Fundamental analysis

Quantitative analysis v/s. Qualitative analysis

Quantitative Analysis

1. Understand company's business model.

• Niche or no competition is a good business model. You can make a lot of monies.

2. Understand who is running the show (management)

• Read the MD&A for couple of years and it can be illuminating.
• Watch out if management is dumping the stocks
• Look for who owns most of the stocks
• Do a background check for the top execs of the company.
  

3. Corporate Governance

• Make sure that the board represents interests of stock holders.
• DEF 14A proxy statement has names of people in the board.

Qualitative Analysis

1. Customers

• 10-K document will have details if most of the revenue is coming from one customer.

2. Market Share
3. Industry Growth
4. Competition
5. Regulation

Financial Statements

10-K and 10-Q, 10-K is like the financial statement document and 10-Q is done every quarter for 3 quarters and 10-K is filed only once a year.

1. Balance Sheet
2. Income statement
3. Statement of cash flows