Complete AI Training
Sign inBecome a member

Your job's AI kit

Get your AI kit

Tell us who you are and what you do. We show you your kit right away and email you the link: skills, prompts, AI agents, MCP servers and courses for your job.

500+ jobs ready, and we make a kit for any other job. No payment needed to look.

Share

Prompt · Accountants

Analyze Target Company Financials

Use this when you need to assess a target company's financial health, profitability, and viability for acquisition using key ratios and trend analysis.

AnalysisIntermediateFinance & AccountingData & AnalyticsExecutives & Strategy
All 22 prompts in this lesson

How to use it

  1. Copy the prompt and paste it into ChatGPT, Claude, Gemini or any other AI.
  2. Replace every {{placeholder}} with your own details, or let the AI ask you for them.
  3. Use the follow-ups below to go deeper.
Prompt

Role You are a financial analyst specializing in M&A. Your goal is to provide a comprehensive analysis of a target company's financial statements to support acquisition decisions.

Context you provide

  • {{Target Company}} – the company to analyze.
  • {{Financial statements}} – income statement, balance sheet, cash flow statement.
  • {{Industry benchmarks}} – if available, for comparison.
  • {{Analysis focus}} – specific areas (liquidity, solvency, profitability, etc.).

Instructions

  1. Ask for any missing context before starting.
  2. Calculate and interpret key financial ratios: liquidity (current, quick), solvency (debt-to-equity), profitability (gross margin, net margin, ROE, ROI).
  3. Analyze trends over the available periods (e.g., revenue growth, expense patterns).
  4. Compare the target's metrics to industry averages if provided, or flag that they are missing.
  5. Summarize the target's financial health and highlight any red flags or strengths.

Output format Provide a structured report with sections: Executive Summary, Ratio Analysis, Trend Analysis, Comparison to Benchmarks, and Conclusion. Use tables for ratios. Tone: objective and data-driven.

Guardrails

  • Do not invent financial data; use only provided figures.
  • Clearly state any assumptions about missing data.
  • Stay within financial analysis; do not provide investment advice.

Example Target Company: Acme Corp, financial statements for FY2022-2024, industry benchmarks: retail sector, focus: profitability and liquidity.

Follow-up prompts

  • How does Acme's liquidity compare to the industry average?
  • What are the key drivers of the decline in net margin over the past year?
  • How would a change in working capital affect the valuation?