Fundamental analysis focuses on understanding a stock's intrinsic value by examining macro and microeconomic factors. Analysts evaluate elements such as economic conditions and company management to assess stock prices. The document contrasts fundamental analysis with technical analysis, highlighting when to utilize each method.

1. UNIT – IV
Fundamental Analysis
DR.R.ARUNPRAKASH
ASSISTANT PROFESSOR
DEPARTMENT OF BCOM PA -SRCAS

2. FUNDAMENTALANALYSIS
the primary distinction between fundamental and technical analysis is that the former involves the process of understanding
a stock’s intrinsic or inherent value through the analysis of various factors. in this regard, analysts study elements that can
make an impact on the security’s integral value.

5. Fundamental Analysis Takes Into Account Both Macro And Microeconomic
Factors That Can Influence The Price Of Stocks To Facilitate A Comprehensive
Analysis. For Instance, To Derive A Conclusive Result, Analysts Study Broader
Components Like The Country’s Economic And Industrial Conditions, As Well As,
More Particular Elements Like A Company’s Management To Determine The Price
Of Its Stocks.

8. When to Use Fundamental Analysis
and Technical Analysis?