WEBVTT

00:00:10.110 --> 00:00:12.112
A stock quote is a snapshot of

00:00:12.112 --> 00:00:14.681
a company’s price and other
information that can help

00:00:14.681 --> 00:00:16.583
you understand its
performance and make

00:00:16.583 --> 00:00:18.018
investment decisions.

00:00:18.018 --> 00:00:20.821
In this short video, we’ll
take a look at how to read a

00:00:20.821 --> 00:00:22.956
typical stock quote.

00:00:22.956 --> 00:00:25.559
To get started, let's look
up a quote on the home

00:00:25.559 --> 00:00:29.529
screen when we log in.

00:00:29.529 --> 00:00:35.869
Here’s what comes up when we
search for Royal Bank of
Canada, or quote symbol RY.

00:00:35.869 --> 00:00:39.106
Now let’s take a closer
look.

00:00:39.106 --> 00:00:42.109
Quote information can change
frequently, so always make

00:00:42.109 --> 00:00:45.412
sure you’re looking at the
most recent information.

00:00:45.412 --> 00:00:48.348
This is how a detailed quote
appears when you look it up

00:00:48.348 --> 00:00:50.784
on RBC Direct Investing.

00:00:50.784 --> 00:00:53.954
In general, all quotes
include: the stock’s ticker

00:00:53.954 --> 00:00:58.458
symbol … the stock’s listing
exchange and market where it

00:00:58.458 --> 00:01:03.764
is bought and sold … the
stock’s price … and the net

00:01:03.764 --> 00:01:10.470
change in price Now let’s
look at the stock’s price
information.

00:01:10.470 --> 00:01:13.240
Open means the price of
the stock’s first trade

00:01:13.240 --> 00:01:15.075
after the markets open.

00:01:15.075 --> 00:01:18.545
Bid is the maximum that
buyers are willing to pay

00:01:18.545 --> 00:01:20.814
for one lot of shares.

00:01:20.814 --> 00:01:24.618
Bid size is the number of
lots that buyers are willing

00:01:24.618 --> 00:01:27.120
to buy at the highest bid.

00:01:27.120 --> 00:01:31.425
Ask means the lowest price
the sellers will accept and

00:01:31.425 --> 00:01:35.595
Size is the number of lots
offered at that price.

00:01:35.595 --> 00:01:38.699
Previous close is the price
of the stock at the end of

00:01:38.699 --> 00:01:41.268
the last trading day.

00:01:41.268 --> 00:01:44.538
Share volume shows if the
stock is currently trading

00:01:44.538 --> 00:01:47.140
more or less than its
average daily volume of

00:01:47.140 --> 00:01:50.777
shares traded at this time
of day.

00:01:50.777 --> 00:01:53.981
These high/low numbers help
us compare the highest and

00:01:53.981 --> 00:01:57.217
lowest prices that the stock
reached on the day the quote

00:01:57.217 --> 00:02:01.888
is viewed and over the
previous year.

00:02:01.888 --> 00:02:05.592
A stock’s Earnings Per
Share, or EPS, can be

00:02:05.592 --> 00:02:08.895
determined by dividing the
company’s net income by the

00:02:08.895 --> 00:02:11.732
number of shares
outstanding.

00:02:11.732 --> 00:02:15.836
The Price-to-Earnings or P/E
ratio can be determined by

00:02:15.836 --> 00:02:20.073
dividing the stock’s current
price by the EPS.

00:02:20.073 --> 00:02:23.143
Next earnings is the date
when the company is expected

00:02:23.143 --> 00:02:25.746
to announce their earnings.

00:02:25.746 --> 00:02:29.049
Some quotes include a beta,
which sheds light on how

00:02:29.049 --> 00:02:32.652
volatile the stock price is
relative to the market.

00:02:32.652 --> 00:02:35.489
Price volatility doesn’t
necessarily mean a stock is

00:02:35.489 --> 00:02:38.525
the right investment, but
the beta can help show how

00:02:38.525 --> 00:02:43.296
the stock’s price fluctuates
with market activity.

00:02:43.296 --> 00:02:52.172
A stock may pay shareholders
income every quarter in the
form of a dividend.

00:02:52.172 --> 00:02:54.307
This is information about
company’s market

00:02:54.307 --> 00:02:57.244
capitalization, which means
the market value of the

00:02:57.244 --> 00:03:01.982
company’s outstanding shares.

00:03:01.982 --> 00:03:04.651
Many quotes also include
information that can help

00:03:04.651 --> 00:03:07.521
you further analyze the
company you’re researching –

00:03:07.521 --> 00:03:10.323
performance charts for
different time periods, news

00:03:10.323 --> 00:03:13.060
about the company,
third-party research,

00:03:13.060 --> 00:03:15.228
company financials and more.

00:03:15.228 --> 00:03:18.065
All of this information is
useful in helping you decide

00:03:18.065 --> 00:03:22.769
whether or not to invest in
the company.

00:03:22.769 --> 00:03:25.205
Real-time quotes are just
one of the features you can

00:03:25.205 --> 00:03:28.275
access through RBC Direct
Investing – to help you find

00:03:28.275 --> 00:03:30.944
the information you need to
make investment decisions

00:03:30.944 --> 00:03:33.413
with confidence.

00:03:33.413 --> 00:03:36.416
To get started, log into
your account, or visit

00:03:36.416 --> 00:03:39.853
rbcdirectinvesting.com today.

00:03:41.121 --> 00:03:43.423
♪♪