Equity Investments Cheat Sheet

Ned Krastev
Ned Krastev

Equity investments involve purchasing company shares on the stock market, with investors aiming to benefit from a firm’s potential future success. In other words, they own a piece of the company while bearing the associated risks. To track the performance of a group of stocks in a specific market, equity investors often use security market indices, such as:

  • Price Return of an Index
  • Dividend Growth Rate
  • Dividend Discount Model
  • Free Cash Flow to Equity

This open-access cheat sheet compiles essential equity investment formulas conveniently organized and easily accessible. It’s an excellent resource for financial analysts, financial advisors, investment analysts, wealth managers, portfolio managers, and finance students.

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Download our free Excel templates on relevant concepts, including Return on Equity, Two-Stage Dividend Discount Model, Gordon Growth Model, and EV to EBITDA.