A ticker symbol or stock symbol is an abbreviation used to uniquely identify publicly traded shares of a particular stock on a particular stock market.

A stock symbol may consist of letters, numbers or a combination of both.

Stock symbols are unique identifiers assigned to each security traded on a particular market. For example, AAPL is for Apple Inc.

Ticker symbol - Wikipedia

A stock symbol can consist of letters, numbers, or a combination of both, and is a way to uniquely identify that stock. The symbols were kept as short as possible to reduce the number of characters that had to be printed on the ticker tape , and to make it easy to recognize by traders and investors.

The allocation of symbols and formatting convention is specific to each stock exchange. In the US, for example, stock tickers are typically between 1 and 4 letters and represent the company name where possible. For example, US-based computer company stock Apple Inc.

In Europe, most exchanges use three-letter codes, for example Dutch consumer goods company Unilever traded on the Amsterdam Euronext exchange has the symbol UNA. While in Asia, numbers are often used as stock tickers to avoid issues for international investors when using non- Latin scripts.

For example, the bank HSBC 's stock traded on the Hong Kong Stock Exchange has the ticker symbol Symbols sometimes change to reflect mergers. Prior to the merger with Mobil Oil , Exxon used a phonetic spelling of the company "XON" as its ticker symbol. The symbol of the firm after the merger was "XOM". Symbols are sometimes reused, in the US the single-letter symbols are particularly sought after as vanity symbols.

For example, since Mar Visa Inc. To fully qualify a stock, both the ticker and the exchange or country of listing needs to be known. On many systems both must be specified to uniquely identify the security.

This is often done by appending the location or exchange code to the ticker. Although stock tickers identify a security, they are exchange dependent, generally limited to stocks and can change.

These limitations have led to the development of other codes in financial markets to identify securities for settlement purposes. The most prevalent of these is the International Securities Identifying Number ISIN. Securities for which ISINs are issued include bonds , commercial paper , stocks , and warrants. The ISIN code is a character alpha-numerical code that does not contain information characterizing financial instruments, but serves for uniform identification of a security at trading and settlement.

The ISIN identifies the security, not the exchange if any on which it trades; it is therefore not a replacement for the ticker symbol.

For instance, Daimler AG stock trades on twenty-two different stock exchanges worldwide, and is priced in five different currencies; it has the same ISIN on each DE , though not the same ticker symbol. ISIN cannot specify a particular trade in this case, and another identifier, typically the three- or four-letter exchange code such as the Market Identifier Code will have to be specified in addition to the ISIN.

In Canada the Toronto Stock Exchange TSX and the TSXV use the following special codes after the ticker symbol:. In the United Kingdom , prior to , stock codes were known as EPICs, named after the London Stock Exchange 's Exchange Price Information Computer e.

Following the introduction of the Sequence trading platform in , EPICs were renamed Tradable Instrument Display Mnemonics TIDM , but they are still widely referred to as EPICs.

Stocks can also be identified using their SEDOL Stock Exchange Daily Official List number or their ISIN International Securities Identification Number. Previously, a single company could have many different ticker symbols as they varied between the dozens of individual stock markets. The term ticker refers to the noise made by the ticker tape machines once widely used by stock exchanges. Stock symbols for preferred stock have not been standardized.

Some companies use a well-known product as their ticker symbol. Belgian brewer InBev , the brewer of Budweiser beer, uses "BUD" as its three-letter ticker for American Depository Receipts, symbolizing its premier product in the United States.

Its rival, Molson Coors Brewing Company , uses a similarly beer-related symbol, "TAP". Likewise, Southwest Airlines pays tribute to its headquarters at Love Field in Dallas through its "LUV" symbol.

Cedar Fair Entertainment Company , which operates large amusement parks in the United States, uses "FUN" as its symbol. Harley-Davidson uses "HOG" for its Harley Owners Group. Yamana Gold uses "AUY", because on the periodic table of elements , "Au" is the symbol for gold.

Sotheby's the famous auction house uses the symbol "BID". While most symbols come from the company's name, sometimes it happens the other way around. Tricon Global , owner of KFC , Pizza Hut and Taco Bell , adopted the symbol "YUM" to represent its corporate mission when the company was spun out of PepsiCo in In , the company changed its name to match its symbol, adopting the name Yum!

Prior to the merger with Mobil Oil, Exxon used a phonetic spelling of the company "XON" as its ticker symbol.

After Hewlett-Packard merged with Compaq , the new firm took on the ticker symbol "HPQ". The former symbols were HWP and CPQ. Formerly, a glance at a U. When first implemented, the rule change did not apply to companies with one or two letter symbols, [6] but subsequently any stock was able to move from the NYSE to the Nasdaq without changing its symbol. In countries where Arabic script is used, and in East Asia , transliterated Latin script versions of company names may be confusing to an unpracticed Western reader; stock symbols provide a simple means of clear communication in the workplace.

Many Asian countries use numerical or alphanumerical ticker symbols instead of characters to facilitate international trade. From Wikipedia, the free encyclopedia. Retrieved 14 January Brands Inc Yum Brands". Retrieved 2 June The New York Times. Retrieved May 25, The UK Stock Market Almanac Retrieved from " https: Encodings Stock market Security identifier types. Articles needing additional references from January All articles needing additional references CS1 maint: Navigation menu Personal tools Not logged in Talk Contributions Create account Log in.

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