Company Evaluation Course Project
PepsiCo, Inc.
The purpose of the Company Evaluation Project is twofold. First, it asks you to use the knowledge and tools you are learning in the course to perform a professional evaluation of a company. Second, it is intended to provide you with the confidence that you can do this kind of analysis. I have found that this type of activity has benefited me both professionally and personally.
Individually, or in groups of up to three people, select a company to evaluate. Please let me know which firm you will be working with via email by 10 June. I strongly suggest that the company be publically held since there is a plethora of information available. Notify me of the members of your group and the company you have suggested.
Your analysis should contain 6 sections. These are:
- Description of company (major markets/products, history, industry)
- Ratio analysis (trend and comparative)
- Working capital analysis
- Major investments in last 5 years
- Financial structure analysis (including cost of capital estimate)
- Conclusion (would you invest in the company & why or why not)
The annual reports and SEC filings will provide a wealth of information for each of the first five sections. Also, do not forget the ThomsonOne resources available through the textbook.
Your report should not exceed 15 pages exclusive of title page, tables and appendices. Include a cover page with the name of the company being analyzed, the members of your team, and the date you are submitting the report. The body of the report should be typed, 1.5 or double spaced, 12 point font, 1.25 inch top and bottom margins, 1 inch left and right margins, and numbered pages at the bottom centered. A bibliography at the end of the report is required. Submit your report to the assignment dropbox with a filename in the following format - "MBA540 Su11 Companyname.doc." This assignment is due on August 5th. You will also be doing a short (5 minute maximum) presentation in class on the weekend of August 5th.