Description
You may have seen how financial news outlets provide real-time financial market reporting. They often produce stock-market news feeds for traders; these news feeds include a stock chart. The stock chart may include different filters that allow you to see how the stock is performing today or has performed over one or more years.
There are many factors that will influence pricing that can’t be controlled or predicted accurately. The approaches used to value stocks (determine what the stock is truly worth) are usually theoretical. You should consider what drives stock prices and why.
For this discussion, first go to Mergent Online. Find the pricing chart under the “Company Details” tab, then click on Pricing Summary for your selected company. This is the company you have selected for your Project Two assignment. Filter the time period to one year.
In your initial post, address the following:
- Discuss how the stock for your company is trending. Explain why the stock is in either an uptrend or downtrend.
- Discuss some of the factors, including environmental, sustainable, and governance (ESG) factors, that you believe have impacted the stock performance and why.
- Convince your peers to either invest in your chosen company or to not invest in the company. Explain your reasoning.
Explanation & Answer
View attached explanation and answer. Let me know if you have any questions.
Running head: UNDERSTANDING PRICING OF A STOCK
Understanding Pricing of a Stock
Name
Institutional Affiliation
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UNDERSTANDING PRICING OF A STOCK
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Understanding Pricing of a Stock
1. Stock trend of the company is trending
The forever great Johnson & Johnson Company’s stock last rate on May 2021 was
171.07. The company’s 52-week great stock rate is 173.65, that is 4.9% beyond the present
share price. Their 52-week rock bottom stock amount is 133.65, which is exactly 19.3%
beneath the present share price. Averagely, the company’s stockpile rate for the past 52 weeks
is 154.37. The reason is, it guarantees that the earnings from keeping stock on non-attuned
times are unmoved by whichever stock rate alteration....