Choosing the Right Criteria for Market Analysis
When conducting market analysis, selecting the appropriate criteria is crucial to gaining valuable insights into a particular industry. The following are some key factors to consider:
Market Capitalisation
Market capitalization provides a snapshot of a company’s total value in the stock market, calculated by multiplying the total number of outstanding shares by the current market price per share.
Total Assets
Examining a company’s total assets gives an understanding of its overall financial health and the value of its resources.
Net Profit
Net profit reveals a company’s profitability after deducting all expenses from its total revenue, providing insight into its financial performance.
Sector-Specific Analysis
It is important to delve into sector-specific details when analyzing markets. Each industry has unique characteristics and performance metrics that should be taken into account.
Choosing the Right Industry Code
Once you have identified the criteria for your market analysis, selecting the appropriate industry code is essential to focus your research on the relevant sector.
Adding Additional Insight
Aside from the standard criteria mentioned, incorporating qualitative factors like market trends, consumer behavior, and regulatory changes can provide a more comprehensive understanding of the market dynamics.
