Can We Trust the Auditors, Is Credit Rating Mandatory, What to do when Growth slows down after P/E Rerating, How to Learn about New Industries (Q&A)

www.drvijaymalik.com has a section dedicated to answering queries from readers: “Ask Your Queries”. Over time, many readers have asked their queries related to many aspects of stock analysis and sought clarifications about investing. I have responded to these queries as replies to their comments.

“Q&A” series is an attempt to share the queries & their responses, which have featured on “Ask Your Queries” section, with all the readers. The primary aim of this new feature is to share the knowledge with other readers of the website, who might have similar queries.

The current article in this series provides responses related to the following queries:

  • Can we trust the work done by auditors of companies?
  • Is a credit rating mandatory for all the companies having debt?
  • How can an investor calculate the CAGR of a portfolio?
  • What do we do when the growth of a company slows down after P/E rerating?
  • How can an investor learn about industries, which are new to her?
  • How to combine standalone & consolidated financials of companies for analysis?
  • Role of depreciation in CFO and Capex calculations

Can we trust the auditors, Is a credit rating mandatory for debt, calculate the CAGR of a portfolio, growth of a company slows down, learn about new industries, combine standalone & consolidated financials

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