There is a myriad of ways that an investor can approach stock picking. Some people prefer to find hidden gems by going through a company’s balance sheets, others prefer to rely on price chart analysis. Yet another class of traders may be value-based investors. In this article, we will be focusing on a fundamental based stock selection methodology. Regardless of your personal preference, there are three important Fundamental Indicators which are essential to successful stock analysis and investing. They include Price to Earnings Ratio (P/E Ratio) Price to Earnings to Growth Ratio (PEG) Price to Book Ratio (P/B ratio). What is Fundamental Analysis Before we discuss the three major fundamental indicators that every stock investor should be familiar with, it is essential to understand what the core principle of fundamental analysis is. Fundamental analysis, as it pertains to the valuation of stocks, is an analytical method that incorporates ......