How to use YAHOO FINANCE for Stock Analysis in 2022 #Finance

In this CashNews.co I’ll give you a quick but hopefully comprehensive introduction in how to use Yahoo Finance for your Stock Analysis. Hello Couch Investors, my name is Till

and this is the channel that shows you how to invest intelligently and easily and how you build up a fortune also as an ordinary person with a normal job. Yahoo Finance is a pretty good

platform that offers a lot of data for private and professional investor for free. In this CashNews.co I show you how to use it and where to find the data that you need for your stock analysis. If you want to know how to do a complete stock analysis there are a lot of CashNews.cos on my channel

that will show you exactly this and for this case I recommend to start with this one here in the corner where I’m doing a full analysis of a company. You start with the website none;">Finance.yahoo.com and log in to your account. If you don’t have an account yet, you can setup one for free by clicking on Create an account . To find your specific company, just type the company name or the short code of the stock in the search field. Let’s do this

for Tesla, its shortcode is TSLA . Yahoo automatically provides some suggestions. The one on the top is the stock of Tesla at the Nasdaq Stock Exchange. There are more entries from other Stock Exchanges. If you’re looking at non-US companies, I recommend to

chose the Stock Exchange of a company’s home country, because the company data that we’re searching for are sometimes not available for every Stock Exchange. This is the summary tab. On the left it shows some information on stock prices, stock price

history or trading volumes. Personally, I never look at those data because as a value investor I simply don’t need them. In the column right next to it you’ll find some actually useful key data. On top is the market Capitalization. This is the most important figure on

this tab. It tells you how much the whole company currently costs. So, current stock price x all outstanding stocks. Below the market cap you’ll see the PE ratio. PE means price per earnings and gives you an indication on how expensive the company is in relation to what they generate in

earnings. This is one of the key figures that Wall Street looks at and you’ll find it just anywhere. Unfortunately it is not really that reliable, why value investor look more and free cashflow. But it is helpful for a quick indication, especially if you’re searching for stocks and want

to narrow them down to a few. On the right you see a small stock chart that provides you with a quick overview for timeframes between 1 day and 5 years. If you want to look at a bigger version of the chart with different time frames and other options, just click either on Max , Full screen or Chart

in the menu above. I’m going to create another CashNews.co on how to use the chart tool that I will link here somewhere above me as soon as it is available. The tab Statistics contains a lot of ratios and Valuation figures. A few are interesting, most of them are just a waste

of time, at least for value investors. As an example for the waste of time category is Forward P/E a figure that contains assumptions about the future development of the earnings in relation to the price. But, who made these assumptions? Analysts? The company itself? Batman? And based on what? This

is completely unclear and therefore, you better ignore it. By the way: Information about what analysts estimate on earnings and Revenue you’ll find in the tab Analysis . The Price to Book and Price to Sales ratios at least give you an indication on how expensive a company is.

For me, the most important information on this page is the number of Shares outstanding which I need for the calculation of the company’s value per stock. On the profile page you receive some basic information about a company. Like for example their headquarter, contact

address, what they are doing, and who the top management is. In this case you see that the Technoking of Tesla Mr. Elon Musk is and the Master of Coin is Mr. Zachary Kirkhorn. Yes, those are really the official titles at Tesla for the CEO and the CFO. I’m far from being a Tesla fanboy, but I

really like a good portion of humour in a world of seriousness. On the right side you get some information about upcoming and recent events on the company. Before we come to the most important tab I’d like to ask you to click the like button if you found this helpful. This is actually

supporting my channel a bit. Thank you! For me the most important tab are the Financials . Here you find the data from the Income Statement, the Balance Sheet and Statement of Cashflows. In the top right corner you can chose if you want to have the view on an

annual or quarterly basis. The overview provides you with data for the past four years plus the trailing twelve months or the past five quarters. If you want to view them in a more condensed perspective you can click on Collapse All or if you want to view the details, klick on Expand All . For

value investors especially the tabs Balance Sheet and Cash Flow are interesting. The Balance Sheet contains the Assets, split into current and non-current Assets and its various details and the

Liabilities, also split into current and non current Liabilities. You will need these figures for calculating some of the most important Valuation figures: – the liquidation value also called shareholder’s Equity is one

of the two parts of the company’s overall value and tells you how much the owners get if the company would be liquidated today – the invested Capital tells you, as the name says, how much Capital is actually invested in the company – and the

CROIC, which tells you something about how strong the company is with generating cash on the invested Capital, which is indirectly an good indicator of the speed of growth The tab Cashflow contains the information of the company’s statement of cashflows. This is split into

three sections: – the Operating Cashflow – the Investing Cashflow – and the Financing Cashflow For me the most important information is the Free Cashflow. You can calculate this by taking the Operating Cashflow and deduct the Capex of it. The Capex you’ll find as an entry in

the section Investing Cashflow . Free Cashflow tells you something about the ability of the company’s operating business to generate cash. Why this is so important I’ll show you in the two CashNews.cos on Free Cashflow that I’m going to set a link to somewhere here in the corner.

It doesn’t consider all of the other financial stunts that the company can do. If you want to know more about this, have a look at the section of the Investing and the Financing Cashflow. Value Investing seems to become more popular today, so Yahoo

style="font-weight: bold; color: #1a73e8; text-decoration: none;">Finance already calculates the Free Cashflow for you. You’ll find the figure on the bottom of the table. I like this as a quick indication, but sometimes it didn’t fit to the manually calculated figures, so be a bit

careful with this and really just use it as a quick indication. One general remark: Yahoo gets its data from several different sources, you can see this here on the right. I personally don’t know how exactly the flow from the actual company reports to the Yahoo systems is. But it happens that

you find figures that do not exactly add up the way they should, like the just mentioned Free Cashflow. Although I really like this service to get a quick overview about a company’s financials, for the deep dive analysis I usually work with the actual reports from the companies. I know this

is definitely a bit more work to do, but only this way I can be sure that the figures I work with are definitely correct. And when you do this only for the companies that you really intend to buy one day, the general workload is also limited. And if you want to know how you create watch lists for

your stocks with Yahoo Finance, you should watch this CashNews.co here. See you next time!