A blue chip stock is the stock of a well-established company having stable earnings and no extensive liabilities. Most blue chip stocks pay regular dividends, even when business is faring worse than usual. They are valued by investors seeking relative safety and stability, though prices per share are usually high. Typically, such stocks are perceived to offer reliable returns, low yield, and low risk. Many blue chips are components of popular indices, such as the Dow Jones Industrial Average and the S&P 500. This article does not cite any references or sources. ... Corporate redirects here. ... In the most general sense, a liability is anything that is a hindrance, or puts individuals at a disadvantage. ... It has been suggested that ex-dividend date be merged into this article or section. ... Look up share on Wiktionary, the free dictionary. ... In finance, the return on investment (ROI) or just return is a calculation used to determine whether a proposed investment is wise, and how well it will repay the investor. ... In financial economics, the yield of a financial instrument/security (finance), usually a debt instrument, or other investment is the rate of return the holder earns on that instrument. ... Lets talk about risk control strategies, anyone with more information and willing to share, please do so. ... In economics and finance an index (for example a price index, a stockmarket index) is a benchmark of activity, performance or any evolution in general. ... Linear graph of the DJIA from 1901 until today Logarithmic graph of the DJIA from 1901 until today The Dow Jones Industrial Average (NYSE: DJI, also called the DJIA, Dow 30, or informally the Dow industrials, the Dow Jones or The Dow) is one of several stock market indices created... The S&P 500 is an index containing the stocks of 500 Large-Cap corporations, most of which are American. ...

Alternately, blue chip stocks are sometimes defined as companies whose stocks have large market capitalization values (for example, over $1 billion.) Market capitalization, often abbreviated to market cap, is a measurement of corporate size that refers to the current stock price times the number of outstanding shares. ... ISO 4217 Code USD User(s) the United States, the British Indian Ocean Territory,[1] the British Virgin Islands, Cambodia, East Timor, Ecuador, El Salvador, the Marshall Islands, Micronesia, Palau, Panama, Turks and Caicos Islands, and the insular areas of the United States Inflation 2. ...

The term comes from blue-colored poker chips, which are typically the most valuable. Examples are Royal Dutch Shell (petroleum), The Coca-Cola Company (food) and IBM (information technology). The now defunct company Enron was once considered a blue chip stock. Harry Trumans poker chips Casino poker chips are special tokens representing a fixed amount of money. ... Royal Dutch Shell PLC is a multinational oil company (oil major) of British and Dutch origins. ... Pumpjack pumping an oil well near Lubbock, Texas Ignacy Łukasiewicz - inventor of the refining of kerosene from crude oil. ... The Coca-Cola Company (NYSE: KO) is the largest manufacturer, distributor and marketer of nonalcoholic beverage concentrates and syrups in the world. ... International Business Machines Corporation (known as IBM or Big Blue; NYSE: IBM) is a multinational computer technology and consulting corporation headquartered in Armonk, New York, USA. The company is one of the few information technology companies with a continuous history dating back to the 19th century. ... Information technology (IT), as defined by the Information Technology Association of America (ITAA)is: the study, design, development, implementation, support or management of computer-based information systems, particularly software applications and computer hardware. ... Enron Creditors Recovery Corporation, formerly Enron Corporation, is a defunct U.S. energy company based in Houston, Texas. ...

Somewhat similar terms include:

Bellwether 

The stock of a company recognized as a leader in its industry. For example, IBM is considered a bellwether stock in the computer industry. Often, the performance of a bellwether is an indication of how that industry is doing as a whole.

Large Cap 

These are companies with extremely large market capitalization, or "market cap", which is the product of the number of shares outstanding and the price of the stock.