Investment Analysis — Fundamentals

Fundamental stock analysis using the finance dataset.

alpha2phi
7 min readSep 28, 2022

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Investment Analysis — Fundamental

In this article, we will use the finance dataset to analyze the stocks.

This article is part of the Investment Analysis series.

The source code is available in this repository.

The content of this article is not investment advice. Investment involves risk. Always use your judgment for any investment decision.

Getting Started

In previous articles, we created the finance dataset. Let’s proceed to explore and analyze the dataset. The Jupyter notebook is available here.

Stocks by Sector

Our dataset contains around 8,000 stocks across different sectors of the US market.

Stocks by Sector
Stocks by Sector

Fundamental Analysis Indicators

Fundamental analysis is still one of the best ways to benchmark a stock’s performance.

Many fundamental analysis indicators can be used to ascertain the financial health of a company.

  • Earnings Per Share (EPS)
  • Price To Earnings Ratio (P/E)
  • Projected Earnings Growth (PEG)
  • Free Cash Flow (FCF)
  • Price to Book Ratio (P/B)
  • Return on Equity (ROE)
  • Dividend Payout Ratio (DPR)
  • Price to Sales Ratio (P/S)
  • Dividend Yield Ratio
  • Debt To Equity Ratio (D/E)

We will use some of these indicators to analyze the dataset. We will start by looking at the indicators separately and will combine them for further analysis later.

Earnings Per Share (EPS)

Earnings Per Share (EPS) is the portion of a company’s profit that is assigned to each…

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alpha2phi

Software engineer, Data Science and ML practitioner.