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#fundamentals
32 posts tagged fundamentals.
32 posts
Accruals Quality: How to Spot Earnings That Aren't Real
Accruals measure the gap between reported earnings and actual cash. Widening accruals is one of the most reliable red flags in financial analysis — Sloan's 1996 paper showed high-accrual names underperform low-accrual names by ~10% per year.
Altman Z-Score: The Bankruptcy Predictor That Still Works 60 Years Later
The Altman Z-Score ranks bankruptcy risk across five weighted ratios. Here's how to read the Z-Score card on alphactor.ai and where the signal is strongest.
Balance Sheet Deep Dive: Capital Structure and Liquidity at a Glance
The balance sheet tells you what the business is capable of next quarter, not what it did last quarter. Five lines disproportionately move stocks — cash, debt schedule, goodwill, retained earnings, and receivables.
Cashflow Waterfall: From Operating Cash to Free Cash, Step by Step
Operating cash flow is cleaner than net income but still not distributable cash. The waterfall makes every deduction visible — SBC, working capital, capex — so you can see sustainable FCF instead of quarterly noise.
EV/Revenue: The Multiple That Survives When Earnings Don't
EV/Revenue works where P/E breaks — early-stage businesses, loss-making growth, cyclical troughs. The card makes it usable across cycles, but only with the growth bridge — a standalone sales multiple is uninterpretable.
FCF Yield: What You're Actually Earning on the Market Cap Today
FCF yield answers the most basic question in equity investing: if I buy this company today, how much cash does it throw off per dollar? A 25× P/E is an abstraction; a 4% FCF yield is directly comparable to a 4.5% 10-year. The comparison is what matters.
Balance Sheet Chart: Assets, Debt, and Equity Over Time
A single quarter's balance sheet hides the trajectory. A company can look fine today while quietly levering up 3 turns over 5 years, or sitting on a growing cash pile that's about to fund a value-destroying acquisition. The trend chart is where the story lives.
Crowding: When Too Many Funds Hold the Same Bet
A consensus long can become a forced unwind in a week. The Crowding card measures fund-ownership overlap, short interest, and factor exposure so you can see which names carry dangerous concentration tails — and size accordingly.
Earnings Power Value: Bruce Greenwald's Valuation Without the Growth Fantasy
EPV asks what a company is worth assuming zero growth — forever. The gap between EPV and market cap is the growth premium. A stock at 3× EPV is priced for aggressive growth; you can decide separately whether that growth is believable.
SEC Filings: The Primary Source That Analysts Summarize and Mislead About
Everything you read about a stock is a summary of a filing. The SEC Filings card on alphactor.ai fundamentals surfaces 10-K, 10-Q, 8-K, and DEF 14A filings with change-diff summaries so you can read the primary source in minutes.
Valuation Sensitivity: The Grid That Shows What Your Assumption Is Worth
A DCF prints one number; the truth is a distribution. The Sensitivity card on alphactor.ai fundamentals shows how the fair value flexes across WACC, terminal growth, and margin assumptions — so you can see the bet, not just the point estimate.
Income Statement Deep Dive: Reading Quarterly P&L Beyond the Headlines
Press releases report two numbers. The full P&L is where you find restructuring charges pushed below the line, segment reclassifications that change attribution, and stock-based comp that turns non-GAAP earnings into GAAP losses. The headline is a slide; the statement is the business.