Evaluate stock claims: a classroom activity with three statements

Prepare a 30-minute session

Work in pairs with paper and a pen. The teacher displays the two fictional texts below; you do not need to search for real companies or open an app account. Begin with five minutes of individual reading, spend ten minutes examining the texts and ten comparing answers. Finish with five minutes for an individual conclusion.

A statement that can be checked is not automatically true. First establish where the figure comes from and what it describes. A company report can provide evidence for a sales figure, but the company also has an interest in how its business is presented.

Student material: two fictional texts

Text A is an invented social post: Fjällcykel sells 20 percent more bicycles than last year. It is the best company in its industry. Its stock will therefore rise 20 percent next month. The writer also says they own the stock. The post has no date and does not link to a report.

Text B is an invented report extract: Fjällcykel sold 1,200 bicycles in the first quarter, compared with 1,000 in the first quarter of the previous year. The extract is dated 15 April in the exercise year. It contains no information about next month's stock price and no figures for competitors.

All names, dates and figures here were created for the activity. Do not use these texts as information about a real company. Write down the sentence you are examining before looking for evidence; otherwise it is easy to answer a different question by accident.

If the table does not fit, scroll it sideways.

Examine both the figure and its author

First check the sales calculation: the difference is 200 bicycles and the comparison base is 1,000. This gives 200 ÷ 1,000 × 100 = 20 percent. The report extract supports this particular comparison between two quarters. It says nothing about a full year, the company's profit or its stock's future price.

Then examine the interests involved. The writer's stock ownership makes it relevant to ask how they could benefit from the post, but it does not prove that every statement is wrong. Test the claims separately. A large follower count does not replace evidence, and a clear date is needed to assess whether information is current for the question.

• Mark the sentence you are assessing and identify the text that supports your answer.
• State what the measure describes: bicycle sales, profit or stock price.
• Note a possible interest of the author without assuming a hidden intention you cannot substantiate.
• Formulate one more question that would reduce uncertainty.

Teacher notes: listen for how the conclusion is built

Ask each pair to present one supported claim and one that still lacks evidence. Follow up with: Where do you see that in the text? The sales increase can be calculated within the fictional material. The judgement about the best company lacks a definition and a comparison. The stock-price increase is a forecast that does not follow from the sales figure.

Give feedback on the precision of the reasoning rather than whether the student thinks the stock looks good or bad. A useful final answer could be: The material shows more bicycles sold in a particular quarter; that is insufficient to know the stock's price next month. Then ask students to replace a certain-sounding formulation with one that better matches the evidence.

To continue digitally, read how Investiq presents companies and simulated decisions. Examine sources before making a practice decision. This activity is independent teaching material and does not require teacher tools in the app.