financial analysis : Solution Essays

 6. Conclusion: Evaluate the stock and report your recommendation on the stock (buy, sell, or hold) based on your comprehensive analyses of financial statements, company, industry, and stock valuation models. IMPORTANT POINT – THERE IS NO RIGHT OR WRONG ANSWERS!!!! The final report must look professional, read seamlessly from one section to the other, and show the quality and depth of the analysis. It should show clarity, persuasiveness and critical thought. Report summaries of all calculations and Excel work in the main body and place all the detailed calculations and Excel outputs in the Appendix. Sources a. Business Databases: Library i. Lexis-Nexis Academic 1. Full-text articles, company, industry, and financial information. Also covers legal information including full text of court cases. ii. ABI/INFORM Complete 1. Scholarly articles in management, industry news, and company information. iii. Business Source Complete 1. Full text coverage for over 1,120 business publications. iv. ProQuest Research Library 1. All purpose database providing full text articles on a broad range of subjects. Science, Humanities, Social Sciences, etc. b. Federal Reserve Bulletin (Interest rates) i. Online: www.federalreserve.gov/releases/h15/data.htm ii. http://purl.access.gpo.gov/GPO/LPS23404 iii. Printed copy: Library (HG2401.A5) 1. It contains information on interest rates on Treasury securities and corporate bonds. You may find the latest Treasury rates from Wall Street Journal, Business Week and so on. c. Russell  4 i. Market return: For market return you can use the returns of Russell 1000 index as a proxy. Ten year average returns of this index can be obtained from the following website: 1. http://www.russell.com/Indexes/performance/calculator/calculator.a sp d. Valueline Investment Survey i. Current issue: www.valueline.com ii. Printed copy: Library (Ref. HG 4501. V26) 1. It contains the information on credit ratings, beta, corporate tax rates, dividends, capital structures and detailed analysis of the firm and industry, etc. e. Industry Ratios i. Morningstar.com, Reuters.com, Yahoo Finance, and so on. f. Financial Websites i. Yahoo Finance, CNN Money, Google Finance, Zachs.com, Hoovers.com, Marketwatch.com, Morningstar.com, and so on. g. Past Financial Statements i. Edgar Company Search 1. http://www.sec.gov/edgar/searchedgar/companysearch.html ii. Company’s Website Note: You must submit the following materials in a binder for full credit. 1. Project Paper (that answers all the questions on this guideline) 2. Copy of PowerPoint presentation 3. Copy of past three years’ balance sheets and income statements 4. Printout of Excel spreadsheet containing the data and outputs (Place Excel spreadsheet and calculations in Appendix). 5. References 6. Copies of the important resources for the project (Please highlight the information to support your analysis for the paper.) 7. Email the group project report, PowerPoint, and the Excel spreadsheet work the night before the due date