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Robby Ackles
Math III Honors
Mr. Dave Corner
Tuesday, November 15, 2016

Stock Market Analysis (NYSE)

Part I: Review/Breakdown
The most popular among stocks since January 1st in the New York Stock Exchange was
Caterpillar, Inc. (CAT) as of Tuesday, November 15 at 10:00am. Because stock values are
rapidly fluctuating throughout the day, it is important to note the time at which the gain was most
prevalent. According to CNN Money, Caterpillar, Inc enjoyed a YTD (year-to-date) value of
+37.90% for a price of $93.73 per stock. This growth can be largely attributed to U.S.
President-elect Donald Trump, who has promised to prioritize American jobs in the construction
industry throughout his campaign. After defeating Hillary Clinton in the 2016 Presidential
Election, it was inevitable that Caterpillar, Inc.s stock would rise because of this factor. Many
companies and organizations have benefitted from the hope for American industrialization under
a Trump presidency, and many stocks will hang in the balance of the implementation of Trumps
economic policy.
The largest gain among stocks in the New York Stock Exchange was that of Quorum
Health Corporation (QHC) in accordance with the date and time listed above. At a price of
$6.49, the stock value has increased by approximately 21.43%, with a volume of 506,903. After
a phenomenal set of quarter three earnings, it is not surprising that the stock value is

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skyrocketing. Quorum Health Corporation owns and operates hospitals, and provides a variety of
health services for both patients and consumers.
On the contrary, Amplify Snack Brands (BETR) is experiencing the largest loss among
NYSE stocks, with a price of $10.26 and a decrease of 23.83%. The companys earnings at the
quarter were much less than expected, which has resulted in their downfall in the stock market.
According to the Independent Republic, signs do not point to progress for Amplify Snack
Brands, for the stock is projected to continue its decline over the next few weeks.
The stock that many analysts have pointed to for investors to watch is that of The Home
Depot (HD), which has a current value in the NYSE of $124.35. It may be on the decline as of
10:00am on November 15th, but expectations are projected to be exceeded for their third quarter
earnings. The Wall Street Journal has highlighted the stock in a recent article regarding
corporations to invest in, and this is largely a result of consumers spending larger amounts of
money on their housing units. With the holiday season approaching and The Home Depot known
for thriving on home decor, it would make sense that this would be the case.

Part II: Relevance to Math Concepts

The American stock market may be connected to recent news headlines, earnings reports
and important events, but it is also largely dependent on mathematics for its association with the
network of investors across the country. In order to calculate the % change from the beginning of
the year or the beginning of the day, investors analyze the companys previous rate in
comparison to its current rate. A corporation may also want to be engaged with the value for
stock volume, for it helps to allude to the net profit that it might make as a result of fluctuations

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in the organizations stock. In order to fully understand the stock market as a whole, it is
important to keep in mind some essential terms and aspects of the economy.
One of the most important factors of a corporations economic success can be found
through the P/E ratio, which calculates market value per share/earnings per share in order to
effectively measure how much an investor is paying for the companys earnings. As exemplified
by Investopedia, if a company is currently trading at $43 a share and its earnings over the last
12 months were $1.95 per share, the P/E ratio would be calculated as 22.05.
Another term to be familiarized with is net income (NI), which is exactly how much a
company is earning (also referred to as its profit value). NI is calculated as the difference
between revenue and expenses. It may result in a basic value, but net profit is crucial in
determining a corporations stock value.
There are a variety of other factors that have significant roles in the economic
conversation, and P/E ratio and net income are just a few of the data that analysts use when
announcing the prospective success of an organization. Mathematics can be found everywhere in
the world of economics, and it is just a matter of having a grasp on some of the basic features of
the stock market that will allow investors to make smart decisions when trading.