addon
rom
Joshua Kennon,
Your Guide to
Investing for Beginners.
FREE Newsletter.
Sign Up Now!Have you always wanted to know how to understand a company's annual report and financial statements? In this series of lessons, we set out to teach you how to take the financial statements of a company and carefully analyze them to determine what the stock is truly "worth". This allows you make better investing decisions by helping to avoid the costly mistake of purchasing a company when its share price is too high. Eventually, by reading, printing, and studying these lessons, you will be able to pick up a balance sheet and truly understand what the numbers mean. At the end of each lesson there is a quiz to test your understanding of what you learned.
In this first installment, we are going to look at why the stock market exists and explain how a business goes from being a small, family-owned company to a corporation with publicly traded stock.
Investing Lesson 1 - An Introduction to the Stock Market