During CFRA's webinar on March 26, we discussed Financial Shenanigans and how to identify discrepancies between reported financial results and a company or industry's underlying economic reality.
It is no secret that public company management teams use complicated accounting tricks to hide operational deterioration in their underlying business. Using company examples, we pointed out how revenues, margins, and non-GAAP metrics can be flattered through aggressive accounting or other manipulative techniques.
During this session, participants learned how to identify these early warning signs through financial statement analysis, and how to review annual and interim reports to find unsustainable benefits to reported results.
We also reviewed several case studies.
Rob McDowell, Senior Analyst, CFRA
Julian Sanguedolce, Head of Institutional Sales, CFRA