Investing glossary
Plain-language definitions of the investing terms you meet in filings, in the news and in Finzer.
22 terms, all of them on this page
E
Earnings Growth
Earnings growth measures how much a company’s profits increase over a specific period, usually year over year or quarter over quarter. Learn how to analyze it, what drives it, and how investors actually use it to make decisions.
Earnings Guidance
Earnings guidance is management’s forward-looking estimate of future revenue, EPS, or margins. Learn how to interpret it, when to trust it, and how investors actually use it.
Earnings Per Share
Earnings per share (EPS) shows how much profit a company generates for each share outstanding. Learn how to calculate it, what drives it, and how smart investors actually use it.
Earnings Per Share (EPS)
Earnings per share (EPS) shows how much profit a company generates for each share of stock. Learn how EPS is calculated, why it moves markets, and how to use it intelligently as an investor.
EBIT
EBIT is a company’s earnings before interest and taxes, showing how profitable its core operations are before financing and tax effects. Learn how investors use EBIT to compare companies, value stocks, and spot real operating strength.
EBITDA
EBITDA measures a company’s operating profit before interest, taxes, depreciation, and amortization. Learn how investors use it, what drives it, and when it misleads.
EBITDA Margin
EBITDA margin measures operating profitability as EBITDA divided by revenue, shown as a percentage. Learn how to use it to compare companies, spot quality earnings, and avoid common traps.
Economic Cycle
The economic cycle is the recurring pattern of expansion, peak, contraction, and trough in overall economic activity. Learn how cycles form, how long they last, and how investors actually position portfolios around them.
Economic Expansion
An economic expansion is a sustained period of rising GDP, employment, and business activity following a recession. Learn how expansions start, how long they last, and how investors position portfolios during them.
Economic Growth
Economic growth is the increase in a country’s real output-usually measured by real GDP-over time. Learn what drives it, how investors use it, and when growth actually helps or hurts your portfolio.
Economies of Scale
Economies of scale occur when a company’s average cost per unit falls as production increases. Learn why scale drives profits, moats, and long-term returns.
Efficiency Ratios
Efficiency ratios measure how effectively a company uses its assets and resources to generate revenue or cash flow. Learn which ratios matter, how to read them, and how investors use them to spot strong operators.
EMIR
EMIR is the EU regulation governing derivatives trading, clearing, and reporting to reduce systemic risk. Learn how it works, who it affects, and what investors should actually watch.
Enterprise Valuation
Enterprise valuation measures the total value of a business, including equity, debt, and cash, not just its stock price. Learn how investors calculate it, what drives it, and how to use it to compare companies intelligently.
Enterprise Value
Enterprise Value is a measure of a company’s total value, calculated as market cap plus debt minus cash. Learn how investors use EV to compare companies, spot mispricing, and value businesses like acquirers do.
Ex-Dividend Date
The ex-dividend date is the cutoff day after which new buyers of a stock will not receive the upcoming dividend. Learn how it affects share prices, timing trades, and avoiding costly dividend mistakes.
Excess Return
Excess return is the portion of an investment’s performance above a benchmark or risk-free rate. Learn how it’s calculated, what drives it, and how investors actually use it.
Exchange
An exchange is a regulated marketplace where securities, derivatives, or commodities are bought and sold under standardized rules. Learn how exchanges work, why they matter for investors, and how to use them smarter.
Exchange Rate
An exchange rate is the price of one currency expressed in another, quoted as a pair like EUR/USD = 1.08. Learn what drives exchange rates, how they work, and how investors actually use them.
Exchange-Traded Fund
An exchange-traded fund (ETF) is an investment fund that holds a basket of assets and trades on a stock exchange like a single stock. Learn how ETFs work, why costs and structure matter, and how investors actually use them.
Exchange-Traded Fund (ETF)
An exchange-traded fund (ETF) is a basket of securities that trades on an exchange like a stock, typically tracking an index, sector, or strategy. Learn how ETFs work, why investors use them, and how to use them intelligently.
Exponential Moving Average
An exponential moving average (EMA) is a price trend indicator that gives more weight to recent data points. Learn how EMAs work, how investors use them, and when they matter most.