Identification

• Stock valuation analysis is a way in which investors study stock in order to determine value.
  
  

Preliminary Valuation

• Preliminary valuation of stock begins with the examination of the 10-K and 10-Q reports, compensation reports, industry reviews and analysis reports.
  
  

Cash Flow Data

• Cash flow data is examined by the analyst using the 10-K and 10-Q reports, taking a look at where positive cash flows are coming from, the role financing and investment plays in growth, and a variety of other factors.
  
  

Balance Sheet

• The balance sheet is examined to see the difference between assets and liabilities in the company.
  
  

Formulas

• Formulas used in order to figure out stock value include the P/E method and the Gordon Model.