*****THE NAME OF THE COMPANY WILL BE PROVIDED WHEN WE SHAKE HANDS*****
The Final Project will involve applying the concepts learned in class to an analysis of a company using data from its annual report. Using the concepts from this course, you will analyze the strengths and weaknesses of the company and write a report either recommending or not recommending purchase of the company stock.
For help with reading an annual report access this handy guide from Money Chimp.
http://www.moneychimp.com/articles/financials/fundamentals.htm
The completed report should include:
- An introduction to the company, including background information.
- A complete and thorough financial statement review.
- Pro Forma financial statements (Balance Sheet and Income Statement) for the next fiscal year, assuming a 10 percent growth rate in sales and Cost of Goods Sold (COGS) for the next year.
- Complete ratio analysis for the last fiscal year using at least two ratios from each of the following categories:A calculation of Return on Equity (ROE) using the DuPont system.
- Liquidity
- Financial leverage
- Asset management
- Profitability
- Market value
- A calculation of Return on Equity (ROE) using the DuPont system
- Assessment of management performance by calculating Economic Value Added (EVA).
- A synopsis of your findings, including your recommendations and rationale for whether or not to purchase stock from this company.
This report should be eight including five scholarly resources.
Leave a reply