Create Financial Analysis and With Multiple Sheets and Charts in Excel from Python

What will we cover in this tutorial?

We will get financial data from FPM cloud (Free stock API) for the last years and generate a 3 sheet Excel sheet with charts similar to this. All done from Python.

Step 1: Collect the data

In this tutorial we are only going to use the example data on Apple, that is free available without registering on FMP Cloud. If you want to do it on another stock yo will need to register on their site.

What we need is the income statement and cash flow statement. They are available as JSON on their page (income statement and cash flow statement).

As our main library we will use Pandas.

The data can be collected with the following code.

import pandas as pd

income_statement = pd.read_json("https://fmpcloud.io/api/v3/income-statement/AAPL?limit=120&apikey=demo")
income_statement.set_index('date', inplace=True)
cash_flow = pd.read_json("https://fmpcloud.io/api/v3/cash-flow-statement/AAPL?limit=120&apikey=demo")
cash_flow.set_index('date', inplace=True)

Notice that we set the index to be the date column. This makes the further work easier.

Step 2: Prepare the data

The next step we need to do is to make the necessary calculations and prepare the data.

We are only interested Revenue, Earnings Per Share (EPS) and Free Cash Flow (FCF). So let’s take that data and keep it in a DataFrame (The Pandas main data structure).

data = income_statement[['revenue', 'eps']].copy()
data['fcf'] = cash_flow['freeCashFlow']

Now the data should look something like this.

	        revenue	        eps	fcf
date			
2020-09-26	274515000000	3.3600	7.336500e+10
2019-09-28	260174000000	2.9925	5.889600e+10
2018-09-29	265595000000	3.0025	6.412100e+10
2017-09-30	229234000000	2.3175	5.080300e+10
2016-09-24	215639000000	2.0875	5.349700e+10

Step 3: Calculate Percentage change

We are actually not interested in the actual values. The only thing we care about is the percentage growth from year to year.

As the data is in reverse order, and we need to calculate from the beginning to the end. We first need to order the dates from old to newest.

Then it is straight forward to calculate using pct_change() method.

data = data.sort_index()

data['rev %-chg'] = data['revenue'].pct_change()
data['eps %-chg'] = data['eps'].pct_change()
data['fcf %-chg'] = data['fcf'].pct_change()

Now the data should look similar to this (or the tail of it).

	        revenue	        eps	fcf	        rev %-chg	      eps %-chg	fcf %-chg
date						
2016-09-24	215639000000	2.0875	5.349700e+10	-0.077342	-0.100216	-0.233326
2017-09-30	229234000000	2.3175	5.080300e+10	0.063045	0.110180	-0.050358
2018-09-29	265595000000	3.0025	6.412100e+10	0.158620	0.295577	0.262150
2019-09-28	260174000000	2.9925	5.889600e+10	-0.020411	-0.003331	-0.081487
2020-09-26	274515000000	3.3600	7.336500e+10	0.055121	0.122807	0.245670

Step 5: Preparing data used in each Excel sheet

The next step is to prepare the data for each sheet in the Excel document.

We only need the last 10 years of data and will use loc to get that. Then we create a DataFrame for each sheet.

data_set = data.loc['2010-01-01':]
data_set.index = data_set.index.year

rev = data_set[['revenue', 'rev %-chg']].copy()
eps = data_set[['eps', 'eps %-chg']].copy()
fcf = data_set[['fcf', 'fcf %-chg']].copy()

Notice that we set the index only to be the year.

Step 6: Creating the Excel sheet

To create the Excel sheet we will use Pandas with the XlsxWriter.

This can be done as follows.

def create_sheet(writer, df, sheet_name):
    df.to_excel(writer, sheet_name=sheet_name)

writer = pd.ExcelWriter("financials.xlsx", engine='xlsxwriter')
workbook = writer.book

create_sheet(writer, rev, 'Revenue')
create_sheet(writer, eps, 'EPS')
create_sheet(writer, fcf, 'FCF')

workbook.close()

This will create a 3-sheet Excel document. One sheet for each DataFrame (rev, eps, fcf).

The function create_sheet(…) is practical, as each DataFrame is similar and we need to create the same sheet for each DataFrame.

The result will be in the Excel document financial.xlsx.

Step 7: Creating the charts

Now it pays to have the function create_sheet(…).

The full Excel document can be created by the following code.

def create_sheet(writer, df, sheet_name):
    df.to_excel(writer, sheet_name=sheet_name)
    worksheet = writer.sheets[sheet_name]
    workbook = writer.book
      
    chart = workbook.add_chart({'type': 'line'})
    
    chart.add_series({
        'name': sheet_name,
        'categories': [sheet_name, 1, 0, 11, 0],
        'values': [sheet_name, 1, 1, 11, 1],
    })
    
    column_chart = workbook.add_chart({'type': 'column'})
    
    column_chart.add_series({
        'name': sheet_name,
        'categories': [sheet_name, 1, 0, 11, 0],
        'values': [sheet_name, 1, 2, 11, 2],
        'y2_axis': True,
    })
    
    chart.combine(column_chart)
    chart.set_title({'name': sheet_name})
    chart.set_x_axis({'name': 'Date'})
    chart.set_y_axis({'name': 'Value'})
    column_chart.set_y2_axis({'name': '%-chg'})
    
    worksheet.insert_chart("E1", chart)

writer = pd.ExcelWriter("financials.xlsx", engine='xlsxwriter')
workbook = writer.book

create_sheet(writer, rev, 'Revenue')
create_sheet(writer, eps, 'EPS')
create_sheet(writer, fcf, 'FCF')

workbook.close()writer = pd.ExcelWriter("financials.xlsx", engine='xlsxwriter')
workbook = writer.book

create_sheet(writer, rev, 'Revenue')
create_sheet(writer, eps, 'EPS')
create_sheet(writer, fcf, 'FCF')

workbook.close()

The details of creating the charts in Excel can be found on XlsxWriter. Basically, it is sending informations to the XlsxWriter engine through dictionaries. You need to send the values that you would set in Excel, if you were working inside there.

Again, the result will be in the Excel document financial.xlsx.