Company Analysis Project

Company profile

• Explain the company to a sophisticated investor who has no specific knowledge about the company or industry. What products or services make up most of the revenues and profits for the company? Does the firm have competitors in multiple industries? What are the industry trends in terms of overall growth, competitiveness, etc.? What strategies does the company follow and how does that affect their sales, expenses and income?

Analysis: Present significant measures of company performance and stock price level and compare to at least one competitor

• How profitable is this company, and what are the key drivers of this profitability? Compare to peers. How is the company's growth relative to the industry?

• Are there any "red flags": negative trends in financial performance? High debt levels? Management problems? Downward revisions in future earnings estimates?

• What are your estimates of value from cash flow analysis? From comparables? Which, if any, of these valuations do you think are reliable?

• Critical thinking: Conclude by linking your investment thesis (story) to your fundamental analysis (ratios, valuation), and indicate if you think the stock, at the current price, is a BUY, SELL, or HOLD.

Submit your slide deck (10-20 slides) via the assignment module on Blackboard before 11:59 pm on Saturday, December 3. You will make a brief presentation in class the next week.