Stock market is sensitive to information. It gets volatile when new information flows in to the market. A investor should always have close eyes on the scripts that he/she has put his hard earned money. So, in this post I will highlight places where a an investor can gather information.
Red Herring Prospectus (RHP)
RHP is good place to start, this provides key information about a company. It contains the purpose of issuing shares, industry overview, company background, detailed financial statements (Balance sheet and earning statements), Information about directors, underwriters and significant stock holders, Legal opinion on issue and etc. In India, the RHP’s are available on the SEBI website. Using the below link you can search any company that is listed in BSE and NSE. The document is available in pdf format. You can download and go thoroughly to understand the nature of business that the company carries.
SEBI link for Red Herring Prospectus of any company
Quarterly results
For every 3 months public listed companies publish quarterly reports that includes an income statement, balance sheet, and cash flow statement for the quarter and the year-to-date (YTD), as well as comparative results for the prior quarter/ year. By analysing the Quarterly report an investor can understand the company’s performance and growth. Generally, quarters end in March, June, September, and December, and these reports are filed a few weeks later after audited. These quarterly reports can be found in company’s website and stock exchange’s website.
Annual Reports
An annual report is a detailed report on a company's activities throughout the preceding year. It is intended to give information about the company's activities, strategy, business outlook and financial performance. A detailed financial statements is presented for the current and previous financial year. Annual reports are available on the respective company websites and with stock exchange website.
Investor Presentations
Many publicly listed companies provide detailed investor presentations that cover company background, company strategy, business outlook and detailed financial statements of the current and preceding financial period.
Earnings conference calls
Many companies conduct conference calls after quarterly results wherein management provides guidance of performance over the medium term and take questions from investors and analysts.
Interviews in print media/Television
Management interviews provide clues on management’s focus on performance, transparency and shareholder friendliness.
In comment section leave your choices from where obtain information of a listed company. As your queries and follow me in Twitter @sulthankhan .
