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fundamental analysis
fundamental analysis definition - finance
The practice of valuing companies by looking at
revenues and earnings and then analyzing the companyÂ’s management and the prospect
for its products or services to be successful. Fundamental analysis also can be
used to look at entire industries or commodities markets. Fundamental analysis
of a company or commodity is in contrast to technical analysis, which looks
only at price charts to form an opinion about the companyÂ’s or marketÂ’s
direction. As applied to the economy, fundamental research involves analyzing
economic statistics, such as unemployment.
Webster's New World Finance and Investment Dictionary Copyright © 2003 by Wiley Publishing, Inc., Indianapolis, Indiana.
Used by arrangement with John Wiley & Sons, Inc.
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