A more common term for shareholder equity is Net Worth. It is visible on the company’s Balance Sheet. This number highlights an approximate liquidation value,
The debt-Equity ratio (DE) is easy to calculate. But its interpretation is not as straightforward as we think. We generally assume that a DE ratio of 2 is acceptable. But for analysts, this number is too high. Let’s look at the DE ratio from an analyst’s perspective.
Bonus issue and stock splits make news for good companies. Long-term shareholders like this corporate action as it can increase the demand for their holding stock.
With value investing comes a few synonymous terms like reading financial statements, intrinsic value, over and undervaluation, Benjamin Graham, Warren Buffett, long-term holding, etc.
Smart investors would not ignore the three investment rules described in this article. This blog is inspired from a book called “The Intelligent Investor” written by the Guru of Warren Buffett, Benjamin Graham
Stock market investing is not only about buying and selling stocks. After a stage, the investors begin to see the investments as a collection of
In this article, we’ll see an approach to identify the best sectors to invest in the Indian stock market. The good sectors are the ones
The formula of working capital (WC) has two components, current assets, and current liabilities. Both are the numbers of the past. Though it is derived
Recently I was reviewing a list of stocks from the BSE-500 index. I found some stocks showing negative shareholders’ equity. I wondered, what caused the
People who are hunting for bargains in the stock market may fall prey to the value trap. A stock whose price is falling or is
I generally write about fundamental analysis of the business. I got this feedback that such articles are less helpful for the novice. They would prefer