How to Use Annual Report

There are many steps in calculating the fair value of a company . However , before we do that , it is necessary to know how a company earns its profits . It does so by selling to the consumer ? licensing its technology to other companies ? or extraction of natural resources from the ground?

The sensible way to do it is by reading the annual report of the company. What is a report ? Annual Report is an annual publication of public companies to inform investors. Better about the line of business Annual report gives investors a look of the line of business , financial health , as well as the strategies of management to do business .

Let 's look at CNET Networks Inc. The company trades in the NASDAQ market with symbol : CNET . What does CNET do? I know CNET owns cnet.com . But do you know that it also owns download.com , MP3.com , ZDnet.com and News.com ? How do I know ? Yep , you guess it . CNET report will give you all that.

The annual report of CNET 's , we can do a little digging internet for CNET . As of August 27, 2005 , these websites of CNET attracts 3 % of all Internet traffic . Pretty impressive , considering that Google owns 23 % of all Internet traffic . In April 2005 , Google had 78.6 million unique visitors . By comparing this metric , we can have an idea CNET potential sales for the month of August. I will not go , but this shows how useful reading CNET 's annual report . Reading an annual report serves as the first step to invest in a particular company .

How do we obtain annually ? Report There are several sources for . First is the companies own website . You are interested in knowing more about CNET Networks ? You can get the report by going to http://www.cnet.com and go to its shareholder relationship. After a few clicks, you can then download the annual report .

Or ... you can go to some websites for a number of different companies in alphabetical order to offer them. complete report Our website is one of them . Admittedly , while having hundreds of annual reports in one place is convenient, it is not as thorough as what to say own company website .

Hari Wibowo manages a small financial website aimed at new investors to get started . Curious ? You can find his other writings on