The fundamental analysis theory is based on the assumption that a stock's intrinsic or real value is determined by the future earnings of the company.

Question

Quizplus · Accepted Answer

Fundamental analysis evaluates a stock's intrinsic value by examining related economic, financial, and other qualitative and quantitative factors. This includes analyzing the company's future earnings potential as a key determinant of its real value.

The Fundamental Analysis Theory Is Based on the Assumption That