Quantitative Analysis

Quantitative analysis can be defined as a financial tool of analyzing business, methods, strategies and behavior by using complex mathematical formulas, statistical standards, research and measurement. In quantitative analysis all the variable of interest are assigned a mathematical value and then different mathematical functions and statistical models are applied to these numerical figures in order to replicate the reality and real effect in mathematical environment. There are a number of different reasons for conducting a quantitative analysis by the analyst. Sometimes the analyst wants to evaluate a performance of a certain individual, function or a product. Sometimes the quantitative analysis is conducting to check the level of profitability and efficiency of a business operation. Still in other scenarios the quantitative analysis is used to predict changes in the real life scenario such as it can use to predict the changes in the share price of the certain company in the market. In general and a broader perspective a quantitative analysis can be defined as tool of measuring things. There are a number of examples of quantitative analysis such as the accounting ratios used to measure various accounting aspects of a business entity are also a form of quantitative analysis. These ratios include earning per share ratio, discounted cash flow and options pricing all are the example of the quantitative analysis. Quantitative analysis is a very useful tool in evaluating the business operations and investment perspectives however it must be used with its apposite analysis tool called qualitative analysis to acquire more efficient and reliable results.

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• Float Shrink
• Importance of Variance Analysis
• Accounting Valuation Process
• Quantitative Approach Definition
• Market Share
• Market Value Added
• Earnings Per Share (EPS) Ratio
• What are Stock Repurchases?
• Forecasting