ChatGPT Prompts for Fundamental Analysis Made Easy
In this post, I share with you the best ChatGPT prompts for fundamental analysis to simplify stock market research and financial decision-making. I and you both know that understanding a company’s financial health can be tricky. But with these prompts, you’ll be able to uncover key data like profit margins, cash flow, and debt ratios effortlessly. Whether you’re a beginner or seasoned investor, these prompts make analysis fast, simple, and effective.
Using these detailed prompts, you’ll see how ChatGPT can act as your financial assistant, helping you evaluate investments like a pro. You’ll gain clarity and confidence in your decisions while saving hours of manual research. Let’s dive in and simplify your fundamental analysis journey.
🟢 List of Detailed Prompts
✅ Prompt 1: Act as a Financial Analyst for Stock Evaluation
"Act as a financial analyst skilled in fundamental analysis. I want you to analyze a company’s financial health. Start by providing an overview of its income statement, balance sheet, and cash flow statement. Highlight key financial ratios like price-to-earnings (P/E), return on equity (ROE), and debt-to-equity ratio. Explain trends, strengths, and weaknesses in simple terms suitable for a beginner. Ensure you include any red flags or growth opportunities."
✅ Prompt 2: Act as a Business Valuation Expert
"Act as a business valuation expert specializing in fundamental analysis. Please calculate the intrinsic value of [Insert Company Name] using methods like discounted cash flow (DCF) or comparable company analysis. Explain how each method works and why it’s relevant. Provide clear steps for your valuation and justify your assumptions with easy-to-understand explanations."
✅ Prompt 3: Act as a Financial Report Interpreter
"Act as a financial report interpreter. Using fundamental analysis, explain the significance of key terms in a company’s annual report, such as net income, gross profit margin, and operating expenses. Provide a step-by-step guide on interpreting these figures to determine a company’s profitability, efficiency, and risk level."
✅ Prompt 4: Act as a Financial Ratio Calculator
"Act as a financial ratio calculator designed for fundamental analysis. Calculate and explain the meaning of financial ratios like current ratio, quick ratio, and gross margin for [Insert Company Name]. Show how these ratios reflect the company's liquidity, profitability, and overall health. Use practical examples to make the explanation easy to follow."
✅ Prompt 5: Act as a Market Trends Researcher
"Act as a market trends researcher focused on fundamental analysis. Study the sector performance of [Insert Company Name] and compare its key financial metrics to industry benchmarks. Highlight how macroeconomic factors like interest rates, inflation, or consumer spending trends impact the company’s performance. Offer actionable insights for decision-making."
30 Best Prompts for Fundamental Analysis
✅ Prompt 1: Act as a Financial Analyst for Stock Evaluation
"Act as a financial analyst skilled in fundamental analysis. List key insights from a company’s income statement, balance sheet, and cash flow. Include financial ratios like P/E, ROE, and debt-to-equity, along with explanations of trends, strengths, and weaknesses."
✅ Prompt 2: Act as a Business Valuation Expert
"Act as a business valuation expert. List steps to calculate a company’s intrinsic value using methods like discounted cash flow (DCF) and comparable company analysis."
✅ Prompt 3: Act as an Earnings Report Analyst
"Act as an earnings report analyst. List key points from a company’s latest earnings report, including revenue, net income, EPS, and growth trends. Add explanations for each metric’s impact on valuation."
✅ Prompt 4: Act as a Sector Specialist
"Act as a sector specialist. List financial metrics to compare a company with its peers, highlighting areas of underperformance or outperformance in its industry."
✅ Prompt 5: Act as a Dividend Analyst
"Act as a dividend analyst. List factors to evaluate a company’s dividend sustainability, including payout ratio, dividend yield, and cash flow sufficiency."
✅ Prompt 6: Act as a Cash Flow Analyst
"Act as a cash flow analyst. List insights from a company’s cash flow statement, including trends in operating, investing, and financing activities. Highlight any red flags or positive signals."
✅ Prompt 7: Act as an Economic Indicator Analyst
"Act as an economic indicator analyst. List macroeconomic factors like interest rates, inflation, and GDP growth that could impact a company’s performance. Include potential risks and opportunities."
✅ Prompt 8: Act as a Risk Analyst
"Act as a risk analyst. List potential financial risks for a company, such as credit, market, and operational risks. Provide details about how each risk could affect profitability."
✅ Prompt 9: Act as a Revenue Growth Analyst
"Act as a revenue growth analyst. List trends in a company’s revenue growth over the past five years and provide factors driving the trend or potential challenges."
✅ Prompt 10: Act as an Equity Research Analyst
"Act as an equity research analyst. List insights for evaluating a company’s stock, including valuation metrics, past performance, and recommendations for buy, sell, or hold."
✅ Prompt 11: Act as a Balance Sheet Analyst
"Act as a balance sheet analyst. List assets, liabilities, and equity details from a company’s balance sheet and analyze its solvency and liquidity ratios."
✅ Prompt 12: Act as a Financial Ratios Expert
"Act as a financial ratios expert. List important ratios such as P/E, P/B, ROE, and ROA for a company and explain their relevance to fundamental analysis."
✅ Prompt 13: Act as a Debt Analysis Specialist
"Act as a debt analysis specialist. List and evaluate a company’s debt metrics, including debt-to-equity ratio, interest coverage, and repayment schedule."
✅ Prompt 14: Act as an Asset Valuation Specialist
"Act as an asset valuation specialist. List methods for valuing a company’s tangible and intangible assets, including fair value calculations."
✅ Prompt 15: Act as a Margin Analysis Expert
"Act as a margin analysis expert. List and analyze key margins like gross margin, operating margin, and net profit margin for a company over the last three years."
✅ Prompt 16: Act as a Competitive Positioning Expert
"Act as a competitive positioning expert. List factors like market share, competitive advantage, and pricing power that contribute to a company’s industry standing."
✅ Prompt 17: Act as a Historical Performance Analyst
"Act as a historical performance analyst. List trends in a company’s financial performance over the past five years, focusing on revenue, profit, and cash flow."
✅ Prompt 18: Act as a Market Trend Analyst
"Act as a market trend analyst. List market trends that could affect a company’s growth prospects, such as consumer behavior changes or technological innovations."
✅ Prompt 19: Act as a Profitability Specialist
"Act as a profitability specialist. List profitability metrics such as EBITDA margin, net margin, and ROE, explaining their importance in fundamental analysis."
✅ Prompt 20: Act as a Growth Potential Analyst
"Act as a growth potential analyst. List growth drivers for a company, including new product launches, market expansion, or cost efficiencies."
✅ Prompt 21: Act as a Liquidity Analyst
"Act as a liquidity analyst. List liquidity ratios such as current ratio and quick ratio for a company and explain their significance."
✅ Prompt 22: Act as a Cost Structure Analyst
"Act as a cost structure analyst. List and analyze a company’s cost breakdown, including fixed, variable, and total costs. Highlight efficiency opportunities."
✅ Prompt 23: Act as a Historical Stock Price Analyst
"Act as a historical stock price analyst. List trends in a company’s stock price over the past 10 years and connect them to key financial events."
✅ Prompt 24: Act as an Industry Benchmarking Specialist
"Act as an industry benchmarking specialist. List financial metrics for comparing a company to its industry average and identify areas of overperformance or underperformance."
✅ Prompt 25: Act as a Revenue Segmentation Analyst
"Act as a revenue segmentation analyst. List revenue contributions from different business segments and analyze their growth trends."
✅ Prompt 26: Act as a Financial Projections Expert
"Act as a financial projections expert. List forecasted revenue, profit, and cash flow figures for a company over the next three years, based on historical trends."
✅ Prompt 27: Act as a Shareholder Value Analyst
"Act as a shareholder value analyst. List metrics such as earnings per share (EPS) and dividend yield to assess the value provided to shareholders."
✅ Prompt 28: Act as a Sustainability Analyst
"Act as a sustainability analyst. List ESG (Environmental, Social, Governance) factors affecting a company’s performance and discuss their impact on its valuation."
✅ Prompt 29: Act as a Profitability Trends Expert
"Act as a profitability trends expert. List changes in a company’s profitability metrics over the last five years and explain possible causes."
✅ Prompt 30: Act as an Acquisition Analysis Specialist
"Act as an acquisition analysis specialist. List financial details of a recent acquisition by a company and analyze its impact on growth and profitability."
Related Questions and Answers
1. How can ChatGPT help in fundamental analysis?
ChatGPT simplifies the process by interpreting complex financial reports, calculating key metrics, and identifying trends that influence stock performance.
2. What is the importance of fundamental analysis?
Fundamental analysis helps you understand a company's intrinsic value and financial health, enabling informed investment decisions.
3. Are these prompts suitable for beginners?
Yes, the prompts are designed to be simple and beginner-friendly, breaking down complex concepts into easy steps.
Conclusion:
These ChatGPT prompts for fundamental analysis empower you to analyze companies effortlessly and make better investment decisions. Use them to gain clarity, confidence, and a deeper understanding of financial data.