Fundamental Analysis

The speaker provides a basic overview of many of the key financial ratios that are used for fundamental analysis of a company.  He covers the debt/equity ratio, return on assets, PEG, quick ratio, P/E ratio,

The video discusses two key ratios which can help you understand how a company is doing per share of leverage that has been taken.  Earnings per share, or EPS, is important in understanding how much a company is making off each share they have issued.  A high EPS can indicate that a company should be paying a

The speaker covers the concepts of earnings per share and diluted earnings per share.  He talks through how to calculate the EPS; it is Net Income divided by Shares Outstanding.  Diluted earnings per share is calculated by dividing Net Income by the number of diluted shares outstanding.  If you are manua

The speaker provides a basic overview of the return on equity formula and breaks it down into its components.  Return on equity takes net income and divides it by equity.  This formula breaks down into profit margin times equity turnover

The speaker discusses the return on equity ratio.  This ratio represents the return the company is able to generate on the book value of their equity.  It is defined numerically as earnings divided by book value of the equity from the

The speaker covers the basics of preferred stock.  He discusses the differences between preferred stock, bonds, and common stock.  He suggests that companies sometimes prefer issuing preferred stock due to the fact it doe

The speaker discusses how to calculate the cost of preferred stock.  The video provides the formula and discusses how underwriting costs play a part in pricing.  The cost of preferred stock is equal to the