1 P a g e Questions or comments? Contact us at TSLabs@TradeStation.com
|
|
- Douglas Parks
- 8 years ago
- Views:
Transcription
1 The Fundamental Score Indicator is an analysis technique created to analyze stocks strictly based on certain financial ratios of the company. The score ranges between 0 and 100, with a higher score signifying stronger fundamental data for a company and a lower score signifying weaker fundamentals. The score takes into consideration eight different financial ratios that look into the liquidity, solvency, and profitability strength of a company. To calculate the fundamental score, we first calculate several financial statement ratios. Each ratio is given a certain weight in order to calculate the total fundamental score. The default weights for each ratio are provided below in Figure 1. However, the weights are also inputs for the indicator, which will allow the client to place a higher or lower weighting to a certain ratio according to their preference. If you feel the Debt to Equity Ratio should have a higher weighting than the default 15%, you can adjust it higher and adjust another ratio lower. In order for the indicator to calculate accurately, all the ratio weights should add up to 100. Ratio Weight Quick Ratio 15% Debt To Equity Ratio 15% Operating Profit Margin 15% Return on Assets 5% Return on Equity 5% P/E Ratio 25% P/BV Ratio 10% EPS Growth 10% Total 100% 1 P a g e Questions or comments? Contact us at TSLabs@TradeStation.com
2 In Figure 2 below is a table with a quick summary of all the financial ratios used in the fundamental score indicator. The table displays the formula, a quick description of the ratio and how it is used to analyze a company. Quick Ratio Ratio Calculation Description Debt To Equity Ratio [Cash + Marketable Securities + Receivables] Current Liabilities Total Debt Total Equity Used to determine liquidity strength of a company. The higher the ratio, the more likely the company will be able to pay current liabilities. Solvency ratio used to determine the amount of leverage a company has or its use of debt financing. The lower the ratio, the better. Operating Profit Margin Return on Assets Return on Equity Price to Earnings Ratio Price to Book Value Ratio EPS Growth Operating Income Total Revenue Net Income Average Total Assets Net Income Average Total Equity Price Earnings (TTM) Price Tangible Book Value EPS - EPS 1 Period Ago EPS Profitability ratio that measures the ability of a company to keep expenses low in order to retain as much of its revenue generated as profit. The higher the ratio, the better. Profitability ratio that measures the ability of a company to use its assets efficiently in order to generate net income. The higher the ratio, the better. Profitability ratio that measures the ability of a company to use its equity efficiently in order to generate net income. The higher the ratio, the better. Valuation ratio that divides market price per share by earnings per share for the last 12 months. Used to determine if stock price is overvalued or undervalued. Valuation ratio that divides market price per share by tangible book value. Used to determine if stock price is overvalued or undervalued. EPS growth quarter over quarter. Used to determine recent growth of company. The score for each ratio is based on a combination of the weighting assigned, as well as the result of the ratio and the difference between the current ratio and previous ratio. For example, for the quick ratio which measures the liquidity of a company, if the ratio is below 1, the score will be zero due to the fact that the company does not have enough current or liquid assets to cover its current liabilities. If the quick ratio is between 1 and 1.2, the score will be 25% of the quick ratio weight. If the quick ratio is between 1 and 1.2 and the current quick ratio is greater than the previous quarter s quick ratio, the score will be 50% of the quick ratio weight. If both the current quick ratio and previous quarter s quick ratio are above 1 and the current quick ratio is greater than the previous quick ratio, the score will be 75% of the weight. If the current quick 2 P a g e Questions or comments? Contact us at TSLabs@TradeStation.com
3 ratio is greater than 1.2 and the previous quick ratio was greater than 1, then the score will be 100% of the weight. In general, for all of the ratios, higher scores are given if the ratio is either higher or lower, or if there has been a growth or decrease in the ratio between the current period and previous period, depending on the type of ratio it is. For the debt to equity ratio, the lower the better for the stock, versus the operating profit margin, where the higher the ratio, the better. The scoring criteria are customizable within the code. Once all of the individual scores have been calculated, they are all added together to form the final fundamental score, which will range between 0 and 100. If the ratio is 0, it signifies that there was no meaningful data to calculate the ratio. There are several different inputs in the indicator that provide the client with more flexibility in the manner in which they use the indicator. The first eight inputs are the weights assigned to each financial ratio, which must add up to 100. Ratios provides the client with the ability to see the ratio for the current period if you leave the input as true. Scores provides the client with the ability to see the scores for each ratio for the current period if the input is true. If you type false instead, the ratios or scores will not display. The inputs BullishScore and BearishScore allow the client to identify what they would consider to be a strong fundamental score and a weak fundamental score. Based on how you define the inputs BullishScore and BearishScore, the indicator will change color in a RadarScreen window to distinguish between a bullish and a bearish score. The last input, QuartersAgo, provides the client with the ability to view the fundamental score as of a certain number of quarters ago. This input helps the client see the progression of the fundamentals of a company through several periods. The input for QuartersAgo should always be a positive integer in order to calculate accurately. In Figure 3 below is a summary of all the Fundamental Score inputs, including the default input and a description of each input. Name Default Description Weight applied to the Quick Ratio of a company. The higher 15 Weight_Quick_Ratio the ratio, the better. Weight applied to the Debt to Equity Ratio of a company. The 15 Weight_Debt_to_Equity lower the ratio, the better. Weight_Oper_Profit_Margin Weight_ROA Weight_ROE Weight_EPS Weight_PE_Ratio Weight_PB_Ratio Ratios TRUE Weight applied to the Operating Profit Margin of a company. The higher the ratio, the better. Weight applied to the Return on Assets of a company. The higher the ratio, the better. Weight applied to the Return on Equity of a company. The higher the ratio, the better. Weight applied to the Earnings per Share of a company. The higher the ratio, the better. Weight applied to the Price to Earnings Ratio of a company. The lower the ratio, the better given a positive P/E Ratio. Weight applied to the Price to Book Value Ratio of a company. The lower the ratio, the better given a positive P/BV Ratio. If the input is "TRUE," then the ratios will plot in RadarScreen. If the input is "FALSE," then the ratios will not plot. 3 P a g e Questions or comments? Contact us at TSLabs@TradeStation.com
4 Scores BullishScore BearishScore QuartersAgo TRUE If the input is "TRUE," then the scores will plot in RadarScreen. If the input is "FALSE," then the scores will not plot. Score between 0 and 100 that defines a bullish fundamental score. Any score above this input will be defined as bullish. Score between 0 and 100 that defines a bearish fundamental score. Any score below this input will be defined as bearish. This allows you to see the historical fundamental score as of a certain number of quarters ago chosen. If input is defined as "1," then the indicator will plot the Fundamental Score as of 1 quarter ago. The Fundamental Score Indicator should be used as a method of objectively analyzing and comparing the fundamentals of different companies. Using it in a RadarScreen window allows you to compare stocks within the same sector to determine which stocks have stronger fundamentals versus others in the same industry. It was created to be used in a weekly interval, so make sure to adjust the interval in the RadarScreen window to weekly. When the indicator is placed in a RadarScreen window with the default settings (Quarters Ago = 0; BullishScore = 60; BearishScore = 40), it is going to appear similar to Figure 4 displayed below. Return % will be 0 due to the fact that the input Quarters Ago is set to 0. Once the input Quarters Ago is greater than 0, it will compare the return on the stock as of the number of quarters ago specified in the input. This way, you can compare what the fundamental score was as of a certain number of quarters ago and then see what the return on the stock was as of that point in time. 4 P a g e Questions or comments? Contact us at TSLabs@TradeStation.com
5 The first column displays the current Fundamental Score depending on the QuartersAgo input. If the input is left at 0, it will display the current score. If it is changed to 1, it will display the fundamental score as of one quarter ago. The second column will display the score as of one quarter ago, while the third column displays the score as of two quarters ago. The fourth column displays whether the signal is bullish, bearish, or flat depending on the inputs BullishScore and BearishScore, which the client can specify. The color gradient is also based on the inputs. Notice how the scores identified as bullish are blue, scores identified as flat are gray, and scores identified as bearish are red. The scores identified as flat are simply the scores that fall between the bullish score and the bearish score. In Figure 4, scores above 40 and below 60 are considered flat. The fifth column titled Return % will be used once the QuartersAgo input is greater than 0. It will then display the return as of the number of quarters ago the client specifies. The last column will display the input QuartersAgo in order for the client to identify the number of quarters ago the data is displaying. Accordingly, when the QuartersAgo input is 1 or greater, the second and third columns will be one period ago from the quarters ago specified. For example, if the input for QuartersAgo is 2, the 1-Ago column will display the fundamental score from three quarters ago, and the 2-Ago column will display the fundamental score from four quarters ago. Below in Figure 5 is an example of the indicator when using 1 as the input for QuartersAgo. Notice how the Return % column and Quarters Ago column are now appearing in different colors based on the percent return of the stock as of one quarter ago. This feature allows the client to compare the fundamental score of a certain number of periods ago to the return on the stock since that period. If the stock has had a high positive return during the period, the cell background changes to blue. Likewise, with a negative return the cell background is red, and with flat returns the background color is gray. Clients may 5 P a g e Questions or comments? Contact us at TSLabs@TradeStation.com
6 want to use the indicator to look for stocks whose fundamental score has been rising from period to period or decreasing from period to period in order to look for stocks to go long or short. Clients may also want to take a contrarian approach and look for stocks whose fundamentals may be peaking or reaching a trough. The Fundamental Score Indicator provides you with the ability to objectively rank equity securities based on several different financial ratios in order to compare stocks within the same industry or sector. The result of a stand-alone financial ratio is not always enough to accurately assess the financial standing of a company. The ability to compare the financial ratios of companies within the same industry or sector or to compare the changes between the financial ratios over time, is a more efficient way of analyzing the ratios. Keep in mind that a high fundamental score according to this indicator does not necessarily indicate a buying signal. It simply means that the current fundamentals of the company are strong; however, the market may have already priced this information into the security, meaning the stock could be overvalued. Some of the equities with current bearish signals and a lower fundamental score may be securities that are undervalued and with the most potential for future growth. You might want to instead use the indicator to look for growth in the fundamental score over several periods or simply as an additional filter to determine on which securities you want to apply your own trading strategy. In addition, when plotting the ratios, you can sort by the eight different financial ratios that are being calculated to find the stock with the highest or lowest result in order to look for strength or weakness in a certain ratio. You may also apply the fundamental score indicator in a scan to narrow down a list of stocks based on their fundamental score. Remember to adjust the interval to weekly when using the indicator. In order to open the sample workspaces provided, you may first need to import the custom EasyLanguage file with the extension.eld. Copy the attached.eld file and workspaces to your computer. Then import the indicators or strategies by double-clicking on the EasyLanguage.eld file. This will automatically start the TradeStation import wizard. Click Next until the Analysis Techniques and/or strategies have been imported. The indicators are now available and you can now open the provided workspaces. Other supportive documents or files may also be attached to this . Alexandra Guevara is a Market Technician for TradeStation Securities All support, education and training services and materials on the TradeStation Securities website are for informational purposes and to help customers learn more about how to use the power of TradeStation software and services. No type of trading or investment advice is being made, given or in any manner provided by TradeStation Securities or its affiliates. This material may also discuss in detail how TradeStation is designed to help you develop, test and implement trading strategies. However, TradeStation Securities does not provide or suggest trading strategies. We offer you unique tools to help you design your own strategies and look at how they could have performed in the past. While we believe this is very valuable information, we caution you that simulated past performance of a trading strategy is no guarantee of its future performance or success. We also do not recommend or solicit the purchase or sale of any particular securities or derivative products. Any symbols referenced are used only for the purposes of the demonstration, as an example ---- not a recommendation. Finally, this material may discuss automated electronic order placement and execution. Please note that even though TradeStation has been designed to automate your trading strategies and deliver timely order placement, routing and execution, these things, as well as access to the system itself, may at times be delayed or even fail due to market volatility, quote delays, system and software errors, Internet traffic, outages and other factors. 6 P a g e Questions or comments? Contact us at TSLabs@TradeStation.com
Market Technician, TradeStation Labs TSLabs@TradeStation.com
Market Technician, TradeStation Labs TSLabs@TradeStation.com Standard deviation is a common statistical calculation that is often used in the world of finance to measure risk. The higher the standard deviation,
More informationThe Intraday Bias Indicator
Wednesday, June 13, 2012 Issue 41 Wednesday, August 8, 2012 Intraday Time Analysis Erik Skyba, CMT Senior Quantitative Analyst TSLabs@TradeStation.com Features Studies/Files Included: Focus: Technical
More information$TICK - Tock - Testing the NYSE TICK Index
Issue 12 Tuesday November 16, 2010 $TICK - Tock - Testing the NYSE TICK Index By Erik Skyba, CMT Senior Market Technician, TradeStation Labs TSLabs@TradeStation.com Focus Technical Study Markets Equities
More informationForex Pair Performance Strength Score
Issue 50 Wednesday, September 11, 2013 Forex Pair Performance Strength Score Michael Burke Vice-president of Client Training and Education TSLabs@TradeStation.com Features Studies/Files Included: Focus:
More informationThe GridTrading EasyLanguage Application
The GridTrading EasyLanguage Application By Peter Parandjuk Vice President and Chief Architect of Advanced Trading Technologies pparandjuk@tradestation.com Important Disclosures All support, education
More informationIntroduction to Forex Trading
Introduction to Forex Trading The Leader in Rule-Based Trading 1 Important Information and Disclaimer: TradeStation Securities, Inc. seeks to serve institutional and active traders. Please be advised that
More informationHow to Trade Options: Strategy Building Blocks
How to Trade Options: Strategy Building Blocks MICHAEL BURKE Important Information and Disclosures This course is provided by TradeStation, a U.S.-based multi-asset brokerage company that seeks to serve
More informationTD is currently among an exclusive group of 77 stocks awarded our highest average score of 10. SAMPLE. Peers BMO 9 RY 9 BNS 9 CM 8
Updated April 16, 2012 TORONTO-DOMINION BANK (THE) (-T) Banking & Investment Svcs. / Banking Services / Banks Description The Average Score combines the quantitative analysis of five widely-used investment
More informationAlerts & Filters in Power E*TRADE Pro Strategy Scanner
Alerts & Filters in Power E*TRADE Pro Strategy Scanner Power E*TRADE Pro Strategy Scanner provides real-time technical screening and backtesting based on predefined and custom strategies. With custom strategies,
More informationIntroducing the Fibonacci Retracement Channel Indicator
Issue 45 Wednesday, December 12, 2012 Introducing the Fibonacci Retracement Channel Indicator Frederic Palmliden, CMT Senior Quantitative Analyst TSLabs@TradeStation.com Features Studies/Files Included:
More informationUnderstanding the Technical Market Indicators
Understanding the Technical Market Indicators Revised: October 2009 Article Written By: Md Saeed Ul Hoque Golden Gate University San Francisco, CA Sharif Gias Assistant Professor of Finance University
More informationCONTENT 1. 2. 5-8 9 5. 6. 7.
User Manual TM CONTENT 1. 2. 3. 4. 5. 6. 7. 8. 9. Introduction The Autochartist Interface Analysis Toolbar (A) Pattern Display (B) Search Pane (C) Results Pane (Completed Patterns) (D) Results Pane (Emerging
More informationValueCharts TradeStation
ValueCharts TradeStation ValueCharts TradeStation indicator suite can be located in the TradeStation Strategy Network under MicroQuantSM products. Free trial subscription periods are available for all
More informationTrading with the Intraday Multi-View Indicator Suite
Trading with the Intraday Multi-View Indicator Suite PowerZone Trading, LLC indicators can provide detailed information about the conditions of the intraday market that may be used to spot unique trading
More informationCENTRE FOR INVESTMENT EDUCATION AND LEARNING. Author 1 & Author 2. Location - Date
CENTRE FOR INVESTMENT EDUCATION AND LEARNING Equity Valuation and Analysis Author 1 & Author 2 Location - Date Basic Approaches to Valuation Price of an equity share in secondary market is dynamic Investors
More informationRatio Calculator. Program
Ratio Calculator Program This program allows the user to enter the minimum data needed to calculate key financial performance ratios. The program calculates specific ratios and identifies strengths or
More informationFI3300 Corporation Finance
Learning Objectives FI3300 Corporation Finance Spring Semester 2010 Dr. Isabel Tkatch Assistant Professor of Finance Explain the objectives of financial statement analysis and its benefits for creditors,
More informationValueCharts for thinkorswim
ValueCharts for thinkorswim Contents What are ValueCharts? What is ValueCharts Scanner? What are ValueAlertsSM? What are ValueBarsSM? What are ValueBandsSM What are ValueLevelsSM? What are ValueFlagsSM?
More informationACTIVE TRADING WITH TRADESTATION AND THE STOCKSCORES STRATEGIES
ACTIVE TRADING WITH TRADESTATION AND THE STOCKSCORES STRATEGIES WORKSPACE/DESKTOP LAYOUT There are infinite ways to set up your Tradestation layout; how you do it is a personal preference. The process
More informationGCSE Business Studies. Ratios. For first teaching from September 2009 For first award in Summer 2011
GCSE Business Studies Ratios For first teaching from September 2009 For first award in Summer 2011 Ratios At the end of this unit students should be able to: Interpret and analyse final accounts and balance
More informationCMAC meeting Agenda paper 2 Debt vs Equity
17 October 2013 International Financial Reporting Standards CMAC meeting Agenda paper 2 Debt vs Equity Conceptual Framework The views expressed in this presentation are those of the presenter, not necessarily
More informationReview for Exam 3. Instructions: Please read carefully
Review for Exam 3 Instructions: Please read carefully The exam will have 25 multiple choice questions and 5 work problems. Questions in the multiple choice section will be either concept or calculation
More informationSurperformance Ratings
User guide www.4-traders.com Table of contents 1 General explanation... 4 2 - Description of fundamental criterion... 4 Investor Rating... 4 Trading Rating... 4 Growth (Revenue)... 4 Valuation... 5 EPS
More informationA powerful dashboard utility to improve situational awareness of the markets, place precise orders, and graphically monitor trading positions.
A powerful dashboard utility to improve situational awareness of the markets, place precise orders, and graphically monitor trading positions. Position DashBoard Powered by BAR ANALYZER Position DashBoard
More informationIntroduction to Forex Trading
Introduction to Forex Trading The Leader in Rule-Based Trading 1 Important Information and Disclaimer: TradeStation Securities, Inc. seeks to serve institutional and active traders. Please be advised that
More informationTrading with the High Performance Intraday Analysis Indicator Suite
Trading with the High Performance Intraday Analysis Indicator Suite PowerZone Trading indicators can provide detailed information about the conditions of the intraday market that may be used to spot unique
More informationPresents. The Trading Information Revealed Here is not the Same as the WizardTrader.com Methods -- But Together They Pack a Powerful Punch
Presents Killer Patterns Now You Can Have These Trading Gems -- Free! The Trading Information Revealed Here is not the Same as the WizardTrader.com Methods -- But Together They Pack a Powerful Punch 1
More informationGetting Started with TradeStation. SESSION 2 Trading Strategies, Chart Analysis, and Indicators 20110801-A. TradeStation
tsbooks_strategy_trading:live on the web 7/21/2011 3:53 PM Page 1 Getting Started with TradeStation SESSION 2 Trading Strategies, Chart Analysis, and Indicators 20110801-A TradeStation IMPORTANT DISCLOSURES
More informationKnowledge Series : P/E Multiple. January 2009
Knowledge Series : P/E Multiple January 2009 Introduction to the P/E Multiple - The P/ E Multiple (or Ratio) is one of the most common indicators to judge the worth of a company s shares - Most people
More informationGetting Started with Trading Strategies, Chart Analysis, and Indicators
Getting Started with Trading Strategies, Chart Analysis, and Indicators 20090707-A TradeStation Securities Member NYSE, FINRA, NFA and SIPC Important Information and Disclaimer: TradeStation Securities,
More informationOmniFunds. About OmniFunds. About Alpha 2.0: About VisualTrader 11 Pro. Alpha 2.0 - Released September 24, 2015
OmniFunds Alpha 2.0 - Released September 24, 2015 About OmniFunds OmniFunds is an exciting work in progress that our users can participate in. As of Alpha 2.0, we have one canned example our users can
More informationNovember Rally. The days before and after Thanksgiving Day, combined, have had only 9 losses in 51 years on the Dow.
All information and commentary herein has been prepared solely for informational purposes, and is not an offer to buy or sell, or a solicitation of an offer to buy and sell any security or instrument or
More informationYour Guide to E*TRADE s Platinum Independent Advisor Platform
1 Your Guide to E*TRADE s Platinum Independent Advisor Platform As an independent advisor, you can rely on E*TRADE s state-of-the-art, advisor-only system to help you better serve your clients, while making
More informationMargin Guide and Guide to Margin Close Out
Margin Guide and Guide to Margin Close Out The purpose of this guide is to set-out the treatment of your positions and the actions we may take in the event that your Margin Level falls below your Margin
More informationFX Currency Strength Radar Manual
C O D I N G T R A D E R. C O M FX Currency Strength Radar Manual Version 1.00 Table of Contents FX Currency Strength Radar... 1 What is FX Currency Strength Radar?... 2 Installation... 3 Configurations...
More informationA Fidelity Investments Webinar Series: Basics of Stock Investing
A Fidelity Investments Webinar Series: Basics of Stock Investing 1 Fidelity Brokerage Services, Member NYSE, SIPC, 900 Salem Street, Smithfield, RI 02917. 2016 FMR LLC. All rights reserved. 734380.2.0
More informationDay Trading Stock Controller
Day Trading Stock Controller Disclaimer: Trading stocks, including ETFs, involves substantial risk of loss and is not suitable for all people. You should carefully consider whether trading, especially
More informationImprove your equity research productivity
Improve your equity research productivity Creating and updating company models Standardized Excel based company models ensure each analyst s work seamlessly integrates with research database and can be
More informationInterpretation of Financial Statements
Interpretation of Financial Statements Author Noel O Brien, Formation 2 Accounting Framework Examiner. An important component of most introductory financial accounting programmes is the analysis and interpretation
More informationCHAPTER 8 STOCK VALUATION
CHAPTER 8 STOCK VALUATION Answers to Concepts Review and Critical Thinking Questions 5. The common stock probably has a higher price because the dividend can grow, whereas it is fixed on the preferred.
More informationReturn on Equity has three ratio components. The three ratios that make up Return on Equity are:
Evaluating Financial Performance Chapter 1 Return on Equity Why Use Ratios? It has been said that you must measure what you expect to manage and accomplish. Without measurement, you have no reference to
More informationExcel Formatting: Best Practices in Financial Models
Excel Formatting: Best Practices in Financial Models Properly formatting your Excel models is important because it makes it easier for others to read and understand your analysis and for you to read and
More informationWEB TRADER USER MANUAL
WEB TRADER USER MANUAL Web Trader... 2 Getting Started... 4 Logging In... 5 The Workspace... 6 Main menu... 7 File... 7 Instruments... 8 View... 8 Quotes View... 9 Advanced View...11 Accounts View...11
More informationFinancial Condition Analysis Model
Financial Condition Analysis Model GOVERNMENTAL ACTIVITIES & ENTERPRISE FUNDS Economic resources and accrual basis of accounting Flow Financial Dimension Financial Indicator Interpretation Interperiod
More informationTemplates available in Excel 97 (Excel 8) and higher versions:
Excel Templates Templates available in Excel 97 (Excel 8) and higher versions: All of the Excel templates in Research Insight can be customized to fit your own particular needs. Company Fundamental Analysis
More informationSeDeX. Covered Warrants and Leverage Certificates
SeDeX Covered Warrants and Leverage Certificates SeDeX Leverage products increase the potential performance of the portfolio. Foreword Leverage effect amplifies both underlying rises and falls Covered
More informationSpeedpro MT5 to MT4 Trade Copier Quick Manual
Speedpro MT5 to MT4 Trade Copier Quick Manual Visit: http://copymt5tomt4.ucoz.com/ Note that for more sophisticated setting like connecting multiple MT5 to multiple MT4, please read the provided full manual.
More informationBalance Sheet. Financial Management Series #1 9/2009
Balance Sheet Prepared By: James N. Kurtz, Extension Educator Financial Management Series #1 9/2009 A complete set of financial statements for agriculture include: a Balance Sheet; an Income Statement;
More informationHow to Configure and Use MRP
SAP Business One How-To Guide PUBLIC How to Configure and Use MRP Applicable Release: SAP Business One 8.8 All Countries English October 2009 Table of Contents Purpose... 3 The MRP Process in SAP Business
More informationRunning head: THE VALUATION OF WAL-MART 1
Running head: THE VALUATION OF WAL-MART 1 The Valuation of Wal-Mart CPT Becky Lux, CPT Ino Ruiz, and ENS Jujuane Hairston Army-Baylor MHA/MBA Graduate Program THE VALUATION OF WAL-MART 2 In fiscal year
More informationFNCE 3010 (Durham). HW2 (Financial ratios)
FNCE 3010 (Durham). HW2 (Financial ratios) 1. What effect would the following actions have on a firms net working capital and current ratio (assume NWC is positive and current ratio is initially greater
More informationGMMA 2.0 User Guide. August 2010 Edition PF-30-01-02
GMMA 2.0 User Guide GMMA 2.0 User Guide August 2010 Edition PF-30-01-02 Support Worldwide Technical Support and Product Information www.nirvanasystems.com Nirvana Systems Corporate Headquarters 7000 N.
More informationFINANCIAL ANALYSIS GUIDE
MAN 4720 POLICY ANALYSIS AND FORMULATION FINANCIAL ANALYSIS GUIDE Revised -August 22, 2010 FINANCIAL ANALYSIS USING STRATEGIC PROFIT MODEL RATIOS Introduction Your policy course integrates information
More informationCalculating profitability indicators - profitability
Calculating profitability indicators - profitability Introduction When a business is deciding whether to grant credit to a potential customer, or whether to continue to grant credit terms to an existing
More informationFactual statements in this course are made as of the date the course was created and are subject to change without notice.
1 HOW TO AVOID CHOPPY MARKETS Dr. Barry Burns Copyright 2007 Top Dog Trading IMPORTANT-READ CAREFULLY: Reproduction, translation, or distribution in any form or by any means, or storage in a data base
More informationGetting Started With Recognia Value Analyzer.Doc
Getting Started with Recognia Value Analyser A Guide for End- Users Introduction Recognia Value Analyser helps self-directed investors make better decisions and achieve better performance in their self-directed
More informationTo receive this report via e-mail, please go to: www.factset.com/data/news_research/researchdesk
EARNINGS INSIGHT John Butters, VP, Sr. Earnings Analyst jbutters@factset.com Media Questions/Requests media_request@factset.com S&P 500 June 24, 2016 Key Metrics Earnings Growth: For Q2 2016, the estimated
More informationIn line performance. Results update 4Q2015. Banks UAE 28 January 2016 DUBAI ISLAMIC BANK
28 Jan 15 28 Apr 15 28 Jul 15 28 Oct 15 DUBAI ISLAMIC BANK In line performance Results update 4Q2015 Banks UAE 28 January 2016 Dubai Islamic Bank s (DIB) reported net profit of AED865mn, in-line with our
More informationChapter 17: Financial Statement Analysis
FIN 301 Class Notes Chapter 17: Financial Statement Analysis INTRODUCTION Financial ratio: is a relationship between different accounting items that tells something about the firm s activities. Purpose
More informationmobiletws for iphone
mobiletws for iphone Table of Contents Log in to mobiletws... 1 Logging In... 1 Trade... 5 Submit an Order... 5 The Order Ticket... 6 Quotes, Charts, Trading... 7 Add a Contract... 8 View Expanded Ticker...
More informationValuation Equity Analysis II: Relative Valuation Models. Valuation Models. Price Multiples. Price to Earnings. Rationales for using P/E
Valuation Equity Analysis II: Relative Valuation Models Valuation is the estimation of an asset s value based either on variables perceived to be related to future investment returns or on comparisons
More information9 Questions Every ETF Investor Should Ask Before Investing
9 Questions Every ETF Investor Should Ask Before Investing 1. What is an ETF? 2. What kinds of ETFs are available? 3. How do ETFs differ from other investment products like mutual funds, closed-end funds,
More informationFSA Note: Summary of Financial Ratio Calculations
FSA Note: Summary of Financial Ratio Calculations This note contains a summary of the more common financial statement ratios. A few points should be noted: Calculations vary in practice; consistency and
More informationEXTRAPOLATION BIAS: INSIDER TRADING IMPROVEMENT SIGNAL
EXTRAPOLATION BIAS: INSIDER TRADING IMPROVEMENT SIGNAL HIGHLIGHTS Consistent with previous studies, we find that knowledge of insider trading is valuable to non-insider investors. We find that the change
More informationCHAPTER 6. P.6.17 The following are the ratios relating to the activities of National Traders Ltd:
CHAPTER 6 Solved Problems P.6.17 The following are the ratios relating to the activities of National Traders Ltd: Debtors velocity (months) 3 Stock velocity (months) 8 Creditors velocity (months) 2 Gross
More informationFinancial Ratios Used In GLO-BUS
Financial Ratios Used In GLO-BUS Profitability Ratios (as reported on pages 2 and 6 of the GLO-BUS Statistical Review) Earnings per share (EPS) is defined as net income divided by the number of shares
More informationUnderstanding Financial Management: A Practical Guide Guideline Answers to the Concept Check Questions
Understanding Financial Management: A Practical Guide Guideline Answers to the Concept Check Questions Chapter 3 Interpreting Financial Ratios Concept Check 3.1 1. What are the different motivations that
More informationKey Concepts and Skills. Standardized Financial. Chapter Outline. Ratio Analysis. Categories of Financial Ratios 1-1. Chapter 3
Key Concepts and Skills Chapter 3 Working With Financial Statements Know how to standardize financial statements for comparison purposes Know how to compute and interpret important financial ratios Know
More informationHow To Calculate Financial Leverage Ratio
What Do Short-Term Liquidity Ratios Measure? What Is Working Capital? HOCK international - 2004 1 HOCK international - 2004 2 How Is the Current Ratio Calculated? How Is the Quick Ratio Calculated? HOCK
More informationSterling Capital Stratton Small Cap Value Fund
Overview Investment Objective The Small Cap Value Fund seeks long-term capital appreciation. The Fund uses a value investment approach to invest primarily in common stock of small capitalization companies
More informationNew Trendlens Indicators & Functions
New Trendlens Indicators & Functions There are 83 new indicators and functions available in TrendLens. Formation Functions Highest Value The Highest Value formation function looks back bar count number
More informationEXPERT CHOICE TUTORIAL
EXPERT CHOICE TUTORIAL This tutorial will guide you through two practice problems. 1) You will build, make assessments in, synthesize, and perform sensitivity on an EC model to find the best place to go
More informationThe Language of the Stock Market
The Language of the Stock Market Family Economics & Financial Education Family Economics & Financial Education Revised November 2004 Investing Unit Language of the Stock Market Slide 1 Why Learn About
More informationThe Purchase Price in M&A Deals
The Purchase Price in M&A Deals Question that came in the other day In an M&A deal, does the buyer pay the Equity Value or the Enterprise Value to acquire the seller? What does it mean in press releases
More informationHow Well Do Traditional Momentum Indicators Work? Cynthia A. Kase, CMT President, Kase and Company, Inc., CTA October 10, 2006
How Well Do Traditional Momentum Indicators Work? Cynthia A. Kase, CMT President, Kase and Company, Inc., CTA October 10, 2006 1.0 Introduction Most market technicians believe traditional momentum indicators,
More informationChapter 6 - Rahul Mohindar Oscillator System
Chapter 6 - Rahul Mohindar Oscillator System The Rahul Mohindar Oscillator and its associated tools and indicators were developed by Mr. Rahul Mohindar of VIRATECH (viratechindia.com). In addition to being
More informationData Analysis with Microsoft Excel 2003
Data Analysis with Microsoft Excel 2003 Working with Lists: Microsoft Excel is an excellent tool to manage and manipulate lists. With the information you have in a list, you can sort and display data that
More informationCourse 1: Evaluating Financial Performance
Excellence in Financial Management Course 1: Evaluating Financial Performance Prepared by: Matt H. Evans, CPA, CMA, CFM This course provides a basic understanding of how to use ratio analysis for evaluating
More informationApril 2016. The Value Reversion
April 2016 The Value Reversion In the past two years, value stocks, along with cyclicals and higher-volatility equities, have underperformed broader markets while higher-momentum stocks have outperformed.
More informationUser Manual. Before you connect, start or configure your new point of sale terminal, please carefully read the User Manual
User Manual Before you connect, start or configure your new point of sale terminal, please carefully read the User Manual Copyright This publication, including all photograhs, illustrations and software,
More informationSection 1. Introduction to Option Trading
Section 1. Introduction to Option Trading Trading stock options is a much different game from trading the underlying stocks. When options are traded for appreciation, it is a game of leverage, with big
More informationA VERY DIFFERENT NASDAQ
LPL RESEARCH WEEKLY MARKET COMMENTARY KEY TAKEAWAYS The Nasdaq Composite just hit 5000 today as this report was going to press and is nearing its all-time record closing high of 5048. Even with the Nasdaq
More informationScientific Graphing in Excel 2010
Scientific Graphing in Excel 2010 When you start Excel, you will see the screen below. Various parts of the display are labelled in red, with arrows, to define the terms used in the remainder of this overview.
More informationSavvy Dashboard. User Guide. Savvy Dashboard Version 1.0 Release Date 2014 TradeStation Version Compatibility 9.1 Update 20-25
User Guide Savvy Dashboard Version 1.0 Release Date 2014 TradeStation Version Compatibility 9.1 Update 20-25 The Savvy Dashboard app displays essential technical, fundamental, and volatility indicators.
More informationBuilding an Equity Portfolio using Mutual Funds. H. Gayathri Dean Administration & Professor-Marketing
Building an Equity Portfolio using Mutual Funds Ashutosh Prasad Sharma PGDM Number: 11008 H. Gayathri Dean Administration & Professor-Marketing 2 3 Comments by the Faculty The present paper makes an attempt
More informationRT Spread Scanner. Quick overview
RT Spread Scanner RT Spread Scanner... 1 Quick overview... 1 Some hints on usage... 4 Stock filters... 5 Option filters... 5 Stock and option advanced filters... 6 Stock advanced filters... 7 Option advanced
More informationDorsey Wright Multi Asset Income Index Methodology
Dorsey Wright Multi Asset Income Index Methodology Index Description The Dorsey Wright Multi-Asset Income Index selects between one and five investments from a universe of income producing strategies.
More informationRelative valuation and Technical Analysis
Relative valuation and Technical Analysis Relative vs. fundamental valuation The DCF model is a method of fundamental valuation. Value of equity is the present value of future cash flows. Ignores the current
More informationTo receive this report via e-mail, please go to: www.factset.com/data/news_research/researchdesk
EARNINGS INSIGHT John Butters, VP, Sr. Earnings Analyst jbutters@factset.com Media Questions/Requests media_request@factset.com S&P 500 August 5, 2016 Key Metrics Earnings Scorecard: With 86% of the companies
More informationErica Reisman Director of Education Stock Rover February 4 th, 2015
Erica Reisman Director of Education Stock Rover February 4 th, 2015 1 Webinar Outline Presentation Outline: Overview of Dividends Dividend Yield vs. Growth Dividend Safety Stock Rover Demo Outline: Demonstrate
More informationCHAPTER 1: SPREADSHEET BASICS. AMZN Stock Prices Date Price 2003 54.43 2004 34.13 2005 39.86 2006 38.09 2007 89.15 2008 69.58
1. Suppose that at the beginning of October 2003 you purchased shares in Amazon.com (NASDAQ: AMZN). It is now five years later and you decide to evaluate your holdings to see if you have done well with
More informationFinancial Analysis of Real Estate Enterprises: A Case Study of Vanke
International Business and Management Vol. 9, No. 1, 2014, pp. 74-78 DOI:10.3968/5469 ISSN 1923-841X [Print] ISSN 1923-8428 [Online] www.cscanada.net www.cscanada.org Financial Analysis of Real Estate
More informationTRADING AND ANALYTICS GUIDE
Objective information. Sytematic approach TRADING AND ANALYTICS GUIDE February 9, 2016 Part I TRADING AND ANALYTICS GUIDE Overview Page 1 GeckoiCapital Analytics (GiCA) is a research and analysis division
More informationCHAPTER 8 INTEREST RATES AND BOND VALUATION
CHAPTER 8 INTEREST RATES AND BOND VALUATION Solutions to Questions and Problems 1. The price of a pure discount (zero coupon) bond is the present value of the par value. Remember, even though there are
More informationFreeStockCharts.com Workbook
FreeStockCharts.com Workbook Updated March 2010 FREESTOCKCHARTS.COM WORKBOOK Worden Brothers, Inc. www.worden.com Five Oaks Office Park 4905 Pine Cone Drive Durham, NC 27707 0 FREESTOCKCHARTS.COM WORKBOOK
More informationTrade Navigator. Genesis. TradeSense Manual. Finally Strategy Development and Back Testing Just Got Easier! Financial Technologies Inc.
100 90 55 0 5 10 80 70 60 50 40 30 20 100 90 55 0 5 10 0 140 130 120 110 80 70 60 50 40 30 20 10 Trade Navigator TradeSense Manual 140 130 120 110 10 0 brought to you by... Genesis Financial Technologies
More informationMarket Velocity and Forces
Market Velocity and Forces SUPPORT DOCUMENT NASDAQ Market Velocity and Forces is a market sentiment indicator measuring the pre-trade order activity in the NASDAQ Stock Market trading system. It indicates
More informationFinancial Statement Ratio Analysis
Management Accounting 319 Financial Statement Ratio Analysis Financial statements as prepared by the accountant are documents containing much valuable information. Some of the information requires little
More informationWhat Happened to the Secular Bear Market in Equities?
What Happened to the Secular Bear Market in Equities? January 2015 By - Martin J. Pring History shows that US equity prices have consistently alternated between secular bull and bear trends. These price
More information