Fundamental Analysis

Key Financial ratios every new investors should know before analysing a business.

So from the last post I hope you have picked your company and the next step is to analyse whether they are fundamentally strong and financially stable. When you analyse a business there are lot of parameters to look for, sometimes it is overwhelming to look at the data that you have collected from their annual reports, rating agencies and other financial sites. So first let’s make that process simple and easy.

Let me explain some of the key financial ratios that compulsorily needs to be looked when analysing a business.