Every investment research undergoes an industry analysis. Naturally, each industry is different, and implementing one universal approach leads to problems. Therefore, we should figure out what type of evaluation to work with. Industry Classification Methods Imagine that you compare the cash conversion cycles of Verizon, a telecom enterprise, with...

Conducting a detailed industry analysis requires an analyst to gather as much information as possible and analyze it to gain a competitive edge. Commonly, the process includes nine main elements: Imagine that you have just landed your dream job as a financial analyst and your first task is to...

Peer Group Analysis is a way for financial professionals to better identify the competitive position of an organization. The collected information provides an ample opportunity to gain valuable industry-specific insights. Defining a Peer Group A peer group refers to a group of comparable companies that compete in the same...