A Stock Quote primarily shows the price of a stock during a trading session. But what or how is the stock price determined?

Economics 101 says price is determined by the Law of Demand & Supply. We know that equilibrium market price of a stock is the price at which the seller is willing to let go and buyer willing to acquire.

A simple infographics further illustrates how a stock price is determined against the perceived value by both investors and traders.

https://toc.net/2019/11/20/what-determines...

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3 comments
koloiewo

High P/E more attractive than low P/E?

ljunyuan

That's one very comprehensive infographic you've put up there... easy to understand, pleasant to read... Thanks for the great share! :)

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