides the ride. Pair it with the yearly path so a one-time spike does not look like a trend.

Buybacks are a use of FCF, not a source of it. Confirm the share count is actually falling.

A high, sustainable dividend yield with a growing payout history is a hallmark of quality income investments.

Read the 10-K for the year. Use 10-Qs to update it. Do not treat a Brief as a substitute for the filing.

The 10-K is the book. The 10-Q is the chapter that just landed.

An 8-K is a headline with a filing attached. Open it before you trust a secondary summary.

Vendor numbers are a convenience. The filing on EDGAR is the record.

Actuals are facts. Guidance is a claim. Consensus is an average of other people's claims.

Write the bull case in numbers you can check. If you cannot name what has to go right, it is not a case yet.

If you cannot state the bear case in two sentences, you have not pressure-tested the idea.

Mix is strategy in the numbers. Total revenue can look calm while the engine underneath has already changed.

Revenue mix tells you how the business is built. Stock drivers tell you what would change the valuation.

Revenue Engine is the map of the business. It is not a list of reasons the stock should go up.

Watch items are the 'if this moves…' list. Revenue mix is the 'how it is built' chart.

Name the catalyst and the date. Without both, you have a theme, not a tradeable setup.

Concentration tells you what you are really owning. Read Revenue Engine before you read the headline brand.

Numbers are in the statements. MD&A is management's explanation. Read both.

The signal is a headline on the data. It is not a substitute for your own thesis or the filings.

Use the scorecard to see which dimension is carrying the signal and which is the offset.

Consensus is the hurdle. Guidance is the company's hurdle. Actuals are what already happened.

Fundamentals tell you what the business earned. The multiple tells you what the market is willing to pay for it.

"The trend is your friend." In a bull market, broadly diversified stock exposure tends to outperform most active strategies.

Every bear market in U.S. history has been followed by a bull market that reached new all-time highs. Long-term investors stay the course.

Diversifying across sectors reduces the risk that one industry's downturn wipes out your portfolio.

SWOT is a starting point, not a verdict. Use it to frame questions: Is management capitalizing on opportunities? Are the threats existential or manageable?

DCA removes the pressure of timing the market. It's the strategy most financial advisors recommend for long-term investors building wealth.

As the saying goes: don't put all your eggs in one basket. True diversification means assets that genuinely behave differently - not 20 tech stocks.

Name the mechanism (switching costs, network, scale, brand). 'Great company' is not a moat.

Valuation is relative — context from peers and history matters more than the number alone.

Valuation is relative — context from peers and history matters more than the number alone.

Valuation is relative — context from peers and history matters more than the number alone.

Valuation is relative — context from peers and history matters more than the number alone.

Valuation is relative — context from peers and history matters more than the number alone.

Valuation is relative — context from peers and history matters more than the number alone.

Valuation is relative — context from peers and history matters more than the number alone.

Valuation is relative — context from peers and history matters more than the number alone.

Valuation is relative — context from peers and history matters more than the number alone.

Valuation is relative — context from peers and history matters more than the number alone.

Valuation is relative — context from peers and history matters more than the number alone.

Valuation is relative — context from peers and history matters more than the number alone.

Valuation is relative — context from peers and history matters more than the number alone.

Valuation is relative — context from peers and history matters more than the number alone.

Valuation is relative — context from peers and history matters more than the number alone.

Valuation is relative — context from peers and history matters more than the number alone.

Valuation is relative — context from peers and history matters more than the number alone.

Valuation is relative — context from peers and history matters more than the number alone.

Valuation is relative — context from peers and history matters more than the number alone.

Valuation is relative — context from peers and history matters more than the number alone.

Valuation is relative — context from peers and history matters more than the number alone.

Valuation is relative — context from peers and history matters more than the number alone.

Valuation is relative — context from peers and history matters more than the number alone.

Valuation is relative — context from peers and history matters more than the number alone.

Valuation is relative — context from peers and history matters more than the number alone.

Valuation is relative — context from peers and history matters more than the number alone.

Valuation is relative — context from peers and history matters more than the number alone.

Valuation is relative — context from peers and history matters more than the number alone.

Valuation is relative — context from peers and history matters more than the number alone.

Valuation is relative — context from peers and history matters more than the number alone.

Profitability metrics explain how much of revenue becomes owner earnings.

Profitability metrics explain how much of revenue becomes owner earnings.

Profitability metrics explain how much of revenue becomes owner earnings.

Profitability metrics explain how much of revenue becomes owner earnings.

Profitability metrics explain how much of revenue becomes owner earnings.

Profitability metrics explain how much of revenue becomes owner earnings.

Profitability metrics explain how much of revenue becomes owner earnings.

Profitability metrics explain how much of revenue becomes owner earnings.

Profitability metrics explain how much of revenue becomes owner earnings.

Profitability metrics explain how much of revenue becomes owner earnings.

Profitability metrics explain how much of revenue becomes owner earnings.

Profitability metrics explain how much of revenue becomes owner earnings.

Profitability metrics explain how much of revenue becomes owner earnings.

Profitability metrics explain how much of revenue becomes owner earnings.

Profitability metrics explain how much of revenue becomes owner earnings.

Profitability metrics explain how much of revenue becomes owner earnings.

Profitability metrics explain how much of revenue becomes owner earnings.

Profitability metrics explain how much of revenue becomes owner earnings.

Profitability metrics explain how much of revenue becomes owner earnings.

Profitability metrics explain how much of revenue becomes owner earnings.

Profitability metrics explain how much of revenue becomes owner earnings.

Profitability metrics explain how much of revenue becomes owner earnings.

Profitability metrics explain how much of revenue becomes owner earnings.

Profitability metrics explain how much of revenue becomes owner earnings.

Profitability metrics explain how much of revenue becomes owner earnings.

Profitability metrics explain how much of revenue becomes owner earnings.

Profitability metrics explain how much of revenue becomes owner earnings.

Profitability metrics explain how much of revenue becomes owner earnings.

Profitability metrics explain how much of revenue becomes owner earnings.

Profitability metrics explain how much of revenue becomes owner earnings.

Know what you own, how it moves, and what can break the thesis.

Know what you own, how it moves, and what can break the thesis.

Know what you own, how it moves, and what can break the thesis.

Know what you own, how it moves, and what can break the thesis.

Know what you own, how it moves, and what can break the thesis.

Know what you own, how it moves, and what can break the thesis.

Know what you own, how it moves, and what can break the thesis.

Know what you own, how it moves, and what can break the thesis.

Know what you own, how it moves, and what can break the thesis.

Know what you own, how it moves, and what can break the thesis.

Know what you own, how it moves, and what can break the thesis.

Know what you own, how it moves, and what can break the thesis.

Know what you own, how it moves, and what can break the thesis.

Know what you own, how it moves, and what can break the thesis.

Know what you own, how it moves, and what can break the thesis.

Know what you own, how it moves, and what can break the thesis.

Know what you own, how it moves, and what can break the thesis.

Know what you own, how it moves, and what can break the thesis.

Know what you own, how it moves, and what can break the thesis.

Know what you own, how it moves, and what can break the thesis.

Know what you own, how it moves, and what can break the thesis.

Know what you own, how it moves, and what can break the thesis.

Know what you own, how it moves, and what can break the thesis.

Know what you own, how it moves, and what can break the thesis.

Know what you own, how it moves, and what can break the thesis.

Know what you own, how it moves, and what can break the thesis.

Know what you own, how it moves, and what can break the thesis.

Know what you own, how it moves, and what can break the thesis.

Separate organic from inorganic, and volume from price, before underwriting growth.

Separate organic from inorganic, and volume from price, before underwriting growth.

Separate organic from inorganic, and volume from price, before underwriting growth.

Separate organic from inorganic, and volume from price, before underwriting growth.

Separate organic from inorganic, and volume from price, before underwriting growth.

Separate organic from inorganic, and volume from price, before underwriting growth.

Separate organic from inorganic, and volume from price, before underwriting growth.

Separate organic from inorganic, and volume from price, before underwriting growth.

Separate organic from inorganic, and volume from price, before underwriting growth.

Separate organic from inorganic, and volume from price, before underwriting growth.

Separate organic from inorganic, and volume from price, before underwriting growth.

Separate organic from inorganic, and volume from price, before underwriting growth.

Separate organic from inorganic, and volume from price, before underwriting growth.

Separate organic from inorganic, and volume from price, before underwriting growth.

Separate organic from inorganic, and volume from price, before underwriting growth.

Separate organic from inorganic, and volume from price, before underwriting growth.

Separate organic from inorganic, and volume from price, before underwriting growth.

Separate organic from inorganic, and volume from price, before underwriting growth.

Separate organic from inorganic, and volume from price, before underwriting growth.

Separate organic from inorganic, and volume from price, before underwriting growth.

Separate organic from inorganic, and volume from price, before underwriting growth.

Separate organic from inorganic, and volume from price, before underwriting growth.

Separate organic from inorganic, and volume from price, before underwriting growth.

Separate organic from inorganic, and volume from price, before underwriting growth.

Separate organic from inorganic, and volume from price, before underwriting growth.

Separate organic from inorganic, and volume from price, before underwriting growth.

Separate organic from inorganic, and volume from price, before underwriting growth.

Separate organic from inorganic, and volume from price, before underwriting growth.

Income investing is about cash you keep, not just the headline yield.

Income investing is about cash you keep, not just the headline yield.

Income investing is about cash you keep, not just the headline yield.

Income investing is about cash you keep, not just the headline yield.

Income investing is about cash you keep, not just the headline yield.

Income investing is about cash you keep, not just the headline yield.

Income investing is about cash you keep, not just the headline yield.

Income investing is about cash you keep, not just the headline yield.

Income investing is about cash you keep, not just the headline yield.

Income investing is about cash you keep, not just the headline yield.

Income investing is about cash you keep, not just the headline yield.

Income investing is about cash you keep, not just the headline yield.

Income investing is about cash you keep, not just the headline yield.

Income investing is about cash you keep, not just the headline yield.

Income investing is about cash you keep, not just the headline yield.

Income investing is about cash you keep, not just the headline yield.

Income investing is about cash you keep, not just the headline yield.

Income investing is about cash you keep, not just the headline yield.

Income investing is about cash you keep, not just the headline yield.

Income investing is about cash you keep, not just the headline yield.

Read filings for what changed, not just the headline numbers.

Read filings for what changed, not just the headline numbers.

Read filings for what changed, not just the headline numbers.

Read filings for what changed, not just the headline numbers.

Read filings for what changed, not just the headline numbers.

Read filings for what changed, not just the headline numbers.

Read filings for what changed, not just the headline numbers.

Read filings for what changed, not just the headline numbers.

Read filings for what changed, not just the headline numbers.

Read filings for what changed, not just the headline numbers.

Read filings for what changed, not just the headline numbers.

Read filings for what changed, not just the headline numbers.

Read filings for what changed, not just the headline numbers.

Read filings for what changed, not just the headline numbers.

Read filings for what changed, not just the headline numbers.

Read filings for what changed, not just the headline numbers.

Read filings for what changed, not just the headline numbers.

Read filings for what changed, not just the headline numbers.

Read filings for what changed, not just the headline numbers.

Read filings for what changed, not just the headline numbers.

Read filings for what changed, not just the headline numbers.

Read filings for what changed, not just the headline numbers.

Read filings for what changed, not just the headline numbers.

Read filings for what changed, not just the headline numbers.

Read filings for what changed, not just the headline numbers.

Read filings for what changed, not just the headline numbers.

Read filings for what changed, not just the headline numbers.

Read filings for what changed, not just the headline numbers.

Read filings for what changed, not just the headline numbers.

Read filings for what changed, not just the headline numbers.

Read filings for what changed, not just the headline numbers.

Read filings for what changed, not just the headline numbers.

Read filings for what changed, not just the headline numbers.

Read filings for what changed, not just the headline numbers.

Markets price the future — macro context frames every stock story.

Markets price the future — macro context frames every stock story.

Markets price the future — macro context frames every stock story.

Markets price the future — macro context frames every stock story.

Markets price the future — macro context frames every stock story.

Markets price the future — macro context frames every stock story.

Markets price the future — macro context frames every stock story.

Markets price the future — macro context frames every stock story.

Markets price the future — macro context frames every stock story.

Markets price the future — macro context frames every stock story.

Markets price the future — macro context frames every stock story.

Markets price the future — macro context frames every stock story.

Markets price the future — macro context frames every stock story.

Markets price the future — macro context frames every stock story.

Markets price the future — macro context frames every stock story.

Markets price the future — macro context frames every stock story.

Markets price the future — macro context frames every stock story.

Markets price the future — macro context frames every stock story.

Markets price the future — macro context frames every stock story.

Markets price the future — macro context frames every stock story.

Markets price the future — macro context frames every stock story.

Markets price the future — macro context frames every stock story.

Markets price the future — macro context frames every stock story.

Markets price the future — macro context frames every stock story.

Markets price the future — macro context frames every stock story.

Markets price the future — macro context frames every stock story.

Markets price the future — macro context frames every stock story.

Markets price the future — macro context frames every stock story.

Markets price the future — macro context frames every stock story.

Markets price the future — macro context frames every stock story.