How to generate stock investment ideas? This is one of the most searched topics in the investment world. Out of thousands of companies listed on the exchange, it becomes very difficult for anyone to conduct research and decide in which companies...
The payback period helps us to calculate the time taken to recover the initial cost of investment without considering the time value of money. This means that it will not evaluate the project based on the present value of money...
Time value of money plays a huge role in finance. Want to learn more about the elements of valuation? Enroll in the NSE Academy Certified Finance for Non-Finance People course on Elearnmarkets.com. Very similar to Net Present Value (NPV) method,...
DuPont Analysis? What does it actually mean? Well, it is an extended examination of the Return on Equity (ROE) of a company that analyses Net Profit Margin, Asset Turnover, and Financial Leverage. This analysis was developed by the DuPont Corporation...
Come on, let’s play "Kaun Banega Crorepati". Please don’t be too excited as we won’t be sending you to the sets of KBC. But today we’ll share a secret which will surely make you a crorepati if you have control...
Fundamental analysis is a bedrock to investing. A basic knowledge of fundamental analysis will help you in laying a better foundation for your investment decisions. Today we’ll discuss the objectives and goals of fundamental analysis and for whom it is relevant....
Table of Contents What is an income statement? Major highlights of Income Statement Income Statement Format Income Statement Components Purpose of the Profit and Loss Account Difference between Income Statement and Profit and Loss Account Difference between a balance sheet...
Most investment research professionals in order to conduct the equity research look at the earnings growth, return on equity, competitive position etc. However, they ignore or pay very less attention to the quality of people running the business. In fact,...
A friend of mine suggested me-“You should always buy the stock of a good company, irrespective of the price level” I agree with the first part of the question, however, I am not comfortable with the complete sentence. I believe this...
Table of Contents What is Corporate Action? Purpose of Corporate Actions Types of Corporate Actions Bottomline What is Corporate Action? Corporate Action implies an action at the corporate level which has a significant impact on the stakeholders and the financial...
Conducting industry analysis becomes very relevant especially when you are planning to invest in a company. According to a top-down approach, you need to start with an economic analysis, followed by industry analysis and finally company analysis. Michael Porter’s five...
Chapter 20 discusses the concept of Margin of safety. It protects the investor against any loss in case of any decline in share price. This concept has been the bedrock of Benjamin Graham’s successful investing journey. Some of the important...
