Understanding the stock market can feel overwhelming — especially when you’re just starting out. With complex charts, confusing terms, and endless tips from every corner of the internet, knowing where to begin is tough. But here’s the truth: successful investing doesn’t come from guessing or blindly following others. It comes from learning how to analyze stocks the right way.
This is where Dhanarthi makes a difference.
Whether you’re learning about financial ratios, trying to grasp the meaning of ratio analysis, or want to explore the technical side of the stock market, Dhanarthi gives you the right tools, guidance, and real-time data — all for free.
In this article, we’ll take you from beginner to confident investor, explaining how to use Dhanarthi for:
- Ratio Analysis
- Financial Statement & Performance Analysis
- Technical Stock Analysis
Let’s break it down.
What is Ratio Analysis?
Ratio analysis is a key part of fundamental stock analysis. It helps you understand how a company is really performing — beyond its stock price.
You’ll be able to answer important questions like:
- Is the company profitable?
- Does it have too much debt?
- Is it using its resources efficiently?
Common Financial Ratios You Can Explore with Dhanarthi:
- Price-to-Earnings (P/E) Ratio – Tells you how expensive a stock is compared to its earnings.
- Return on Equity (ROE) – Measures how efficiently a company uses investor money.
- Debt-to-Equity Ratio – Helps you see if a company is relying too much on borrowed money.
- Earnings Per Share (EPS) – Tells you how much profit each share earns.
These ratios are automatically calculated on Dhanarthi, so you don’t need a finance degree to use them.
Ratio Analysis Meaning and Why It Matters
Ratio analysis means comparing different numbers from a company’s financial statements to understand its performance.
Why it matters:
- Helps identify undervalued or overvalued stocks
- Shows a company’s financial health
- Simplifies comparison between companies in the same sector
- Helps you invest based on facts, not emotions or trends
Types of Ratio Analysis You’ll Learn with Dhanarthi
There are different types of ratios, and Dhanarthi helps you learn and apply them effectively:
1. Profitability Ratios
- Understand if the company is making enough profit.
- Examples: Net Profit Margin, ROE, Return on Capital Employed (ROCE)
2. Liquidity Ratios
- Can the company pay its short-term bills?
- Examples: Current Ratio, Quick Ratio
3. Leverage Ratios
- Measures how much debt a company has.
- Example: Debt-to-Equity Ratio
4. Efficiency Ratios
- Is the company using its assets well?
- Example: Asset Turnover Ratio
5. Valuation Ratios
- Helps decide if the stock is cheap or expensive.
- Examples: P/E Ratio, Price-to-Book (P/B) Ratio
What is Financial Statement Analysis?
Financial statement analysis means reviewing a company’s balance sheet, income statement, and cash flow statement to judge its overall financial condition.
Dhanarthi summarizes this data clearly, so you don’t have to dig through complex PDFs.
You’ll find:
- Revenue and profit trends
- Total debt levels
- Cash flow summaries
- Assets vs liabilities
- Historical performance
This is the foundation of financial performance analysis.
Tools of Financial Statement Analysis on Dhanarthi
Dhanarthi offers smart tools that simplify financial analysis:
- Auto-generated graphs for quick comparisons
- Peer analysis to see how a company stacks up
- Real-time updates so your insights are always fresh
- One-click access to financial summaries
It’s everything a beginner or growing investor needs in one place.
Role of a Financial Analyst — And How Dhanarthi Helps You Think Like One
A financial analyst studies a company’s data to make informed investment decisions.
You don’t have to become a professional, but with Dhanarthi, you’ll start thinking like one:
- Using facts, not tips
- Understanding business models
- Checking long-term financial trends
- Making decisions based on data
With practice, you’ll grow more confident in your ability to spot good investments on your own.
What is Technical Analysis?
Technical analysis focuses on price charts, patterns, and trading volumes to predict stock movements.
Unlike fundamental analysis, which looks at a company’s business, technical stock analysis studies the market behavior of its shares.
Dhanarthi provides basic technical tools like:
- Stock price trends
- Volume indicators
- Simple moving averages
These tools help you decide when to buy or sell, based on price action.
Technical Analysis of Stock Trends: Where to Start
Here are basic elements of technical analysis you can begin with:
- Support & Resistance Levels – Price points where a stock tends to stop falling or rising
- Moving Averages – Help smooth out price trends over time
- Volume Trends – Show how strong or weak a stock’s move is
Dhanarthi’s charts make this easy for beginners to understand and apply.
Benefits of Ratio Analysis and Financial Tools on Dhanarthi
Here’s what makes Dhanarthi ideal for learning and applying stock analysis:
- No login or subscription needed
- Beginner-friendly layout
- Instant access to company financials
- Automated ratio calculations
- Real-time updates for smarter decisions
- Built for Indian investors
Whether you’re learning what technical analysis is or using tools of financial statement analysis, Dhanarthi brings everything to one platform — simply and clearly.
Final Thoughts: From Beginner to Confident Investor
You don’t need complex, expensive tools to analyze the stock market. With the right guidance and easy-to-use features, you can become your own best financial analyst.
Dhanarthi gives you:
- Real insights, not just signals
- Powerful tools made simple
- The ability to invest based on logic, not guesswork
So whether you’re exploring the fundamental analysis of stocks, comparing companies through financial ratio analysis, or testing out technical analysis of the financial markets, Dhanarthi is your smartest first step.
FAQs
1. What is ratio analysis in simple terms?
Ratio analysis is a way to understand a company’s financial health by comparing numbers from its financial statements — like profits, debt, and revenue.
2. Is Dhanarthi suitable for beginners?
Yes, Dhanarthi is designed for beginner and intermediate investors. Its layout is simple, and key insights are explained clearly.
3. Can I do both fundamental and technical analysis on Dhanarthi?
Absolutely. Dhanarthi offers tools for both — from financial statements and ratios to charts and stock price trends.
4. Are the tools on Dhanarthi free?
Yes, all tools and data on Dhanarthi are free to use. No login, subscription, or payment required.
5. How does Dhanarthi help improve my stock picking?
Dhanarthi provides real-time data, easy ratio analysis, and clear comparisons — helping you make informed decisions instead of following hype or tips.