Module 2: Reading and Interpreting Financial Statements

taught by Aman Raina, MBA
  • 36 Videos
  • 1 Survey
  • 2 Texts
  • 1 PDF
  • 1 Audio
  • 3.0 hrs

Course Curriculum

Introduction and Administration Items
Administration Items
Download Slides
Module 2-Podcast
WinPak Financial Statements Download
Hide Content
The Wheels of Capitalism
Slide 1
Hide Content
The Balance Sheet
Slide 2
Hide Content
The Balance Sheet (Continued)
Slide 3
Hide Content
Balance Sheet: Liabilities and Equity
Slide 4
Hide Content
Balance Sheet: Assets
Slide 5
Hide Content
A Simple Balance Sheet
Hide Content
Liquidity Ratios
Slide 7
Hide Content
Leverage Ratios
Slide 8
Hide Content
Cost of Capital
Slide 9
Hide Content
Impact of Capital Structure on Risk
Slide 10
Hide Content
Analyzing Balance Sheet of WinPak
Slide 11
Hide Content
Analyzing Balance Sheet of WinPak (Continued)
Slide 12
Hide Content
WinPak Balance Sheet Ratios
Slide 13
Hide Content
WinPak Balance Sheet Ratios (Continued)
Slide 14
Hide Content
WinPak Balance Sheet Ratios (Continued)
Slide 15
Hide Content
Back To The Wheels of Capitalism
Slide 16
Hide Content
The Income Statement
Slide 17
Hide Content
The Income Statement (Continued)
Slide 18
Hide Content
The Income Statement (Continued)
Slide 19
Hide Content
Income Statement Ratios
Slide 20
Hide Content
Income Statement - WinPak
Slide 21
Hide Content
Income Statement Ratios - WinPak
Slide 22
Hide Content
Roadmap For Making Investment Decsions
Slide 23
Hide Content
Where To Find Financial Statements
Slide 24
Hide Content
Financial Reporting Standards
Slide 25
Hide Content
Users of Financial Statements
Slide 26
Hide Content
The Players
Slide 27
Hide Content
The Players: Sell Side Analysts
Slide 28
Hide Content
The Players: Buy Side Analysts
Slide 29
Hide Content
The Players: Business Media/Financial Gurus
Slide 30
Hide Content
What Do We Know Now?
Slide 30
Hide Content
Slide 31
Hide Content
Final Thoughts
Final Thoughts
Hide Content
Tutorial: Financial Analysis Template
Spreadsheet Template Download
Tutorial-Part 1
Tutorial-Part 2
Hide Content
Module Evaluation
Module Evaluation
Hide Content
Everyday Investing Bundle
Module 8: Cognitive Biases
Module 7: Investment Products
Module 6: Making the Investment Decision
Module 5: Measuring The Value of Stocks
Module 4: Measuring Risk In Stocks
Module 3: Understanding The External Investing Environment

Course description

Upon completion of this module you will:

  1. Know how to read and interpret financial statements (Income Statement and Balance Sheet) for the purposes of making sucessful investment decisions. 
  2. Learn to extract core data points from financial statements and understand the role they play in evaluating a company and its stock.
  3. Understand how financial statements are prepared, the standards they must abide by, as well as the audiences they cater to. It's important to understand who these players and users of financial information are as their analytical processes can often skew their evaluations to specific ideologies that can influence how a stock is evaluated.

Estimated Course Time: 2 hours 52 minutes (not including tutorial)

Math-i-ness Factor: (1=No Math, just concepts, 10=breakout the spreadsheets and calculators)

10 - Break out your financial calculators. We'll be crunching some formulas in this module.

Read More


Aman Raina, MBA
Aman Raina, MBA
Investment Coach and Founder - Sage Investors

I help new and experienced investors who want to be financially secure but feel confused , intimidated and uninformed by the investing world. They either don’t know where to begin or feel that they are not making enough progress with their investments. I teach and engage with them in how to make educated investment decisions so that they can achieve financial freedom in their lives with confidence.

Over the years, I have met numerous investors who have shared their stories about how financial institutions have failed them in providing appropriate guidance for their investment portfolios. Many have gone on to lose significant portions of their savings, leading to financial and emotional hardships, while the institutions that should be helping them are enjoying massive profits. I believe there is a serious disconnect here and this is not healthy for our society.

My call to action

The people that I saw requiring the most assistance was hard working people like yourself, who after several stock market meltdowns have decided they want to take control of their financial destiny.

Sage Investors is Born

After investing for 20 years, I really believe deep down that investing is a lot easier than what the industry makes it out to be and any person can become really good at investing if they have the right education, motivation, and support. With that I created Sage Investors with a goal of creating an army of empowered and successful Sage Investors!

I've seen it first hand in the people I've worked with. When I started working with people, they knew nothing about investing, but with hard work and commitment to learning the mechanics and emotional aspects of investing, I see them now as confident investors who are building a meaningful nest egg for their future on their own.

I see them happy that their hard earned savings are growing meaningfully for them.

They have hope.

They have hope that that they have a good chance of having some financial flexibility to achieve their own personal and family goals.

I have gained so much admiration and greater satisfaction in helping these hard working people achieve some level of financial freedom in their lives. The best part is when I help someone on their investing journey, I am learning something new about investing that helps me. What a win-win!

I look forward to having an opportunity to work with you.

To your future investing success!

Aman has appeared on a variety of media outlets including financial print media as well as podcasts.

Sage Investors is based out of Toronto, Canada

Aman Raina, MBA

Investment Coach and Founder - Sage Investors

Twitter: @sageinvestors