Trading Up-Close: Measures of Financial Strength

December 15, 2019
On this episode of Trading: Up-Close, Joe Mazzola takes a look at three key measures of financial strength you can look at before buying stock in a company.

Before buying stock in a company, you want to make sure it has the financial strength to stay in business for the long-term. A company that can turn a profit, has the cash to pay for its operations and isn't deeply in debt is usually a better investment than a company that's struggling.

To understand a company's financial health, you can start with three measures: profitability, liquidity and solvency.

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What is it like to trade with Schwab?

Today's Options Market Update

Stocks are modestly higher today which is being led by a tech rebound.

Looking to the Futures: Natural Gas Climbs on Warmer Weather Expectations

The July Henry Hub Natural Gas contract (NGN23) traded at 2.336, up .074 points in afternoon trading on Wednesday. Natural gas traded as high as 2.346 on Wednesday following the last several days’ positive weather reports. This marks the 4th consecutive trading day of gains and the highest closing price since May 31st.

How to Hedge Against an Event-Driven Market Correction

How to use S&P 500 put options for downside portfolio protection when concerns over an event-driven sell-off are elevated.

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Schwab does not recommend the use of technical analysis as a sole means of investment research.

Past performance is no guarantee of future result.

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