What is Fundamental Analysis?
June 29th, 2007
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In-depth study of the business behind the stock price, which may include analysis of balance sheets, profit & loss, management skills, competitive market advantages, use of capital, and many financial ratios.
Fundamental analysis attempts to determine the true value of a security, and, if the market price of the stock deviates from this value, to take advantage of the difference by acquiring or selling the stock.
Tags: balance sheets, business fundamentals, discounted cash flow, dividends, economic growth, focus on business, fundamental analysis, Glossary, intrinsic value, investment strategy, share prices, stocks, stock price, time investors, value investing, value investor, warren buffettPopularity: 25% [?]
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