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Course List
Introduction to the Securities Industry
Introduction to the Securities Industry
Introduction to U.S. Securities Processing
Securities Lending and Borrowing : An Operations Perspective
Foundations of Investment Management and Buyside Operations
Dealing with Change in the Financial Markets
Collateral Management: An Operations Perspective
International Issues
International Securities Operations
International Portfolio Accounting
Foreign Currency: Markets, Clearance, Settlement & Accounting
Foreign Exchange: Lifecycle of a Trade
Corporate Actions
U.S. Domestic Corporate Actions
Global Corporate Actions
Capital Markets
Capital Markets Overview
Capital Market Economics - Investigating the Linkages Between the Real Economy and the Financial Markets
Portfolio Management
Portfolio Management
Securities Analysis
Managing Risk
Risk in a Global Market - Management and Operational Challenges Looking Forward
Financial Management
Financial Accounting and Financial Mathematics
Financial Statement Analysis
Fixed Income Securities
Bond Math: Mathematics of the Fixed Income Market
Structured Securities: MBS, ABS, CDOs
Introduction to Fixed Income Products
Accounting for Fixed Income Securities and Derivatives
Mortgage-Backed Securities
Collateralized Debt Obligations and Credit Default Swaps (CDOs and CDS)
Fixed Income Analytics
Interest Rate Swaps and Credit Default Swaps
Fixed Income Securities Trade Processing and Operations
Accounting, Regulatory & Management
Stock Brokerage Accounting & Securities Regulations
Introduction to Private Equity Markets
Trading After the Volcker Rule
Dodd-Frank for Non-US Derivatives Users
Complying with the MiFID II/MAR Rules
Introduction to Derivative Products
Derivatives: Markets, Operations, Accounting & Control
Derivative Products: Risk Management and Valuation
Option Valuation and Trading
Equity Derivatives: Futures and Swaps
Interest Rate Futures and Swaps
Introduction to Options: Products, Trading & Processing
Swaps Processing and Operations
Commodity Futures: Energy, Metals and Agricultural
Equity Options: Strategies, Accounting and Operations
Mutual Funds
Introduction to Mutual Funds
Mutual Fund Operations

Course Description
Financial Statement Analysis
Available Dates:
There are no dates available.
Course Code: 531
Duration: 1 day
Level: Basic
Fee: $795.00
CPE Credits: 6
Prerequisite: No Prerequisite Required.

This one-day seminar provides an intensive introduction to the tools and techniques used in financial statement analysis. The program begins with a discussion of the major financial statements (balance sheet, income statement and cash flow statement) and their relative importance and roles in assessing company operating performance and financial condition.

The presentation will then turn to a discussion of techniques used to evaluate firms' operations or financing and for identifying issues that deserve fuller investigation. Analytically recast financial statements and financial ratios will be computed from recent corporate annul reports. These tools will be used in conjunction with a dissection of the accounting numbers to gain insight into company profitability, leverage, liquidity, efficiency and more.

Emphasis will be on interpreting the financial statement numbers and financial ratios as a means to gaining insight into the state of the firms' business. This program will be beneficial to anyone whose professional endeavors require the ability to read and interpret financial statements.

This program would be especially helpful to those beginning a career in securities trading, sales or portfolio management or beginning to mid career professionals in departments supporting those activities such as clearance and settlement, compliance, financial control and information technology.

Financial Statements and Analytic Tools

  •  Construction and General Considerations
  •  How the Various Statements Relate to each other
  •  Related Disclosures and Issues
Using Financial Accounting Information in Securities Analysis
  •  Common Sized Statements
  •  Trend Statements
  •  Ratio Analysis

Income: Measurement and Interpretation

  •  Determination of Profits - Residual of Accrued Revenues and Expenses
  •  Accounting Profits Versus Economic Profits
  •  Revenues - Sources and Trends over Time
  •  Expenses
    • Fixed Versus Variable 
    • Product Versus Period
  •  Other Sources of Income or Gains

Operations, Profitability and Return on Investment

  •  Financial Ratios
    • Liquidity
    • Leverage
    • Efficiency
    • Profitability
    • Return
  •  Profitability Analysis
    • Gross 
    • Operating 
    • Net Margins
  •  Cash Flow Versus Profits
  •  Return Calculations
    • Return on Investment (ROI)
    • Return on Assets (ROA)
    • Return on Equity (ROE)
  •  Dupont Method - Disaggregating

Please bring a calculator.

After completing this program participants should be able to:

  • Discuss the basics of the primary financial statements (balance sheets, income statements and cash flow statements): purpose, structure and basis of presentation
  • Distinguish between cash flow and earnings, as well as explain reasons for possible divergences in the short or long run and their use in securities analysis
  • Describe the various measures of profitability and the factors that contribute to their expansion or contraction
  • Recognize sources of operating and financial leverage and discuss the impact risk and earnings forecasts
  • Discuss revenue and earnings forecasts and their use in valuation models
  • Describe the use of financial statement data and financial ratios in equity securities valuation and analysis