Question: Investment results and portfolio performance evaluation utilizing the Jensen Approach will be determined on 04/13/2018
The grade associate with this project will be based on the following criteria: Investment philosophy, approach in stock selection, quality of the presentation, and investment performance.
The evaluation of the investment performance will be for the following period: 01/24/2018 -04/13/2018.
The analysis and presentation of each stock must include the following (the presentation should be in PowerPoint format, in the following order):
Item
Possible Points
1) Investment policy / portfolio strategy.
2) Stock selection criteria. The reasons why this stock was selected. (3 reasons minimum).
3) A description of each company and its products / services. (e.g. brief history, current CEO, current CFO, etc.).
4) Company's Business Strategy and Company Financial Strength (comparison with leaders in company's same industry and / or companies of the same size. Name the industry. Name the leaders / companies.)
5) Graphs: Assets (last 3 years), Revenues (Sales) (last 3 years), Net Income (last 3 years). Accompany by: Financial Statements; Balance Sheet, Income Statement, Statement of Cash Flow, etc. (presented as an Appendix in the PowerPoint presentation)
6) Financial Ratio Analysis: Liquidity Ratios (current, quick); Asset Management Ratios(total assets turnover, fixed assets turnover, days sales outstanding, inventory turnover); Debt Management Ratios (debt-to assets, times-interest-earned); Profitability Ratios (profit margin on sales, basic earning power, return on total assets, return on common equity), Market Value Ratios (price/earnings, market/book). All ratios should be compared to the Industry Average. Define what each ratio means for the company. Include all calculations of Financial Ratios and Appraised Values.
7) Projected Earnings, Cash Flow and Dividends (next 3 -5 years). (State source.)
8) Valuation Analysis; the company's stock price compare to: Expected Rate of Return, Required Return and Intrinsic Value. Accompany by: all calculations.
9) Weekly on-time submission of stocks performance (Fridays no later than 10 pm). Late submissions will receive 0 points for that week. Submission should be in Excel file format. Excel file name shall be: Fin400_Group#_stocks performance. Files not conforming to this naming convention will be deleted.
10) Discussions and conclusions directed to the possible customers / clients of your Financial / Investment Company. Why should they buy your portfolio?