The capital market is considered to be efficient in three different forms: the weak form, semi-strong form and the strong form. Thus, the efficient ma....
This hypothesis states that the capital market is efficient in processing information. An efficient capital market is one in which security prices equ....
Stock prices are determined by a number of factors such as fundamental factors, technical factors and psychological factors. The behavior of stock pri....
Fundamental analysts’ analyses the stock based on the specific goals of the investors. They study the financial strength of corporate, growth of sal....
Generally used technical tools are Dow Theory, volume of trading, short selling, odd lot trading, bars and line charts, moving averages and oscillator....
The share price movement is analyzed broadly with two approaches, namely, fundamental approach and the technical approach. Fundamental approach analys....
Further, the growth in earnings also influences the value of the stock. The growth in earnings depends on the earnings retained and reinvested in the ....
The analysis of financial statements reveals the nature of relationship between income and expenditure, and the sources and application of funds. The ....
The financial statements contain historical information. This information is useful; but an investor should be concerned more about the present and fu....
The best source of financial information about a company is its own financial statements. This is a primary source of information for evaluating the i....
Sales alone do not increase the earnings but the costs and expenses of the company also influence the earnings of the company. ....
Major industries in India are composed of hundreds of individual companies. The in the information technology industry even though the number of compa....
In the company analysis the investor assimilates the several bits of information related to the company and evaluates the present and future values of....
The industry has witnessed healthy growth in the recent past and investment in pharmaceutical industry is continuing. The product output is also incre....
Apart from industry life cycle analysis, the investor has to analyse some other factors too. They are as listed below....
The industry life cycle theory is generally attributed to Julius Grodensky. The life cycle of the industry is separated into four well defined stages ....
An industry is a group of firms that have similar technological structure of production and produce similar products. For the convenience of the inves....
Economy analysis is the first stage of fundamental analysis and starts with an analysis of historical performance of the economy. But as investment is....