Financial Glossary
Quick definitions for the metrics and concepts you see in StockLrn.
Book Value
Net asset value calculated as total assets minus total liabilities.
P/E Ratio
Price-to-earnings ratio, a common valuation metric.
Price-to-Sales Ratio
A valuation metric comparing a company's stock price to its revenue per share.
EV/EBITDA
Enterprise value divided by EBITDA, used to compare companies regardless of capital structure.
Price-to-Book Ratio
Compares a stock's market price to its book value per share.
PEG Ratio
P/E ratio divided by expected earnings growth rate, adjusting valuation for growth.
Discounted Cash Flow
A valuation method that estimates present value of a company's future cash flows.
Intrinsic Value
The calculated true worth of an asset based on fundamental analysis.
Terminal Value
The estimated value of a business beyond the explicit forecast period in a DCF model.
Margin of Safety
The difference between a stock's intrinsic value and its market price, providing a buffer against error.
New to Investing?
Explore our Learning Center for structured lessons, flashcards, and quizzes.