A stock represents ownership in a company and signifies a claim on part of its assets and earnings. Investors who own stocks are known as shareholders and have voting rights in certain company decisions.
Dividend: A portion of profits distributed by companies to shareholders as cash payments.
Market Capitalization (Market Cap): The total value of a company's outstanding shares in the stock market.
Stock Exchange: A marketplace where stocks are bought and sold, such as the New York Stock Exchange (NYSE) or NASDAQ.