How do you approach fundamental analysis?

There are two ways to approach fundamental analysis: the top-down (start with the study of the overall economy) and the bottom-up (begin with the analysis of individual companies).

Can fundamental analysis be used for stock analysis?

Fundamental analysis is widely used for stock analysis but can also be applied to other markets, such as forex or futures; however, the approach to the study would be slightly different. Investors assessing stocks typically take a bottom-up approach, doing in-depth research of their financials, such as annual or quarterly reports.

What is fundamental analysis?

In accounting and finance, fundamental analysis is a method of assessing the intrinsic value of a security by analyzing various macroeconomic and microeconomic factors. The ultimate goal of fundamental analysis is to quantify the intrinsic value of a security.