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Financial Analysis Fundamentals 

Financial Analysis Fundamentals
 at 
CFI 
Overview

Use ratios from financial statements to produce financial analysis

Duration

7 hours

Mode of learning

Online

Difficulty level

Intermediate

Credential

Certificate

Financial Analysis Fundamentals
 at 
CFI 
Highlights

  • Earn a certificate of completion from CFI
Details Icon

Financial Analysis Fundamentals
 at 
CFI 
Course details

Who should do this course?
  • For any aspiring financial analyst working in investment banking, financial planning and analysis (FP&A), equity research, corporate development, and other areas of finance and accounting
What are the course deliverables?
  • Review the various components of the income statement
  • Conduct a comprehensive vertical and horizontal analysis of the income statement
  • Benchmark income statement performance against an appropriate peer group
  • Breakdown and define each component of the balance sheet
  • Explain overall efficiency ratios: Total asset turnover and net asset turnover ratio
  • Explain working capital efficiency ratios: inventory efficiency, accounts receivable efficiency, and accounts payable efficiency ratios
More about this course
  • In this course, we illustrate multiple ways of digging through financials and calculating meaningful ratios, turning a good analyst into a great analyst
  • This four-module financial analysis course demonstrates how you can perform a comprehensive financial analysis of any organization using a variety of ratios derived from its financial statements
  • This program provides the skills and training necessary to be a complete financial analyst
  • In this module of this financial analyst course, we work through the various components of the income statement and explain how to analyze it
  • Using real-life case studies, you will learn how to perform robust vertical and horizontal income statement analyses using various performance ratios
  • You will also learn how to benchmark income statement performance against an appropriate peer group
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Financial Analysis Fundamentals
 at 
CFI 
Curriculum

Introduction

Course introduction

Vertical and Horizontal Income Statement Analysis

Downloadable content

Session objectives

Financial analysis overview

Components of ratio analysis

A breakdown of the income statement

Vertical analysis

Interactive exercise 1

Gross profit margin

Operating profit margin

Net profit margin

Efficiency ratio

Solvency ratio

Interactive exercise 2

Vertical analysis demonstration

[Optional] AutoColor Selection Using Macabacus

Vertical analysis exercise

Horizontal analysis

Benefits of horizontal analysis

Horizontal analysis demonstration

[Optional] Horizontal analysis Using Macabacus' Fast Fill Right

Horizontal analysis exercise

Benchmarking

Sources of benchmarking information

Interactive exercise 3

Benchmarking demonstration

Benchmarking exercise

Session ratios summary

Session conclusion

Balance Sheet Analysis and Ratios

Downloadable content

Session objectives

Session objectives Draft

Financial analysis recap

Balance sheet breakdown

Short term liquidity ratios

Current ratio

Quick ratio or acid test ratio

Asset turnover ratio

Balance sheet ratio summary

Interactive exercise 4

Balance sheet ratios demonstration

General ratios exercise

Working capital overview

Working capital funding gap

Funding gap question

Funding gap answer

Interactive exercise 5

Working capital efficiency ratios

Inventory efficiency ratios

Accounts receivable efficiency ratios

Accounts payable efficiency ratios

The funding gap formula

PP&E efficiency ratio

Interactive exercise 6

Inventory ratios demonstration

Accounts receivable ratios demonstration

Accounts payable ratios demonstration

PP&E turnover ratio demonstration

Efficiency ratio exercise

Session ratios summary

Session conclusion

Cash Flow Statement Analysis and Ratios

Downloadable content

Session objectives

Session objectives Draft

Financial analysis recap

The cash flow statement

Operating activities

Investing activities

Financing activities

Analyzing cash flow data

Interactive exercise 7

Cash flow demonstration

Cash flow analysis exercise

Breakdown of the balance sheet

Understanding debt

Debt financing

Types of bonds

Warrants and convertibles compared

Types of syndicated loans

Leasing as an option

Interactive exercise 8

Who can tap into the debt markets?

Equity types - common shares

Equity types - preferred share varieties

Retained earnings

Interactive exercise 9

Managing the financing of a business - leverage

Growing the business using debt

The benefits of leverage

An effective capital structure

Leverage ratios

Interactive exercise 10

Leverage ratios demonstration

Leverage ratio exercise

Session ratios summary

Session conclusion

Rates of Return and Profitability Analysis

Downloadable content

Session objectives

Session objectives Draft

Financial analysis recap

Intro to pyramid analysis

ROE levers

Factors that affect ROE

Dupont analysis

Secondary profitability ratios

Secondary efficiency ratios

Secondary leverage ratios

Pyramid of ratios

Interactive exercise 11

Final ratios to calculate (part 1)

Final ratios to calculate (part 2)

Pyramid demonstration (primary ratios)

Pyramid demonstration (secondary ratios)

Pyramid demonstration (tertiary ratios)

Pyramid demonstration (final ratios)

Pyramid analysis exercise

Session ratios summary

Session conclusion

Summary

Qualified Assessment

Qualified assessment

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Financial Analysis Fundamentals
 at 
CFI 
Students Ratings & Reviews

4.9/5
Verified Icon15 Ratings
M
mohamed tarik
Financial Analysis Fundamentals
Offered by Corporate Finance Institute
5
Learning Experience: course content is highly impressive with updated skills training experience is very awesome career impact lets see in future skills and challenges also highly motivated coz that platform is full of world wide views so
Faculty: qualified and experienced persnolities and structure of the course is highly proffessional and department of finance also perfectly updated practically its much needed subjects for financialist
Course Support: knowledge and reality of industries
Reviewed on 4 Mar 2023Read More
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M
Mohammed Mubeenuddin Ahmed
Financial Analysis Fundamentals
Offered by Corporate Finance Institute
5
Learning Experience: Financial analysis fundamentals is core part of FMVA Certification programe. FFA contains business ratios for making decisions at profit and liquidity basia.
Faculty: Faculty is awesome...a must for student or working prof. Yea
Course Support: Not yet...i am still in progession of FMVA
Reviewed on 21 Aug 2022Read More
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S
Shruthi CVNS
Financial Analysis Fundamentals
Offered by Corporate Finance Institute
5
Other: It was very good learning experience. The course was about how to study financial statements. Do a ratio analysis ( Horizontal and Vertical Analysis). Ratios analysis through Dupont Analysis and pyramid of ratios.
Reviewed on 13 Jun 2021Read More
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G
Ganesan
Financial Analysis Fundamentals
Offered by Corporate Finance Institute
5
Other: The course structure is very organised bits of videos and practices finally the mock test for certification
Reviewed on 27 Oct 2020Read More
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M
Manasvini
Financial Analysis Fundamentals
Offered by Corporate Finance Institute
5
Other: It is to increase my knowledge & capability to know where I'm standing & improve my skills. There are no dislikes
Reviewed on 15 Oct 2020Read More
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Financial Analysis Fundamentals
 at 
CFI 

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Financial Analysis Fundamentals
 at 
CFI 
Contact Information

Address

2E/25, Jhandewalan Extension, Block E 2, Jhandewalan, Delhi,
New Delhi

Delhi - Other ( Delhi)

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