fundamental analysis

fundamental analysis
A method of anticipating future price movement using supply and demand information. Chicago Board of Trade glossary
The study of specific factors, such as weather, wars, discoveries, and changes in government policy, which influence supply and demand and, consequently, prices in the market place. The CENTER ONLINE Futures Glossary
security analysis that seeks to detect misvalued securities through an analysis of the firm's business prospects. Research often focuses on earnings, dividend prospects, expectations for future interest rates, and risk evaluation of the firm. Antithesis of technical analysis. In macroeconomic analysis, information such as interest rates, GNP, inflation, unemployment , and inventories is used to predict the direction of the economy, and therefore the stock market. In microeconomic analysis, information such as balance sheet, income statement, products, management, and other market items is used to forecast a company's imminent success or failure , and hence the future price action of the stock. Bloomberg Financial Dictionary
The study of supply and demand information to aid in anticipating futures price trends. Chicago Mercantile Exchange Glossary
A person who uses fundamental analysis will study the various supply and demand factors affecting prices in a particular market, in order to forecast future price movements in that market. Such factors may include macroeconomic factors, crop reports, shipping conditions, weather forecasts etc. Dresdner Kleinwort Wasserstein financial glossary

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   A method of forecasting prices based on research into company performance and basic economic, political and environmental factors such as supply and demand, economic statistics, government policies and the financial accounts of companies. Unlike technical analysis, fundamental analysis focuses on what should happen to prices, not what has happened to them in the past.

Financial and business terms. 2012.

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  • Fundamental analysis — of a business involves analyzing its financial statements and health, its management and competitive advantages, and its competitors and markets. The term is used to distinguish such analysis from other types of investment analysis, such as… …   Wikipedia

  • Fundamental Analysis — A method of evaluating a security that entails attempting to measure its intrinsic value by examining related economic, financial and other qualitative and quantitative factors. Fundamental analysts attempt to study everything that can affect the …   Investment dictionary

  • Fundamental analysis — Security analysis that seeks to detect misvalued securities by an analysis of the firm s business prospects. Research analysis often focuses on earnings, dividend prospects, expectations for future interest rates, and risk evaluation of the firm …   Financial and business terms

  • fundamental analysis — noun An analysis of a business with the goal of financial projections in terms of income statement, financial statements and health, its management and competitive advantages, and its competitors and markets. See Also: technical analysis …   Wiktionary

  • fundamental analysis — noun (stock exchange) the use of fundamentals as an investment strategy • Syn: ↑fundamentals analysis • Topics: ↑stock exchange, ↑stock market, ↑securities market • Hypernyms: ↑ …   Useful english dictionary

  • fundamental analysis — 1) A detailed analysis of the annual reports and accounts, as well as other information pertaining to a company, to assess whether its shares are incorrectly valued on the market. 2) See: investment analyst …   Accounting dictionary

  • FUNDAMENTAL ANALYSIS — (фундаментальный анализ) метод прогноза изменения цены, построенный на анализе текущей экономической ситуации; …   Глоссарий финансовых и биржевых терминов

  • Fundamental — may refer to: * Fundamental frequency,a concept in music or phonetics, often referred to as simply a fundamental . * Fundamentalism, the belief in, and usually the strict adherence to, the simplistic or fundamental ideas based on faith of a… …   Wikipedia

  • Analysis — (from Greek ἀνάλυσις , a breaking up ) is the process of breaking a complex topic or substance into smaller parts to gain a better understanding of it. The technique has been applied in the study of mathematics and logic since before Aristotle,… …   Wikipedia

  • fundamental research — /ˌfʌndəment(ə)l rɪ sɜ:tʃ/, fundamental analysis /ˌfʌndəment(ə)l ə næləsɪs/ noun an examination of the basic factors which affect a market …   Dictionary of banking and finance

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