Anybody can give you stock advice, but the best way to become a successful investor is doing your own detailed research. Besides the free stock advice which you receive from others like your friends, relatives, colleagues, social media or business news channels may not be authentic and investments on the basis of it may lead to loss in your portfolio too. Many times operator based cartels deliberately spread malicious stock advice with a view to trap innocent and new stock market investors.
Investing in fundamentally sound stocks is one of the best stock advice given by stock market experts and successful investors. To find fundamentally sound stocks, one has to study the company’s business as well as its financial statements which reveal a lot about its financial health. Since the annual report is published by the company, whatever is mentioned in the annual reports of the company is deemed to be official and correct.
The best place to find a company’s financial statements like annual report it the company’s own website. You will find a link for downloading annual reports of the company in the investors section as a PDF document on the company’s website itself. For publicly listed companies, it is mandatory to publish the annual report every year in India.
Another great place to find a company’s financial statements is the website of the Ministry of Corporate Affairs (www. mca.gov.in). You have to first register on the website and then after login click on ‘View Public Documents' in the Services Tab. Then you have enter the name of the company and select the year for which you need the documents. Choose the type of document you need and select it once it appears. Add those to your cart and pay the charges of one hundred rupees.
Once your payment is successful, you'll get an acknowledgement of payment of in the form of a challan which has a validity of seven days.
Apart from the above mentioned sources, there are many other third party websites like Moneycontrol, Economic Times, Markets Mojo etc. where you can find financial information of companies in the form of profit & loss, debt, sales, revenue etc.
To summarize rather than taking stock advice from generic source, taking a detailed look at the annual reports of the company will give you a clear picture of the company’s financial health.