Module 2: Fundamental Analysis with StockAnalysis
Fundamental analysis means judging a company by its real business numbers, not by the mood of its stock price. In this module we read the three financial statements every US company must publish, learn the few ratios that turn those numbers into insight, and see what dividends, buybacks, and analyst forecasts really tell you. Everything runs on free pages, with Apple as our running example and Microsoft, Coca-Cola, Nvidia, and Tesla dropping in for contrast.
- What a Business Earns: the Income Statement in Plain Words: how to read a company’s report card of money in and money out.
- What It Owns and Owes: the Balance Sheet: the one day photo of everything a company owns and everything it owes.
- Cash Is Fact, Profit Is Opinion: the Cash Flow Statement: why the cash box tells a truth the profit book can only estimate.
- Ratios That Matter: P/E, Margins, ROE, Debt: four simple divisions that make any two companies comparable.
- What Is It Worth: First Valuation Ideas and Analyst Forecasts: price versus value, and how much trust analyst targets deserve (less than you think).
- Money Back to Owners: Dividends and Buybacks: the two ways companies send cash home, and when a fat yield is a warning.
- Try It: Apple vs Microsoft in Fifteen Minutes: a guided head to head that turns the whole module into one reusable scorecard.
A warm thank you to Kris Gunnars, the founder of StockAnalysis.com, who has patiently answered our questions by email while we built this module.
StockAnalysis.com links in this module carry The Microcap Minute’s referral code. Nothing in this module is investment advice or a recommendation.