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Financial Analysis
(redirected from Financial Ratio Analysis)

   Also found in: Wikipedia 0.02 sec.
Financial analysis
Analysis of a company' financial statements, often by financial analysts.

Financial Analysis
Research into data relating to the stability and profitability of businesses, especially to guide one's investing practices. At its most basic, financial analysis involves looking at financial statements to determine if a company is healthy. Balance sheets are important to financial analysis as they provide a ready-made means of investigating performance. However, it is important to note that quantitative financial analysis has limits: the accounting methods a particular business employs, for example, may make it look more or less healthy than it really is. See also: Fundamental analysis.


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Written in clear, concise language and intended for business owners or individual investors with little or no business training, the book contains 12 chapters on topics such as the four main financial statements (each receiving a separate section), financial ratio analysis, the SEC and independent audits, contemporary corporate scandals, and investment strategies.
The resulting percentage-change information transforms financial ratio analysis into a useful, forward-looking planning tool.
Fitch's analysis will focus on several areas: whether the larger, interconnected and more diverse new KNE will be able to increase overall system throughput and better utilize the combined natural gas assets; understanding the risks inherent in the expanded non-regulated gas gathering and processing functions; measuring potential economies of scale gained from the merger; and preparing current and forecast financial ratio analysis for the new company.
 
 
 
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