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All stock analysis attempts to evaluate if a security's value in the larger market is right. Fundamental analysis is typically conducted from a macro to micro viewpoint in order to find assets that the market has not valued appropriately. To arrive at a fair market valuation for a stock, analysts often look at the overall status of the economy, then the strength of the particular sector, before focusing on individual business performance. Fundamental analysis evaluates the value of a stock or any other form of investment using publicly available data. An investor, for example, might undertake fundamental research on a bond's value by looking at economic variables like interest rates and the general status of the economy, then reviewing information about the bond issuer, such as probable changes in its credit rating. Fundamental analysis determines a company's underlying worth and potential for future development by looking at its sales, profits, future growth, return on equity, profit margins, and other statistics.
All stock analysis attempts to evaluate if a security's value in the larger market is right. Fundamental analysis is typically conducted from a macro to micro viewpoint in order to find assets that the market has not valued appropriately. To arrive at a fair market valuation for a stock, analysts often look at the overall status of the economy,...
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10 Chapters
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10 Chapters
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