Fundamental Analysis of Stock using Python — Operating Expenses

Bee Guan Teo
The Handbook of Coding in Finance
8 min readAug 10, 2023

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Photo by Pixabay: https://www.pexels.com/photo/books-business-charts-coffee-259091/

Operating expenses, which are commonly referred to as OPEX, are the expenses that a business or organization incurs to maintain its daily operations and ensure smooth functioning. In fundamental analysis, OPEX plays a crucial role in assessing a company's financial well-being and profitability. By comprehending OPEX, investors can gauge a company's cost management, operational efficiency, overall financial health, and profitability.

In this article, we will use Python to perform a fundamental analysis of a target stock by evaluating its operating expenses over the past five years.

Disclaimer: The writing of this article is only aimed at demonstrating the steps to analyze the operating expenses of a publicly listed company in Python. It does not serve any purpose of promoting any stock or giving any specific investment advice.

Prerequisite Python Packages

  1. Pandas https://pandas.pydata.org/
  2. Plotly — https://plotly.com/python/

Github

The original full source code presented in this article is available on my GitHub Repo. Feel free to download it (OperatingExpenses.ipynb) if you wish to use it to follow my article.

Analyzing Operating…

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