Software Tutorials

How To Use Microsoft Excel for Financial Analysis

Microsoft excel for financial analysis

If you’re embroiled in the intricate world of financial analysis, you already know that Microsoft Excel is your closest companion. In this tutorial we will walk you through easy steps to learn how to use MS Excel for Financial Analysis.

One day 1 hour

From creating pivot tables to harnessing the power of advanced formulas, this guide will offer you a step-by-step tutorial on how to utilise Excel for in-depth financial analysis.

  1. Open a New Workbook

    Launch Microsoft Excel and open a new, blank workbook to start your financial analysis project.
    ProScholars Excel for Financial Analysis Open a New Workbook

  2. Navigate to Data Tab

    Click on the Data tab in the top menu to reveal a drop-down.
    ProScholars Excel for Financial Analysis Navigate to Data Tab

  3. Import Data

    Click on Get Data to select the source of your financial data. Excel supports several file types including .CSV, .TXT, and SQL databases.
    ProScholars Excel for Financial Analysis Import Data

  4. Organise Data

    Once imported, organise your columns and rows in a coherent manner to make analysis easier. Use the Sort and Filter options for better data management.
    ProScholars Excel for Financial Analysis Organise Data

  5. Select Your Data Range

    Highlight the cells containing the financial data you wish to analyse.
    ProScholars Excel for Financial Analysis Select Your Data Range

  6. Insert Pivot Table

    Navigate to Insert and then select PivotTable. A dialog box will appear. Confirm your selected range and choose where you want the Pivot Table to be placed.
    ProScholars Excel for Financial Analysis Insert Pivot Table

  7. Build Your Table

    Drag and drop fields into the ‘Rows’, ‘Columns’, and ‘Values’ areas to construct your table. Pivot tables can help you with various financial metrics like sums, averages, and counts.
    ProScholars Excel for Financial Analysis Build Your Table

  8. Understand Basic Financial Formulas

    Begin with basic financial formulas like SUM, AVERAGE, and COUNT.
    ProScholars Excel for Financial Analysis Understand Basic Financial Formulas

  9. Use Advanced Formulas

    For deeper analysis, use advanced formulas such as NPV for Net Present Value, IRR for Internal Rate of Return, and XNPV for non-periodic cash flows. To insert these, type “=” followed by the formula name in a cell.
    ProScholars Excel for Financial Analysis Net Present Value

  10. Highlight Data

    Select the data you want to visualise.
    ProScholars Excel for Financial Analysis Highlight Data

  11. Choose Chart Type

    Go to the Insert tab and select the type of chart that best represents your data. Line and bar charts are often used in financial analysis.
    ProScholars Excel for Financial Analysis Choose Chart Type

  12. Create Macros

    For repetitive tasks, record or code macros using VBA (Visual Basic for Applications).
    ProScholars Excel for Financial Analysis Create Macros

  13. Install Required Libraries

    For advanced analysis, install Python on your local machine. Open Python and install required libraries. You’ll need Python libraries like xlwings or pandas.
    ProScholars Excel for Financial Analysis Install Required Libraries

  14. Write Python Code

    Create Python scripts to run advanced data analytics directly within Excel.ProScholars Excel for Financial Analysis Write Python Code


By mastering these steps, you can elevate your skills in financial analysis using Microsoft Excel. Whether it’s basic calculations or complex financial modelling, Excel serves as a comprehensive tool for all your financial analysis needs.

If you require further specialised guidance or have complex financial analysis needs, please don’t hesitate to contact us. Our ProScholars are here to assist you related to your project.