Thursday, January 24, 2008

How to Use Annual Report

There are many stairway in calculating the just value of a company. However, before we even make that, it is imperative to cognize how a company earns its profit. Bashes it make that by merchandising to consumers? licensing its engineering to other companies? or extracting natural resources from the ground?

The reasonable manner to make it is by reading the company's annual report. What is an annual report? Annual report is annual publication by public companies to break inform investor about the company's line of business. Annual report gives investors a glimpse of the company's line of business, financial wellness as well as management's strategies for doing business.

Let's expression at CNET Networks Inc. The company trades in the NASDAQ market with symbol: CNET. What makes CNET do? I cognize CNET have cnet.com. But make you cognize that it also have download.com, MP3.com, ZDnet.com and News.com ? How make I cognize that? Yep, you think it. CNET's Annual Report will gives you all that.

From CNET's annual report, we can make a small excavation for CNET's internet traffic. As of August 27th 2005, these websites of CNET attracts 3 % of all internet traffic. Pretty impressive, considering that Google throws 23% of all internet traffic. On April 2005, Google had 78.6 million alone visitors. By comparing this metric, we might have got an thought CNET's gross potentiality for the calendar month of August. I will not travel into that but this shows how utile reading CNET's annual report is. Reading an annual report functions as the first measure towards investment in a peculiar company.

How make we obtain annual report? There are respective beginnings for this. First is the companies ain website. You are interested in knowing more than about CNET Networks? You can get the annual report by going to http://www.cnet.com and travel to its shareholder relation. After respective clicks, you can then download the annual report.

Or ... you can travel to some websites that offer complete annual report for a number of different companies in alphabetical order. Our website is one of them. Admittedly, while having 100s of annual reports in one topographic point is convenient, it is not as thorough as what the company's ain website have to say.

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