Stock Market Project! How do stock brokers and financial analysts determine what stocks to buy? What do they investigate when looking at a company? As you work through the activities, you will collect data about a company. You will use formulas to analyze the data. Then you will decide how to organize and display your results in graphs and spreadsheets. The activities will help you better understand how stockbrokers and financial analysts track stock performance to determine what stocks to buy. Activities Activity 1: Researching Before making any decisions regarding a stock purchase, it is customary to obtain facts and a history about a company. Select a company to research (it must be a publically exchanged company). Gather information about the products or services the company sells, the history of the company, its management practices, and its revenue and profits. What is the stock symbol and on which market is it traded? Investigate the requirements for a company to trade on the New York Stock Exchange. ü Title page with stock symbol and company name ü Essay about company research (IN YOUR OWN WORDS) must have information on products or services, history, management style or revenue and profits. (A one paragraph essay will work nicely.) ü Logo for company and pictures of a few products (you may use them any way you desire, but they must be in the project SOMEWHERE) ü A short paragraph explaining how the NYSE works. Activity 2 Analyzing Before you track a stock, you need to be familiar with the stock page of the newspaper. Use the worksheet on my website called Stock Headers Worksheet Using the worksheet with a stock page example- determine what the headings mean for each column. Look in your guided notes for the definitions. ü Complete the handout with a section of the stock page; identify the meanings of each heading. Activity 3: Organizing Ideally, before buying stock in a company, you study the historical performance of the stock in order to help predict its future potential. In this activity, you will track a stock s performance during previous years. Using the company you selected in activity 1, update the spreadsheet that displays the high and low price for the year, and earnings per share. The information should be collected for the last 10 years. Include a column on the spreadsheet that determines the average of each row. The spreadsheet is located on my website and the average and graph will auto update. ü Spread sheet with appropriate titles and accurate mathematics
Activity 4: History & Current Events What s been going on with the stock market since you were born? What s been going on the past few months? Despite the recent lows, the stock market has the best return for long time investors. The risk in the stock market can be great, but the benefit may be worth the risk! Find out what the closing number was for the Dow Jones industrial average on the last day of each year- Dec 31 st since were born through 2012. Prepare a line graph to illustrate the highs and lows over your life. Included on the spreadsheet on my website. Find an article in the Wall Street Journal, FORBES magazine, or any other publication about a current financial topic. Print and summarize this article using your own words (be sure to include a copy of this article with the author, publication, and time it was published lack of this is plagiarism). ü Line graph with appropriate titles and labels ü Financial article and a summary of it Activity 5: VOCABULARY Use the following vocabulary to create a unique way to display their definitions (i.e. graphic organizer, cross- word puzzle, art, etc). Must include the answer key if doing a puzzle. Stock Exchange Profits Appreciation Stock Bonds Products Shareholder Share Invest FDIC Liquidity Risk Ownership Dividends Parent Company Activity 7: Exhibition Reflection 1. Write a narrative that includes two paragraphs. Double spaced 12 font with 1 inch margins. a. Paragraph 1 i. What did you learn? (Any thing you learned while doing the project would be appropriate) ii. What assisted you in learning these things? iii. How will you use what you learned in the future? iv. What subjects did you use to complete this project? b. Paragraph 2 i. What was your favorite part of this project? ii. What was your least favorite pat of this project? iii. If you were to do this project again, what would you do differently?
Reflect and Revise Ask a classmate to review your notebook with you. Together, check that your graph is clearly labeled and accurate. Is your spreadsheet well organized and easy to follow? Make any necessary revisions to improve your work. (Parents are also great PROOF- READERS!!) Your final project must be in the order listed on the table of contents and in a clear report cover. Extra Credit : Up to 10 points - 5 each (paragraph for each item) 1. Research what it takes to become a stock broker or financial analyst. How long do you go to college? Where do you work, and how much does it pay? What subjects must you be good at to be successful? 2. Who started your company? What kind of background did he/she/they have? How long has the company been in business? Write a short biography about the company founder or founders. Possible Resources: Newspapers The Commercial Appeal (E- Appeal) The Wall Street Journal Columbus Dispatch USA Today Websites www.nasdaq.com www.nyse.com www.yahoo.com (finance) www.wolframalpha.com Magazines FORBES
Project Manager Taking Stock in the US Stock Market Getting Started Read the project. As you work on the project, you will need a calculator, publications (newspaper and/or magazine), materials to make accurate and attractive graphs (Microsoft Excel), and the Internet for research. Keep all of your work for the project in a folder. You will need a clear report cover for the final project. CHECKLIST ú Title page with stock symbol, company name, logo pictures of a few products and YOUR NAME! ú Essay about company research (IN YOUR OWN WORDS) must have information on products or services, history, management style or revenue and profits. (A one paragraph essay will work nicely.) ú A paragraph explaining how the NYSE works. ú List of vocabulary terms with their definitions and/or examples expressed in a creative way. A crossword, art or word search. Answer key must be included! ú The stock headers worksheet from teachers website: stock page with the headings identified. ú A spreadsheet showing the highs and lows of your chosen stock for the past ten years with appropriate titles and accurate mathematics with a graph. ú Line graph and spreadsheet illustrating the yearly closing numbers for each of the years you were born with appropriate titles and labels ú A financial article and a summary of it ú Final 2 Paragraph Reflection. Double- spaced 12 font with 1 inch margins. ú Extra Credit if you choose Suggestions Look up information at the library or on the internet especially wolframalpha. Ask teacher or an adult for additional help if needed. Gather all necessary information. Consider checking financial advisers websites. (Edward Jones, Merrill Lynch, etc) Be careful with your materials keep them separate from your other stuff in a safe place. You will be graded on creativity and neatness. You will be given multiple due dates be sure to keep up!
Rubric for STOCK MARKET PROJECT 5 points.. Title page 20 points.. All narratives are present, accurate, and grammatically correct. Essay company research Paragraph how does the stock market work? 5 points.. Pictures relating to your company 30 points.. Vocabulary (with key if applicable) 15 points.. Stock headers worksheet with explanation 30 points.. Graphs and Tables Spread sheet and graph with past 10 years closing information graph showing the yearly closing numbers for every year since your birth 20 points.. A financial article and its summary 30 points.. Reflection: 2 paragraphs. Double spaced, 12 font with 1 inch margins. 10 points.. Neatness & Visually Appealing 10 points.. Timely 175 points.. Total Extra Credit (Up to 10 points) Timeline 1 st check - Wednesday, May 8th th Title page Essay on company Paragraph explaining stock market 2 nd check - Monday, May 13 h Vocabulary activity with key Stock worksheet with headings identified Line graph and spreadsheet illustrating year- end stock prices for your company since your birth Spreadsheet with high and lows of your company for the past ten years with graph 3 rd check Wednesday, May 15 th Financial article and your summary 2 Paragraph Reflection Extra credit DUE Monday, May 20 th Lab Schedule: Week of May 6th Monday Media Center: Stock Market Project (Sub) Tuesday Lab 109: Stock Market Project Wednesday Lab 109 Stock Market Project Thursday Media Center: Stock Market Project Friday Lab 201 E Stock Market Project Week of May 13th Monday Lab 109: Stock Market Project Tuesday Lab 109: Stock Market Project Wednesday In class project progress check Thursday Lab 201 E Stock Market Project Friday Media Center E Stock Market Project