Limitations of traditional financial evaluation

1. Limitations of financial data sources: validity, authenticity, comparability, completeness and reliability of report data.

2. Limitations of financial analysis methods: They all reflect past information.

3. Limitations of financial analysis indicators: the indicator system is not strict, the evaluation criteria are not uniform, the situation reflected by financial indicators is relative, and the calculation caliber of financial indicators is inconsistent.

I hope it can help you understand better.