Fundamental analysts consider various factors, including:

• Financial statements (income statement, balance sheet, cash flow statement)

• Revenue and earnings growth

• Profit margins and returns on equity

• Industry and market trends

• Competitive position and management team

• Economic and regulatory environment

By analyzing these factors, investors can gain a deeper understanding of a company's intrinsic value and make more informed investment decisions.

Fundamental analysis seeks to determine a stock's intrinsic value by examining its financial and economic factors, and comparing it to its current market price. If the intrinsic value is higher than the market price, the stock is considered undervalued, and if it's lower, it's considered overvalued. On the other hand, technical analysis ignores fundamental factors and instead focuses on historical price trends and patterns to predict future price movements. By analyzing charts and trends, technical analysis aims to identify potential trading opportunities, regardless of a stock's intrinsic value. 

Fundamental Analysis:

• Seeks to determine a stock's intrinsic value

• Compares intrinsic value to current market price

• If intrinsic value > market price, the stock is undervalued

• If intrinsic value < market price, the stock is overvalued

Technical Analysis:

• Ignores fundamental factors

• Focuses on historical price and trend analysis

• Studies charts and patterns to predict future price movements

Fundamental analysis is a method of evaluating a stock's value by studying a company's financial statements, industry trends, and economic conditions to determine its intrinsic value. Analysts consider various factors, including revenue, earnings, growth prospects, return on equity, profit margins, market share, competition, and regulations, to estimate a stock's fair value. This analysis is done from both macro and micro perspectives to identify undervalued or overvalued securities. Financial statements, such as balance sheets, income statements, and cash flow statements, are used to assess a company's financial health and potential for future growth. If the intrinsic value is higher than the market price, a buy recommendation is given, and if it's lower, a sell recommendation is given. By understanding a company's fundamentals and industry, investors can make informed decisions on investments. 

Some of the terms used in fundamental analysis

These terms are essential in Fundamental Analysis, helping investors and analysts assess a stock's value and potential for future growth.

Valuation: A technique used to estimate the present worth of an asset or company.

Intrinsic Value: The calculated value of an investment, company, or asset, representing its true worth.

Absolute Value: A measure of the intrinsic value of an asset or company, independent of its market price.

Stock Analysis: The process of evaluating a stock or investment to predict its future performance, including its potential for growth, income, or price movement.

Overbought: A term used to describe a stock that has risen significantly in price and is considered to be overvalued, potentially leading to a downward correction.

Additional terms used in Fundamental Analysis include:

• Undervalued: A stock that is trading at a price lower than its intrinsic value.

• Fair Value: The price at which a stock is considered to be reasonably priced, based on its intrinsic value.

• Earnings Per Share (EPS): A company's profit divided by the number of outstanding shares.

• Price-to-Earnings (P/E) Ratio: A ratio that compares a stock's price to its EPS.