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Part a, fundamental security analysis is the process of evaluating a security by examining its financial health, performance, and the overall economic and industry factors affecting the company.
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It involves analyzing financial statements such as balance sheets and income statements, management, competitive position, and macroeconomic conditions to assess the intrinsic value of the security and determine if it is overvalued or undervalued.
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Part b, main indicators for quantitative company analysis.
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One, earnings per share or eps.
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This measures a company's profitability on a per share helping investors assess its financial performance.
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2.
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Price to earnings ratio, pe, a valuation ratio that compares a company's current share price to its earnings per share, indicating if the stock is overvalued or undervalue.
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3.
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Return on equity or roe.
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This indicates how effectively a company uses shareholder equity to generate profits, reflecting management's efficiency.
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4.
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Debt to equity ratio...