Shares5554

In this website we can find important measures of a company's performance, we find a brief explanation of what shares and other concepts are.

The first one is Shares:
Buying a share gives its holder part of the ownership of a company; also shares allow their owners to vote at a company’s Annual General Meeting (AGM) and to receive a proportion of distributed profits in the form of a dividend

The assets:
The assets of the company comprise its cash-in-hand, it’s anything owed by a business (buildings, machines, fittings and so on) and work-in-hand, that can be use to pay liabilities or to produce goods

Nominal Share Value:
Most shares have a nominal value; and this is the value granted to the owner at the time of emission (usually 25p) which at first represented the asset value of the company. All issued shares representing the entire share capital.
Also we can find other type of shares which are called “A”, these are some non-voting shares for certain companies, and were created to ensure that the control of the company remains in the founding family.

The Dividend and its Cover:
The dividend of the company is that proportion of its profits paid to its owners. The shareholders also disclaim other portion of it to create new resources for the company that can be used for new investment projects. The cover of the dividend is the number of times the company could have paid the dividend with its profit.

P/E Ratio:
We can define the company’s profits as earnings. When the earnings are divided by the number of shares in existence, we get the 'earnings per share' (eps). However not at all earnings are paid as a dividend so in the future they will be needed by the company to replay the share price. However, it is expected that earnings and dividends will increase each year.

And finally the yield:
is expressed as a net percentage (ie after income tax) of the current share price.
The yields in each country are usually lower than the interest which could be more safely obtained.

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