
Qualitative Analysis
Qualitative Analysis is a method of analysing data that is not numerical, such as words, pictures or symbols. In finance, QA involves the evaluation of non-numeric information and data to gain insight and understanding of a company or investment.
This type of analysis is based on subjective judgment and interpretation of information, such as news articles, management interviews, market research, and other sources of information. Qualitative analysis is often used in conjunction with quantitative analysis to make investment decisions.
Qualitative analysis can provide valuable information about a company or investment that may not be reflected in the financial statements or quantitative data.
For example, qualitative analysis of a company may include things such as:
- Industry analysis
- Company management
- Brand strength and reputation
- Economic and political factors
- Social responsibility and sustainability