Market & Structure

Blue Chip

Large-Cap Quality Stock

Definition

Shares of large, well-established, financially sound companies

Explanation

Blue chips are stocks of industry-leading companies with strong financials, stable earnings, and often consistent dividends. Examples include Apple, Microsoft, and Johnson & Johnson. The term comes from poker, where blue chips have the highest value. They're considered safer but may have slower growth.

Example

Apple, Microsoft, Berkshire Hathaway, JPMorgan Chase

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