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Blue-Chip Stock

   Also found in: Dictionary/thesaurus, Encyclopedia, Wikipedia, Hutchinson 0.02 sec.
Blue-Chip Stock

What Does Blue-Chip Stock Mean?

The stock of a well-established and financially sound company that has demonstrated an ability to pay dividends in both good and bad times.

Investopedia explains Blue-Chip Stock

These stocks are usually less risky than other stocks. The stock price of a blue chip usually closely tracks the S&P 500 Index.

Related Terms:
Dow Jones Industrial AverageDJIA
Large-Cap Stock
New York Stock ExchangeNYSE
Standard & Poor's 500 IndexS&P 500
Stock



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A: Blue-chip stocks are said to have taken their name from the
A: Blue-chip stocks are said to have taken their name from the
A price-weighted average of 30 actively traded blue-chip stocks, primarily industrials including stocks that trade on the New York Stock Exchange.
 
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