Fundamental Analysis For Dummies

Book excerpt: Determine the strength of any business with fundamental analysis Have you ever wondered the key to multibillionaire Warren Buffet's five-decade run as the most successful investor in history? The answer is simple: fundamental analysis. In this easy-to-understand, practical, and savvy guide, you'll discover how it helps you assess a business' overall financial performance by using historical and present data to forecast its future monetary value—and why this powerful tool is particularly important to investors in times of economic downturn. It's more important than ever for investors to know the true financial stability of a business, and this new edition of Fundamental Analysis For Dummies shows you how. Whether you're a seasoned investor or just want to learn how to make more intelligent and prudent investment decisions, this plain-English guide gives you practical tips, tricks, and trade secrets for using fundamental analysis to manage your portfolio and enhance your understanding of shrewdly selecting stocks! Predict the future value of a business based on its current and historical financial data Gauge a company's performance against its competitors Determine if a company's credit standing is in jeopardy Apply fundamental analysis to other investment vehicles, like currency, bonds, and commodities With the help of Fundamental Analysis For Dummies, you just may find the bargains that could make you the next Warren Buffet!