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Showing posts with the label Fundamental analysis

What is share in share market or stock market, why the share price moves up and down?

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What is a Share in the Stock Market? A share, also called a stock, is a small unit of ownership in a company. When a company wants to raise money for growth, it divides its ownership into shares and sells them to the public through the stock market.  By purchasing a share, you become a partial owner of that company. For example, if a company has 1,000 shares and you own 10 of them, you own 1% of the company. Shares come with certain benefits, such as: Capital Gains: If the share price increases, you can sell it at a higher price to earn a profit. Dividends: Some companies share their profits with shareholders in the form of dividends. Voting Rights: As a shareholder, you may have the right to vote on key company decisions. Types of Shares Shares are broadly categorized into two types: Common Shares: Most people invest in common shares.  They offer voting rights and potential dividends.  However, dividends are not guaranteed and depend on the company’s profitability. Prefe...

How to Do Fundamental analysis (Financial and Technical Analysis) of a Stock: A Step-by-Step Guide

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Fundamental analysis (Financial and Technical Analysis) of a Stock Fundamental Analysis of stocks Investing in the stock market requires a solid understanding of the companies you're investing in, and this will make you sure that if you understood this completely you don't need to purchase any fundamental analysis course . Fundamental analysis ( Financial and technical analysis) are two essential tools for making informed investment decisions. While financial analysis focuses on a company's fundamentals, technical analysis studies price patterns and market behavior. Here’s a comprehensive step-by-step guide to help you master both techniques. Step 1: Understanding Financial Analysis Financial analysis involves evaluating a company’s financial health and performance. Here are the key steps: 1.1 Analyze Financial Statement: Income Statement: Look at the company's revenue, expenses, and net profit. Check if the revenue and profit have been growing consistently. Balance She...