Courses / Stock Basics

Stock Basics

12 Lessons | 3 Quizzes

This course goes over important stock basics and establishes the context for the investment analysis we’ll learn in the subsequent courses. We’ll learn what stocks are, how to calculate ownership interest, different types of stocks, how the stock market functions, and our rights as shareholders. With a solid grasp around the stock basics, we’ll be able to understand the rationale behind fundamental analysis and the investing strategy. Whether you’re a beginner or an experienced investor, this course will help you understand stock investing in a coherent manner.

Key Takeaways:

  • The concept of stocks
  • Fundamental analysis investing strategy
  • Stock market dynamics

Lessons

1. What is a Stock

4:28

In this video, we'll learn what a stock is, the purpose it serves, and how to calculate ownership interest.

2. Investing Strategy

6:12

Now that we know what a stock is, it's time to learn the stock investing strategy and the logic behind fundamental analysis.

3. Why do Stock Prices Change

6:49

People always ask: "Why do stock prices change?" In this video, we'll learn what the stock price represent and why they change.

4. Mr. Market

4:09

The stock market dynamics can be reflected through the Mr. Market example.

5. Second-Level Thinking

5:50

Second-level thinking accounts for the behavior of other market participants.

6. Total Shareholder Return

3:00

Total shareholder return (TSR) represents the return on investments, through both stock price increases and dividend payments.

7. Share Repurchase

3:09

In this video, we'll learn what a share repurchase is, why companies repurchase their own shares and how it's a form of capital return.

8. Public vs. Private Companies

4:15

In this video, we'll learn the difference between public vs. private companies.

9. Shareholder Rights

3:12

As stock investors, we're entitled to certain protected shareholder rights.

10. Types of Stocks

3:48

In general, there are two types of stocks: common stocks and preferred stocks.

11. Rule #1

3:20

In this video, we'll learn about Warren Buffett's rule #1 and why it makes arithmetic sense.

12. Connecting Dots

2:00

Now that we've gone through the Stock Basics course, it's time to review what we've learned.