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HOW TO READ A BALANCE SHEET

By Behind The Balance Sheet

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£399

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Highlights

On-Demand course
Beginner level

Description

Knowing how to read a balance sheet is an essential skill for anyone looking to become a better investor. A crash course in understanding a company’s report and accounts, this programme is ideal for anyone wanting to get more comfortable with the art of dissecting balance sheets and accounts more generally.

How to Read a Balance Sheet is an ideal course for anyone wanting to understand a company’s report and accounts. Whether you’re:

We’re here to translate the jargon that dominates the investment sector into a language that anyone — whether they’re an experienced pro or a newcomer — can understand: we never mention debts or credits (promise), and we’ll show you how to interpret a set of accounts (because you don’t really need to know how to prepare them).

When you have completed this course, you’ll be able to understand the jargon, tell the difference between a pension liability and a provision, and know whether a company is truly profitable and a quality business.

What will you learn in the How to Read a Balance Sheet course?

Module A: BALANCE SHEET

How to Approach the Accounts

Audit Report

Fixed Assets

Goodwill

Other Long Term Assets

Current Assets

Current Liabilities

Pensions

Other Comprehensive Income Statement

Module B: P&L

Revenue

Gross Margin

Expenses

Margins

Interest

Other P&L Issues

Non-GAAP Measures

Module C: CASH FLOW

Introduction

Structure of Cash Flow

Operating Cash Flow

Depreciation

Cash from Investing

Cash from Financing

Capex outside the Cash Flow

Amazon’s Cash Flow – A Critical Review

Acquisitions in the Cash Flow

Module D: ANALYSIS

Accounting Policies Module, Policy Changes

FX Rates and Similar

Revenue Recognition

APMs

Accounting Shenanigans Module

Revenue Recognition Tricks, Cash Flow Manipulation, Tricks with Expenses

Financial Ratios Module, Approach, P&L Ratios

RoCE, ROIC, ROIC and CROCI

Working Capital Ratios, Liquidity Ratios, Solvency Ratios

Introduction to Analysis Module: Internal Analysis, Revenue Analysis

Gross Margin, EBIT Margin, Peer Margins

Adjusted Earnings

Balance Sheet

Returns

What to expect from this course- video

Free lecture previews:

Amazon's Cash Flow

Goodwill

“After 10 years in Investment Management, I decided I wanted to take my analysis skills to the next level and was recommended the course by our Head of European Strategy. It gave me a fantastic insight into how to approach and analyse a set of accounts which I now use on a daily basis. I found it easy to follow and Steve was happy to help in any way possible. My only regret is that I couldn’t have taken it sooner in my career!”

Paul, England, Chartered Wealth Manager

Frequently Asked Questions

What is the course format?
- 6 modules
- 89 lectures
- Multiple downloads
- Exercises and quizzes to test your understanding
Who is this course for?
- an investor, seeking to make your fortune in the stock market but protect yourself against fraudsters, or
- a middle manager trying to climb the ladder to the boardroom, or
- a student, trying to make sense of all the jargon
Who is the tutor?
Steve Clapham has 25 years of experience as an equity analystat different investment banks, covering various sectors, and was consistently rated in the top 10 in his sector in Extel, I and Reuters surveys. He moved to the buy-side in 2005 and was a partner and head of research at two multi-billion dollar hedge funds; he specialised in using a deep dive research approach to identify special situation opportunities.
In 2018, Steve started Behind The Balance Sheet, an investment training consultancy that runs forensic accounting courses for institutions like Schroders and Baillie Gifford.
Steve is regularly in the press, in the UK's Investors Chronicle, on City AM and on the Today programme on BBC Radio 4, talking about accounting issues at quoted companies.
In 2020, Steve's book, The Smart Money Method, How to Invest Like a Hedge Fund Pro, was published by Harriman House and immediately went to #1 slot in Investing on Amazon in the UK and US. It has been enthusiastically received by professional and amateur investors.
How long do I have access to the course?
How does lifetime access sound? After enrolling, you have unlimited access to this course for as long as you like - across any and all devices you own.
What if I am unhappy with the course?
We would never want you to be unhappy! If you are unsatisfied with your purchase, contact us in the first 30 days and we will give you a full refund.
When does the course start and finish?
It is a completely self-paced online course - you decide when you start and when you finish.