Abstract Financial analysis is considered to be a diagnosis of a financial situation or function in the institution during a particular productive cycle or during several cycles. This is for those who are related to the institution such as businessmen, banks and investors in order to show all changes in the financial situation and thus to judge the fiscal policy and take corrective action And the subject of the budget analysis carried out by the institution at a certain time in a list to determine the assets of the assets, and the debts to determine their financial assets, and through this budget can identify the sources of activity of the institution and then draw their direction, and discover the reasons for success and failure that Caused The budget should be clear, accurate and real so that those familiar with it can easily draw conclusions during the analysis and judge the importance of the institution. In light of market economics, capital markets and the emergence of joint stock companies, through which the performance of enterprises can be assessed and judged on the results of their implementation and the information they provide used in the decision-making process, the diagnosis of any existing problem and the forecasting of the economic situation Therefore, we have decided to divide this research into four topics. In the first part, we will shed light on the nature of financial analysis by giving a historical view of financial analysis and clarifying its concept, while highlighting the tools and stages it undergoes. In the second section we will present the various functions and objectives of financial analysis. And in the third section we highlight the various financial indicators. In the fourth section we discussed the role of the financial analyst in the transition from the accounting budget to the financial budget through the study of various amendments to the transition, which is the mainstay of financial analysis.