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These metrics provide a high-level insight into stock performance, including market capitalization, share float, and trading volume. They help gauge a company's presence in the market and assess technical trends.
2. Financial Statement Metrics
Investors should evaluate the three main financial statements: the income statement, balance sheet, and statement of cash flows.
Income Statement Metrics: Look for profit margins, operating margins, and revenue growth.
Balance Sheet Metrics: Assess cash assets relative to liabilities and overall solvency.
Cash Flow Metrics: Focus on operating and free cash flow as indicators of a company's financial flexibility.