INTERPRETING BASIC ANALYSIS
How to Interpret FD/FK Unlike the market value, the company's value includes net debts of the company. It shows the value of the company with its debts. In companies with a net cash position, the cash held is deducted from the market value. In other words, the answer to the question of how much the company would be worth without cash is the value of the company. EBITDA is the profit that the company earns as a result of its activities. This value does not include variable values that are not under the control of the company, such as interest income/expense, foreign exchange income/expense, tax income/expense. It is found by adding depreciation and amortization to the value obtained as a result of deducting the operating expenses after the production or trade.
Price/Earnings (P/E) Ratio The P/E ratio is a valuation ratio used to measure the price of a stock relative to its profit. It is also known as the profit multiplier. It is used to understand whether stocks are cheap or expensive. Stocks trading with a high P/E are considered expensive and stocks trading with a low P/E are considered cheap, but this is not always true. To calculate the P/E ratio, the company's profit in the last 4 quarters, the company's paid-in capital and stock price are used. If the company has made a loss in the last 4 quarters total, the current P/E ratio cannot be calculated.
