Financial analysis models are models used to evaluate the financial equipment of a company, such as its investments and liabilities, for the purpose of making informed decisions about the management of the company’s finances. These models provide an efficient and effective way of looking at large sets of data that can help analysts determine how the company is performing in comparison to similar businesses in the industry and market. By analyzing a company’s financials, analysts can make more informed decisions about where to allocate resources, what risks to take on, and what strategic moves will bring maximum benefit in the long-term.