Overview

Recommended Prep Courses

These preparatory courses are optional, but we recommend you to complete the stated prep course(s) or possess the equivalent knowledge prior to enrolling in this course:

  1. Accounting Fundamentals
  2. Reading Financial Statements
  3. Excel Crash Course


Financial analysis course overview

This four-module financial analysis course demonstrates how you can perform a comprehensive financial analysis of any organization using a variety of ratios derived from its financial statements. This program provides the skills and training necessary to be a complete financial analyst.

Financial analysis course analyst screenshot


Vertical and horizontal income statement analysis

In this module of this financial analyst course, we work through the various components of the income statement and explain how to analyze it. Using real-life case studies, you will learn how to perform robust vertical and horizontal income statement analysis using various performance ratios. You will also learn how to benchmark income statement performance against an appropriate peer group.

By the end of this module, you will be able to undertake a comprehensive financial analysis of any income statement.

  • Review the various components of the income statement
  • Conduct a comprehensive vertical and horizontal analysis of the income statement
  • Benchmark income statement performance against an appropriate peer group


vertical financial analysis ratios


Balance sheet and leverage ratio analysis

In this second module, you will analyze the balance sheet to determine the operational efficiency of a company. Key ratios taken from the balance sheet and its implications on a company's cash flow are thoroughly explained in this segment. 

Illustrated using a technology firm and a retail firm, we will show you how to conduct a comprehensive analysis using efficiency ratios to determine how well a company is generating revenue. Exercises are provided to help apply proper benchmarking techniques and determine how a company is performing compared to its 5-year history and the industry as a whole.

By the end of this course, you will be able to examine the overall financial condition and performance of a company more effectively using the ratios and research methods demonstrated in this module.

  • Breakdown and define each component of the balance sheet
  • Explain overall efficiency ratios: Total asset turnover and net asset turnover ratio
  • Explain working capital efficiency ratios: inventory efficiency, accounts receivable efficiency, and accounts payable efficiency ratios
  • Determine how to reduce the working capital funding gap to improve operational efficiencies
  • Undertake trend analysis to determine the overall financial performance of a company and forecast future performance.


ratio analysis course free


Cash flow statement and ratio analysis

In this third module of this financial analyst course, you will analyze the cash flow statement to better understand the inflows and outflows of cash throughout the year. Additionally, using different financial ratios taken from the balance sheet, we will help you assess the solvency and leverage of a business. Finally, we will examine different funding options for an organization looking to both operate efficiently and grow. 

The cash flow statement and the different components that make it up will be explained thoroughly to help you assess the financial situation of an organization. By using examples drawn from a technology and retail company, you will understand how different ratios can be used to properly assess the operation of an organization from a cash management standpoint.

By the end of this course, you will be able to analyze how management is raising and using funds by reviewing the cash flow statement of the business. More importantly, you will be able to understand how debt and equity interact with leverage, and how different levels of leverage can affect a company.

  • Breakdown and understand each component of the cash flow statement
  • Understand different types of debt financing tools (e.g. bonds, syndicated loans, and leasing), equity (e.g. common shares and preferred shares), and leverage ratios (e.g. debt to tangible net worth, and total assets to equity)
  • Use real-life cash flow statements to assess the operations of a company


cash flow analysis course


Rates of return and profitability analysis

In the last module of this financial analyst course, you will combine everything you learned in previous modules to unlock the drivers of financial performance. This module guides you through the pyramid of ratios. You can use the pyramid to uncover the profitability, efficiency, and leverage drivers for any organization.

By the end of this course, you will understand how to effectively use the pyramid of ratios to analyze any organization. This module includes a hands-on case study and an Excel spreadsheet template that can be used to generate individual ratios and a pyramid of ratios from any set of financial statements.

  • Unlock the drivers of the return on equity ratio
  • Analyze the profitability, efficiency, and leverage ratios that make up the pyramid of ratios
  • Understand the links between the pyramid’s primary, secondary, and tertiary ratios
  • Construct a pyramid of ratios using a set of published financial statements and perform a complete financial analysis.
  • Return on Equity (ROE) and Dupont analysis


pyramid of ratios analysis from course


Who should take this financial analysis course?

This financial analysis course is perfect for any aspiring financial analysts working in investment banking, financial planning and analysis (FP&A), equity research, corporate development, and other areas of finance and accounting.

This class counts as continuing professional education (CPE) credits for CPAs. 

For further CPE information, please read before purchasing:

https://corporatefinanceinstitute.com/about/cpe-information/


CFI financial analyst certification program

From beginner to advanced, CFI's financial analyst training program will give you the skill you need to become a complete financial analyst.

This course is one of the 9 required "Core" courses to complete CFI's financial analyst training program and earn the Financial Modeling and Valuation Analyst (FMVA) designation.


What You'll Learn

Lesson
Multimedia
Exams
Files

Financial Analysis Fundamentals

$97.00 Enroll Now Free Preview

Approx 6.5 hrs to complete

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From $847.00
FMVA Full Immersion
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FMVA Self Study
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Path to Certification

Prerequisite Courses

6 courses from beginner to intermediate level.

01Optional

Core Courses

10 courses from beginner to intermediate level.

02Required

Elective Courses

Take 3 out of 9 courses at an advanced level.

03Required

Get Certified

Submit your FMVA®️ checklist and order your certificate.

04Required

Join Our Community

Get access to the Global Corporate Finance Society.

05Optional

How the Certification Works

FMVA® Financial Analyst Certification courses are offered 100% online, allowing you the flexibility to start the financial analyst program anytime and learn when it’s most convenient for you.
Students must complete all core and elective courses (12 in total) and demonstrate mastery of the topics through successful completion of course materials, quizzes, and assessments.
Within 48 hours of program completion, your Blockchain Verified FMVA Certification will be emailed to you.

What Our Students Say

Mojalefa Zackaria Thaele
Financial Analysis
The course provided a refreshing perspective on Financial Analysis. It particularly demonstrated the flexibility and agility of financial analysis as a tool of performance evaluation. The pyramid of ratios is very insightful. Great course overall
Lei Xu
Financial Analysis Fundamentals Course
This course can be deemed as a quick refresh for the knowledge we learned from school and used in our daily work, applicable to whoever is already working in the F&A area for many years, really a good warm up course.
Joshua Ibizugbe
Fantastic Course
This course has practically taught me how ratio analysis works and the means to bring them together to make sense of the whole ratios one is expected to master and analyse. Many thanks to the CFI Team. This is pure value from money.
Ronnett Cummings Malcolm
Exceptional Course
Scott has the immense skill of making the complex simple and making learning stick. The course is very hands on and is hands down recommended.
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Krishna Kumar Thottupurath
I took CFI's financial analysis course. The content is very rich and useful. Since it is delivered in small pieces it was easy to digest and after few attempts I completely learned the topic. I learned a lot from this lesson. The Pyramid of Ratios and the Dupont analysis are really marvelous. I like the course and the instructor.
Yu Peng
Truly an amazing course that will help sharpen both your financial ratio analytical and critical thinking skills in the long run.
Olga Nielsen, MBA
A very comprehensive and engaging course, an absolute must have for anyone considering a career in financial analysis.
EBONG MUNGE SYLAMITTE
Thanks to this course i now have an analytical presentation of financial statements and good interpretation skills. It has given me a more organised way of reading and interpreting financial statements especially the manner in which they are linked. I usually think financial analysis was vague in its presentation but with this program it is different feeling edified with financial thoughts.
Godwin Numaworseh
This is the best course I have taken. Very simple, Clear and Concise
Anirudh Bharadwaj
In a word: excellent. The instructor was clear and concise in his instruction. Strongly recommended for anyone who wants to understand the basics of financial analysis.
DHANRAJ SINGH
I have never taken a finance course that brings it all together in a very organized and practical manner like this course. The lessons were presented in such a simple and practical manner. The tutors were simply excellent in how the deliver the course. Finally, the materials and how they were presented and provided made the course enjoyable and it is not often you get this feeling when studying and training. Excellent course CFI.
Syed Agha Suhail Haider
Excellent course for analysts and very helpful in their career to provide informative advice to their management before taking any financial decisions.
Hendra Rakhmawan
This course covers all necessary knowledge to analyze a company... very good refresher even you already has advance knowledge
Pablo Mussio
The best finance course that I´ve ever done!
Fokhrul Islam
This course provides a good knowledge about financial analysis. This course is very helpful for a world class financial analyst. Thank You.
DAURA ABDEL NABI MAHMOUD RADY
GREAT
Divine SUH NGWA
The pyramid of ratios model has greatly increased my skills and given me more confidence.
ASIF YAKOOB
It is a complete referesher and useful.
Jose Olmedo
Excellent
Barsha Das
All inclusive course
Abhishek Kumar Chourasia
As title suggests, the concepts taught are great to learn and apply. Explanations are easy to grasp.
VENUGOPAL RAJAMANURI
Content quality and instructor delivery good. Assessment questions should include some difficult questions too.
Siyabonga Mtsha
Content and presentation were on point. Formulas used and the breakdown of the formulas was exceptional.
REASON ABAJUO
This course has helped me get a clearer understanding of the rationale behind the ratios. Thus, I do not have to memorize the formulae. I just have to understand the "why" in any ratio, and the formula becomes almost counterintuitive. I highly recommend this course for both professionals who build models and for people who just need to analyze financial statements to understand businesses.
Juan Diego Forero
Great and really usefull to learn how to analyze indicators of a company.
Moses Kargbo
The Financial Analysis Fundamental course provides a more in-depth insight into all levels of financial statement analysis that is vital for organisation current and historical performance.
Samuel Tendai Muhwati
The course was very exciting ..I enjoyed every little bit of it.
Gurupreet Sachdev
The course is designed perfectly for someone who wants to learn from scratch about Fundamentals of Financial Analysis. the ratios are exp;ined with there detailed usage and how they impact the performance of a company. If you need to know the importance of financial ratios and what they mean this course is for you.
CHRISTOS SEITANIDIS
Excellent course! God bless! All the best!
Essam Taha El-Sayed
it really changes how i look to the financial statements now thanks for you all
Ncedile Ntsibantu
Good day, I really appreciate this Courses and I am sure it can impove.
Kai Cansler
Really loved the breakdown of each section and fluidity of overall course. It was easy to follow and implement as you proceed. My only problem was that for the final section, the ratio pyramid, did not include a step by step instruction to create your own pyramid for future model building. It would be helpful to learn how to create crisp visuals because it is not covered in the excel basics prerequisite.
Vinodh Kumar Soundararajan
One among the best content for financial analysis.
Sanjay Gupta
Good Course Material, and vary informative
Emran Khan Majlish
Good course. There is many more to know regarding financial statement.
Rajeev Chowdhry
A well structured course with rich content and ample explanation, examples and exercise to confirm learning by testing
Tobore Atenaga
The Financial Analysis Fundamentals course was concise and straight to the point. Classes were delivered in an in depth manner which was not boring and was easy to understand.
Ragy Moahmed Sabry AbdelZaher
Really it was a great course and a great start and good motive to continue the full certificate.
Ismaila Tijani
This course presented the key concept of financial analysis in an easy and engaging way. As an Engineer by training and profession, it is quite transformative and productive in my quest for financial literacy.
Stuart Jason Knell
Thoroughly enjoyed this course. The coverage of the ratios and sub-ratios that go into Return on Equity (ROE) through the lens of Dupont Analysis was excellent. The practical exercises and use of spreadsheets is great and gives you hands-on experience in calculating these ratios direct from a Balance Sheet, Income Statement or Cash Flow Statement. The knowledge gained in this course is solid and forms the foundation of much of an analyst's daily activities.
Samuel Suárez Marranzini
I really enjoyed this course and I learned quite a lot about new formulas I haven't seen in the past. I just one recommendation for this course to improve and is that they should emphasize more in the cash flow statement and go deep into its ratios that are very useful too.
Harita Chinnam
In the Balance sheet and ratio analysis reading, I have come across a problem with the formula. As per my understanding Accounts payable turnover ratio should be equal to Total Purchases/Accounts Payables (where Total purchases= Cost of Sales + Ending Inventory - Beginning Inventory), while as per this course it was stated as Cost of sales/Accounts payables. Just wanted to check if there was any misunderstanding by me.
I Wayan Subagia
No Need to review, all easy to understand
Jean Claude BINWA
Great achievement to complete this course. It is really an asset in an accountant and financial analysis career. Well detailed and explains with all possible examples ...
Jief Jephthe Dorinvil
This course equips you with all the tools you need to perform a first an excellent financial analysis of a Business from its Financial statements.
Christopher Lloyd
This course was carefully put together and very practical and hands-on, which aided in the retention of core concepts as compared to purely theoretical courses (which mostly involve reading/cramming for an exam). I would recommend this course to anyone who wants to get a solid understanding of the importance of ratio analysis.
Chinwendu John Uneke
The video presentation is apt, understandable and straight forward. great course!
Bryce Nie
Good course, good presentation and very well structured notes. More analytically exercises and solutions would have been much much better, instead of repeating the lecture exercises.
Adesola Adelaja
Please update the tutorial in leasing in light of IFRS 16 which became effective on 1 Jan 2019. All leases (apart short-term value leases) are now required to be recorded on-balance sheet.
Hamza Al Jaradat
Some definitions of ratios were given, however, some necessary details for calculation were missing. For example, the accounts receivable ratios did not discuss whether gross or net receivables should be used. Same applies to inventory, and PP&E (gross cost or net of accumulated depreciation) Time of the course ,I believe, can be shorter as there are many short videos that can be combined instead of spending some time to navigate between them. Thanks
Marco Pelser
It was so intriguing to see things I've read elsewhere so effortlessly explained and demonstrated here. It really helps even long-time students and experienced people consolidate what they know. The great thing about these courses is the fact that I have paid more for many other online courses hoping for at least a tenth of the value. The interactivity is what excites me because I get to make it my own in Excel, which means a lot to a person serious about getting ahead as a financial analyst. If there's anything I can take away from this experience it is that there are so many ways to do things and get answers but hinging on the right assumptions is crucial. Questions, like, "If you discount a series of free cash flows to the firm, and derive the equity value, would discounting a series of free cash flows to equity yield the same answer? And could you then derive the same enterprise value as before by using DFCFE (Discounted Free Cash Flow to Equity)?" kept popping in my head in the course after this one. But my point is, this course helps you to approach the next course in a way of thinking that is important so as to properly digest the knowledge. Guys, really, brillaintly laid out.
Awil H. Yusuf
but way of teaching is rather need improvements
Awil H. Yusuf
but way of teaching is rather need improvements
Zahid Sameer
Absolutely loved the way the Financial Analysis was taught. The step by step instructions and way it was taught through excel simply made me understand it much better than ever before. I got a much clearer and in debt picture of Financial Analysis.
Delbert Adivnovak
Very detailed and helpful!
KANNY SIBOZA
Oh my I just got 95%, I'm happy I took 5 days to study and for my improvement, I love it, thanks CFI
Hussain Mohammed Almutawa
Pyramid Analysis was a great key for me as a link between all the ratios and to analyze deeply
Vithu Borkar
This is the basic learning tool for any finance professional in order to start with the program.
MICHAEL MATSHEZA
I particularly found the pyramid analysis method in this course quite handy in my day to day work as a credit analyst. It's a great course and I look forward to putting these skills to practice.
Isaac Lin
Fundamental Concepts
Murad Ali Mohammed
After completing the course my analytical approach, analytical skills, and presentation skills increased significantly . Must for every accounting and finance professional. Highly recommended.
AHLIJAH PROMISE KOFI
Wow! CFI has done a great job by shaping and molding me to understand how to analyze financial data and ratios. I wish I had done this course before my first Degree; I would be on top of the class. I recommend CFI courses to anyone who wants to have his/her dream realized in any of their courses. To CFI Team, I say thank you.
Saroj Kumar
Awesome content and Explanation.
Alejandra Caloca Heredia
This is an excellent course to make a complete and deep analysis of a company financials. It's easy to follow and gives excellent tools for doing it. It has helped me clarify some doubts I had and gave me a more comprehensive understanding of my analysis. Fully recommend it!
Alvin Tezi
Using Financial Ratios has never been made easier for me to understand like in this Course! Am glad I did it.
Ziad Qasqas
It summarizes the structure of Financial Analysis in a simple way but with comprehensive understanding
Bienvenido Jesus B. Castro Jr., CPA, FMVA
The course has further refined and broaden my knowledge and understanding, the pyramid of ratios was explained very well and an excellent tool in analyzing a financial performance
Richard Hastings
Have done financial analysis before, but this included quite a few things that I had not come across before. In particular: the 'pyramid approach', which is a good way of looking at what makes up the key drivers of ROE.
Barbara Alvarez
Helped me understand financial ratios, how to calculate them, and when/where to use them.
Cara Nowen
really good review of all the key ratios for income statement, balance sheet, etc. thanks!

Frequently Asked Questions

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FMVA® Financial Analyst Certification

Become a Financial Modeling and Valuation Analyst (FMVA)® by completing all required courses in accounting, finance, modeling, Excel, presentations, and strategy. From beginner to advanced courses you will have the complete training you need to become a world-class financial analyst.

Upgrade

From $847.00
FMVA Full Immersion
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FMVA Self Study
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