Roadmap to Fundamental Analysis

1. Power of Compounding

2. Investment V/s Trading

3. Investment V/s Speculation

4. Identifying and Managing Business Risks

• Strength, Weakness, Opportunity, and Threat (SWOT) Analysis
• Business Risk Management (BRM) Analysis
• PEST Analysis (political, economic, social and technological) Analysis
• Crisis Management

5. Fundamental Ratios

• Profitability Ratios
• Working Capital Ratios
• Capex
• Asset Turnover Ratio
• Solvency Ratio
• Liquidity Ratio
• Capital Allocation
• ROE, ROA and Du Pont
• ROCE Importance
• ROIIC
• How important and how they very from industry to industry

6. Research:

• Concalls
• Reading Reports
• Magazines
• Twitter Accounts
• DRHPs
• QIP documents
• Demerger Document

7. Annual Reports

8. Industry Structure

• Berkshire Hathway Investments
• Analysing Indian Industry
• Porter's Five Forces
• Six Forces Model
• Competitive Intelligence
• The Pitfalls of Porter's Five Forces

9. Competitive Advantage

• Moat
• Wide Economic Moat
• Narrow Economic Moat
• Buffett's Moat: Google's Competitive Advantage
• Monopolistic Competition

10. Portfolio Management

• Selection of profolio
• Diversification
• Efficient Frontier
• Dollar-Cost Averaging to Build Wealth Over Time
• Barbell Investment Strategy

11. Most Important is Valuation of Company

• Valuation Undergraduate Spring 2021 - Aswath Damodaran
• Valuation MBA Spring 2021 - Aswath Damodaran
• Tesla at a Trillion-Dollar Market Cap: Revisiting its Valuation
  • Excel
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