Utilisation
Fundamental analysisThe share of a workforce that is billable.
In plain terms
Low is wasteful; very high means no bench, so new contracts need hiring first.
1492 terms
Glossary
Every term is defined twice: once the way a filing would put it, and once the way somebody would explain it to you across a table. The second one is usually the one that sticks.
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Capacity utilisation
Fundamental analysisThe share of a plant’s or industry’s productive capacity actually in use.
In plain terms
The single best test of whether a downturn is a cycle or a decline. Falling utilisation with plants shutting means cycle; capacity still arriving means decline.
Credit utilisation
Market basicsHow much of your available credit limit you are using.
In plain terms
One of the two factors that dominate a score. Closing an old card raises it and usually lowers the score.
Ban period
DerivativesAlso called: F&O ban
The state a stock enters when derivatives open interest crosses 95% of its market wide position limit, during which only position-reducing trades are permitted.
In plain terms
The 8:40 local at Dadar with the guard on the door — people can still get off, nobody can board. It lifts only below 80% utilisation, so a rally on falling open interest in a banned name is shorts leaving, not the market forming a view.
Installed capacity
Fundamental analysisAlso called: Rated capacity, Nameplate capacity
The maximum output a company’s plants are rated to produce over a period, disclosed in units rather than rupees.
In plain terms
The ceiling on volume growth without fresh capital expenditure. Set beside actual production it gives capacity utilisation, and beside industry-wide additions it tells you what supply is coming.