Stock Project
Investing in Biotechnology Companies
The “Stock Market” is a term that actually describes several markets such as the New York Stock Exchange NASDAQ, where the stocks of companies are traded. Shares in a company are sold and the shareholders then become part owners of the company. Offering shares of stock raises money for continued research and development of company products or services.
When investing in a company, the goal is to buy shares at a low price and then sell them at a higher price. Individual stocks may go up or down independent of how “The Market” is doing overall. Stock market indices such as the Dow Jones Average, the NASDAQ, and the Standard and Poors 500 report how “The Market” is doing “on average.” To check the progress of individual stocks, one can look up their price per share on one of the published indices. These are available in the business section of newspapers and on the Internet.
How does one know which stocks to buy? No one ever knows for sure since no one knows what will happen to the economy, the market, or a company. Purchasing stocks is always a gamble but the more you know about a company’s finances and its products, the better you can decide whether a company’s stock has the potential to increase in value. For example, if a new drug is just completing Clinical III Trials, and is about to go on the market, the company may expect to start making money on that product. Using annual reports and researching companies, for example, on the Internet is a good place to start.
Purpose: To “purchase and track” biotechnology stocks with the goal of buying low and selling high and ending up with the highest value investment portfolio after 14 weeks.
Procedures:
Start of project
1. Each investor begins with $1000.
2. Choose two biotechnology companies to invest in. Plan to buy enough shares of each stock to spend a total of between $900 and $1000. You will hold onto these stocks for two months.
The “Stock Market” is a term that actually describes several markets such as the New York Stock Exchange NASDAQ, where the stocks of companies are traded. Shares in a company are sold and the shareholders then become part owners of the company. Offering shares of stock raises money for continued research and development of company products or services.
When investing in a company, the goal is to buy shares at a low price and then sell them at a higher price. Individual stocks may go up or down independent of how “The Market” is doing overall. Stock market indices such as the Dow Jones Average, the NASDAQ, and the Standard and Poors 500 report how “The Market” is doing “on average.” To check the progress of individual stocks, one can look up their price per share on one of the published indices. These are available in the business section of newspapers and on the Internet.
How does one know which stocks to buy? No one ever knows for sure since no one knows what will happen to the economy, the market, or a company. Purchasing stocks is always a gamble but the more you know about a company’s finances and its products, the better you can decide whether a company’s stock has the potential to increase in value. For example, if a new drug is just completing Clinical III Trials, and is about to go on the market, the company may expect to start making money on that product. Using annual reports and researching companies, for example, on the Internet is a good place to start.
Purpose: To “purchase and track” biotechnology stocks with the goal of buying low and selling high and ending up with the highest value investment portfolio after 14 weeks.
Procedures:
Start of project
1. Each investor begins with $1000.
2. Choose two biotechnology companies to invest in. Plan to buy enough shares of each stock to spend a total of between $900 and $1000. You will hold onto these stocks for two months.
References: | |Slide 3: Partner 1 Info about Company 2 |Every slide must have a picture. | |Slide 4: Partner 1 Graphs and Data Table |Short phrases in your own words. With bullet points. | |Slide 5: Partner 2 Info about Company 1 | | |Slide 6: Partner 2 Info about Company 2 | |