Advances in Fundamental Analysis

Accounting data is the basis of fundamental analysis. The following chapters will show that traditional accounting measures need to be complemented by new value measures those deployed through intangible management operating standards intMgtOS . As Table 1.1 illustrates, non-accounting value or intangible value can be significant for many firms. For the 50 firms mentioned below, average accounting value book value is less than 25 of total market value. This means, for these firms, accounting...

IntMgtOs Statements

IntMgtOS Statements create intangible financial statements from intangible assets, intangible liabilities, intangible capital, intangible revenue, and intangible expenses in the same way that conventional accounting does from conventional financial accounting classifications. As the same structure is used in intangible financial statements as that used in conventional accounting, intangible financial reports are conceptually identical to conventional accounting reports in terms of structure,...

Hard vs Soft Intangibles

Intangibles initially exist in non-financial or soft form. A person's ideas, their skills, emotional intelligence, knowledge, and how they interact with others will incrementally increase or decrease competitive advantage within an organization on a day-to-day basis. Consider Mozart. When he composed his music, the notes came from his mind, imagination, and skill. Was the value of Mozart just in the musical scores he wrote, or in his ability to actually embed competitive advantage a point of...

Stock Prices Measure Competitive Advantage

When a firm increases its competitive advantage it increases its market value, share price, earnings, and revenue in the process. Companies with greater competitive advantage than their competitors can withstand competitive attacks and harsh economic conditions far more easily than their competitors can. When a company grows its revenue base, it is actually capturing competitive advantage from competitors. When a firm loses competitive advantage it loses brand value, market share, market value,...

Intangible Analysis of Sectors and Industries

Comparison with Strongest Large Cap Results 157 Comparison with Weakest Large Cap Results 158 Comparison with Strongest Large Cap Results 160 Comparison with Weakest Large Cap Results 160 Intangible Analysis of the Market 163 By Sector IV for Large Caps 165 By Industry IV for Large Caps 165 By Industry IV for Medium Caps 171 By Industry IV for Small Caps 186 By Industry IV for Micro Caps 189 9 The intMgtOS Economy Statement What the Statement Measures 207 intMgtOS 6001.D110 Gross Time Capital...