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Company Report Selection

Only do the highlighted portion of the report.

COMPANY REPORT

15% of course grade would come from a project where you would have to use your understanding of financial concepts to analyze a real company. It should be organized like a professional report. Report should be in around
10 pages double space, including tables and references.

As a general guideline in doing the above analysis you should focus on the following aspects:

· Financial Statement Analysis: Find the financial statements of your selected company and analyze its financial ratios.

· Valuation: Cash Flows, growth pattern, any special project that the company is heavily dependent upon.

· Risk and Return: What is the risk profile of your company? (How much overall risk is there in this firm? Where is this risk coming from (market, firm, industry or currency)? How is the risk profile changing? What is the performance profile of an investment in this company? What return would you have earned investing in this company’s stock? Would you have under or out-performed the market? How much of the performance can be attributed to management? How risky is this company’s equity? Why? What is its cost of equity? How risky is this company’s debt? What is its cost of debt? What is this company’s current cost of capital?

· Changes in stock prices and returns: Record opening, closing, high and low prices on a daily basis. Analyze any major swings in prices whether they are driven by any company-specific event or are market-driven. For example, most companies might fall because of a major issue (think of Greek crisis) or a company might fall because it was caught offering a bad product (e.g. Lumber Liquidators)

ASSIGNMENT SUBMISSION DETAILS (Via Assignment Dropbox)

·
End of Week 1

· Name of the firm that you plan to study

· References and source of material that you will be using

·
End of Week 8

· Report detailing how you are progressing on the company analysis; including finished basic information about the firm, its products, competition, financial statement analysis and if it has any debt or not.

·
April 14

· Final Company Report

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