Tag: decline stock price

What Is A Put Option In Stocks

A put option in stocks is a contract that gives the holder the right to sell a certain number of shares of the underlying stock at a specified price (the strike price) within a certain time period. Put options are used to hedge against the risk of a stock falling in price. For example, if […]

What Is Utilization Rate In Stocks

What is utilization rate in stocks? Utilization rate is a measure of how much of a company’s productive capacity is currently being used. It is calculated by dividing a company’s current production by its maximum production capacity. Utilization rate can be used to assess a company’s current production capacity and whether it is being fully […]

What Does Short Stocks Mean

In finance, short selling (also known as shorting or going short) is the practice of selling securities or other financial instruments that are not currently owned, and subsequently repurchasing them later. In the event of a price decline, the short seller profits. Short selling is used to hedge against the risk of a security’s price […]