Many investors have lost all that they invested (and then some) by using margin recklessly. And the strategy has gained a deserved reputation for being dangerous. However, it's possible to use ...

The type of security you are trading The quantity of shares or contracts The current market price The leverage offered by your broker Using these inputs, it calculates the initial margin required ...

The higher the gross margin, the more revenue a company retains. It can then use the revenue to pay other costs or satisfy debt obligations. Gross margin measures a company's gross profit compared ...

but it can also happen to small investors who have purchased securities on margin, or using borrowed money. Here’s how it works. If you’ve opened a margin account with an online broker ...

When you buy any of these investments on margin, the investment itself is used as collateral for the loan. By trading on margin, investors can increase their buying power by up to 100%.

However, when stock values fall, those loans may need to be paid down because of the drop in the value of the stocks used as collateral. Stories of investors getting burned by margin loans have ...

Profit margin is a ratio commonly used to measure the degree to which a company or business activity makes money. What Is a Profit Margin? Profit margin is a common measure of the degree to which ...

Using a margin account increases risk by allowing purchases with borrowed money, up to 50% of account value. If stock prices drop, margin users might owe more than their investment's current worth.

That's not to say taking a margin loan from your broker is always a bad idea. You just have to know how to use that debt judiciously. Here are some questions you need to ask before using brokerage ...

Operating income is often used interchangeably with the acronym EBIT, which stands for earnings before interest and tax, and that is the reason EBIT margin is often referred to as operating margin.