Fundamental Analysis
Categories: Financial Theory, Stocks, Company Valuation, Mutual Funds
When it's a blast doing, uh, damental analysis.
Bad puns aside, fundamental analysis is what you do when you invest in a company and look into some basic stuff to find out whether the stocks or bonds are a good deal or a bad idea. Fundamental analysis involves looking at stuff like the core business operations of the company, revenue growth, profit margins, cash flow, and other things that could affect your investment. It's very different (and at least a little more reliable) than using astrology to tell you how you should invest as an Aries or Cancer.