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What are fundamental analysis tools needed for valuing companies?

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Question added by Abdullah Mahhaden, CFA, CPA , Assurance Manager , Grant Thornton
Date Posted: 2013/06/18
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by Deleted user

Expected Cash flow( for instance Dividend), Discounting Rate, Risk Free Rate, Market Portfolio Rate, Beta

Gaurav Kumar
by Gaurav Kumar , Senior Management Trainee , Raymond Ltd.

As far as fundamental analysis is concerned, unlike technical analysis, there are no tools.

As intuitively appeals also, to understand the fundamentals of a particular business which depends upon infinite factors there cannot be a mathematical tool to arrive at a number.

It takes your understanding of business, policy support, future outlook and comparables from the market and the sense of understanding the mutual linkages of all to arrive at a valuation.

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