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This assignment is to be based on an Australian listed company chosen by the group from the list below:

(i) Blackmores Limited (ASX Code: BKL).

(ii) Slater and Gordon Limited (ASX code: SGH)      

(iii) Domino's Pizza Enterprises Limied (ASX Code: DMP)

(iv) MG Unit Trust (ASX Code: MGC)

(v) Bellamy's Australia Limited (ASX Code: BAL)

The selected company is Slater and Gordon Limited (ASX code: SGH).

The assignment is to be completed in teams of up to four students. There is no requirement for students to be in the same tutorial group. The aim of this group assignment is to foster your ability to research, critically analyse the company financial information and integrate knowledge and skills learnt in BAFN200 to analyse a real company. A further aim is to improve your written communication skills and team-working skills.

Remember, before you attempt questions, it is essential that you familiarise yourself with the company and its financial statements.

You are required to answer the following questions with respect to your chosen company:

a) Examine the share price history and history of traded volumes over the past five years, identifying the main causes of changes in the share price during this period. Based on its stock price, do you think the company has performed well over the past five years?

b) Calculate the market capitalisation of the company as of the end of fiscal year of 2016. Do you think the stock is under-priced or over-priced? Answer this question with reference to the capital asset pricing model (CAPM), and justify your answer. How do you estimate the future price of the stock? Is this the best time to buy or sell the company's shares? Why?

c) What is the mix of debt and equity financing? What types of debt and equity are currently used? Does current financing strategy highlight any impending risks. Critically evaluate the financing policy adopted by the company.

d) If you had $10,000 savings, would you invest in this business? Why or why not? Discuss.

Instructions about the group assignment

Please refer to the Group Formation document for supplementary instructions.

It is up to the group to manage the group dynamics and get equal contribution from all members. It is usually a good idea to appoint a leader to direct and coordinate the activities of the group including allocating tasks among the group members. All group members are expected to discuss the assignment as a whole and contribute to preparing answers to all questions. It is very important for all members to take an active part in completing the assignment and make an equal contribution Before the final submission of the assignment, all group members are expected to review the answers. Only one member should submit the assignment on Turnitin on behalf of all the group members. It is imperative that you list the full names student IDs of all students in the group on the first page of your submission.

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