Biotech and pharmaceutical investors, among others, need to watch out for the way firms treat the cost of developing new products, as this can have a big impact on a firm’s results. In his fifth video in the ‘cooking the books’ series, Tim Bennett explains how.
In this video, Ed Bowsher explains how to calculate a company’s profit margin, why it is the best way to evaluate profitability, and how you can use it when analysing a company.
Hedge funds perform a valuable service by weeding out overvalued shares. In this video, Ed Bowsher explains some of the things they look for when they’re hunting for shares to short.
In his latest video, Ed Bowsher looks at the current ratio, which can help you see whether a company has sufficient resources to pay its bills in the near future.