Stock Returns: Definition, Indicators, And How To Calculate It

ACTIVELY SHARE — What is stock return and how is it calculated? Come on, learn about it now!

Do you know what stock returns are? In short, stock returns are the selling price of shares minus the purchase price of shares plus dividends.  Choosing stocks as an investment tool is the right thing for beginners.

However, it should also be noted that choosing stocks must also have basic knowledge so as not to lose.

For those of you who want to start investing in stocks, first understand how to calculate the correct stock return. Let’s see a more detailed explanation from below information.

Understanding Stock Return

Stocks are one of the most popular and frequently used financial market instruments. Stocks can provide very attractive returns. Therefore, many investors are interested and make stocks as one of their investment instruments.

Quoted from the Indonesia Stock Exchange, shares are a sign of capital participation from either a person or a party (business entity) in a company or limited liability company.

In carrying out stock investments, there is such a thing as stock returns.

Simply put, stock return is the level of profit enjoyed by investors. In addition, stock returns are also important for companies and investors.

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