Help on fundamental analysis

#1
Hi,

It would be grateful if someone can help me on Fundamental analysis basics, and how to compare stock prices, which all terms to focus on
and where to get the inputs required and how to analyse etc.

I'm a beginner and i'm eagerly waiting for ur help.

Thanks in advance
 
#2
A very very long answer to a very short question. So better to go for book and start study. Here tips can be given to clear the concepts. Normally to anlayze a share the following factors are of concern:
1. P/E ratio
2. P/BV
3.Mcap/Sales
4.ROI/ROE
5.Growth rate
6. TTM EPS, Forward EPS

THe list is endless and are subject to judgemental analysis.
 

oxusmorouz

Well-Known Member
#3
A very very long answer to a very short question. So better to go for book and start study. Here tips can be given to clear the concepts. Normally to anlayze a share the following factors are of concern:
1. P/E ratio
2. P/BV
3.Mcap/Sales
4.ROI/ROE
5.Growth rate
6. TTM EPS, Forward EPS

THe list is endless and are subject to judgemental analysis.
Judging from the little knowledge of fundamental analysis that I possess, I should say viewing companies in isolation by using fuzzy numerical ratios can be very misleading. A better solution would be to invest in data, identify interrelationships between variables and select a top down approach to classify these relationships and formulate a plan... Economy ---> Industry ---> Business.
 

kkseal

Well-Known Member
#4
Judging from the little knowledge of fundamental analysis that I possess, I should say viewing companies in isolation by using fuzzy numerical ratios can be very misleading. A better solution would be to invest in data, identify interrelationships between variables and select a top down approach to classify these relationships and formulate a plan... Economy ---> Industry ---> Business.
Nice to see a CFA (well, nearly so :)) advocating the hierarchy i follow - Economy ----> Industry/Sector ----> Business/Company.

Regards,
Kalyan.