[G]
Good Till Cancelled – an order placed with a broker meaning that it is good until either filled or canceled. In practice, orders of this kind have to be re-confirmed once every 30-60 days.
Goodwill – the amount by which the purchase price of an asset exceeds the fair market value of the net assets acquired under purchase accounting methods. Some of the factors that could give rise to goodwill are a brand name, customer loyalty, or simply a buyer paying more than the amount an outside appraiser assigns to the assets. Goodwill must be written off, giving rise to non-cash charges to income.
Greenshoe – the over-allotment option in an IPO. Almost always an additional 15% of the number of shares offered. The underwriters have the option of increasing the offering size by this number of shares to accommodate demand that was not met by the initial amount of shares. The shares may be primary shares (proceeds to the company) or secondary (proceeds to a selling shareholder), as specified in the prospectus.
Gross Domestic Product (GDP) – the broadest measure of a country’s economic activity. Annualized quarterly percent changes in GDP reflect the growth rate of total economic output. In addition to the GDP figures, there are GDP deflators, which measure the change in prices in total GDP and for each component of GDP. Though the consumer price index is a more closely watched inflation indicator, the GDP deflator is another key inflation measure. Unlike CPI, it has the advantage of not being a fixed basket of goods and services, so that changes in consumption patterns or the introduction of new goods and services will be reflected in the deflator. With both GDP and deflator, the market tends to focus on the quarter/quarter change. Year/year changes are also cited frequently, though they do not provide the most timely indications of economic activity or inflation. The bond market often reacts to GDP, though the price moves are typically small, as much of the GDP data is easily predicted using monthly releases of other economic indicators.
Growth Rate – compound annual growth rate for the number of full fiscal years shown. If there is a negative or zero value for the first or last year, the growth is NM (not meaningful).
Growth Stock – a company, which over a period of time seems destined for above-average expansion. Growth stocks are companies with long-term plans and potential for large growth of earnings and customers. These stocks offer more risk but more long-term reward than other stocks.