desmond888 :

desmond888 : goo

desmond888 :

desmond888 : d

desmond888 : d

desmond888 : The answer should be D. Fully understand the fundamentals of the company
Investors use financial data analysis to fully understand the company's fundamentals and carefully assess the inherent risks associated with the investment. By gaining an in-depth understanding of a company's financial situation, investors can effectively assess the return and potential loss potential, enabling them to make informed decisions.
Financial data analysis plays a key role in determining whether a stock is undervalued or overvalued. By using ratios such as price-earnings ratio (P/E) and book market value (P/B), investors can gain valuable insight into a company's valuation to make wise investment choices.
Essentially, the availability of high-quality financial data is critical to making informed investment decisions. It enables investors to allocate capital effectively, maximize returns and reduce risk, ultimately leading to the preservation and growth of their investments.