Leandro's avatar
$133.5m follower assets
Topics to think about when analyzing companies
I came up with the following topics to analyze in depth when analyzing companies, can you think of any more?

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Conor Mac's avatar
Maybe, and this depends on how important you think this is, that "expectations" deserves its own bubble here.

Ie, what does the market appear to be expecting from this business? Is the outlook generally positive (they will meet or exceed their guidance/plans) or negative (they will fail).

Depending on what the market thinks, and what you think, it can create clearer insight into what you feel the upside might be if you are right in your stance.
Leandro's avatar
@investmenttalk Absolutely agreed. When analyzing valuation I do an inverse DCF to see what's baked in and then I compare it to my own estimates. If market seems pessimistic then it might be a good oportunity, if the contrary is true then maybe better to wait!
Joshua Simka's avatar
What are your favorite sources for learning more about industry dynamics/competition?
Leandro's avatar
@tomato reading expert calls and primary info of competitors