Fundamental analysis involves looking at:
A) how much profit a company will make in the future and using that to predict its present value.
B) market fundamentals to gauge a company's future trends.
C) a company's past performance to assess its overall worth.
D) the value of comparable companies abroad to assess a company's value.

Question

Quizplus · Accepted Answer

Fundamental analysis involves analyzing a company's financial statements, economic indicators, industry trends, and other factors to determine the intrinsic value of a company's stock. It aims to uncover whether a company is undervalued or overvalued by the market. One way to do this is by projecting the company's future earnings and using that to estimate its current value. Therefore, choice A is the best answer.

Fundamental Analysis Involves Looking At