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fundamentals

Key figures which relate directly to a company and are not dependent on the market. They include sales or revenues, cash flow and profits. Basic analysis uses such data to determine the theoretical value of a share, which may indicate that the share is undervalued, overvalued or fairly valued on the market. The term is also used to denote the important economic numbers (growth, inflation, current account balance, government finances) which can influence the financial markets.

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