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Showing posts with the label fundamental analysis

Fundamental Analysis

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 In this blog you let's learn about the technique of fundamental analysis. Table of contents Introduction Economic Analysis Industry Analysis Company Analysis Conclusion  Introduction Fundamental analysis is one of the most important tools used by long-term investors. Every company has its own real value (intrinsic value). If the market price of the share of the company is greater than intrinsic value then the stock is said to be overvalued . In such a situation, if you have shares of any company then it's time to sell the shares . If the market price of the share of the company is less than intrinsic value then the stock is said to be undervalued . It's time to buy the share  of such a company as per your capacity. similarly, if the market price of the share of the company is equal to the intrinsic value then the stock is said to be correctly valued . It's time to hold the shares . In the short term though the market will fluctuate due to fear and greed of the shareh...

How to do management Analysis of company before investing in stocks: Management and qualitative analysis in share market

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How to do management Analysis of the company before investing in stocks : best and effective ways of doing management analysis  of the company are discussed in this blog. grab an opportunity to uplift your financial knowledge by reading this blog. Table of content What is Management Analysis? How to do Management Analysis? conclusion What is Management Analysis? Management analysis refers to the process of analyzing and interpreting the top-level management of the company and the systematic examination of decisions and actions taken by the management. It is one of the most important qualitative fundamental aspects that every investor must do before buying the shares of any company. Let's understand with examples suppose you purchase a very expensive helicopter, but if the pilot doesn't know how to drive well, your helicopter is going to crash eventually, putting you at risk. similarly, bad and poor management and promoters put your investment at risk. once warren buffet says...

What are the factors affecting the share market

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What are the factors affecting the share market : In this blog, you will learn about Qualitative factors affecting  the market price of the shares. What is Qualitative Analysis? Qualitative Analysis  uses subjective judgment to analyze a company's value or prospectus based on nonquantifiable expression, industry cycle, the strength of research and development, and labor relations. Table of content 1) GDP 2) Inflation 3) Monetary Policy 4) Fiscal Policy 5) Interest Rates 6) Budget 7) Economic and political stability 8) Infrastructure 9) Monsoon 10) Balance of Payment 11) Conclusion GDP GDP is the final monetary value of the goods and services produced within the country during a specified period, normally a year. In simple terms, GDP is the measure of the country's economic output in a year. Growth rate of GDP indicates the growth rate of the economy.  Inflation Inflation is an increase in the price of goods and services in the economy. In another word, Inflation is a decr...