1. How would you assess the overall financial health of Largo Global Inc. (LGD)? You will need to provide a broad view of the main trends that emerge from your analyses of the information in tabs 2, 3, and 4. Your key findings should be synthesized and highlight a clear diagnostic of LGI's financial strength and/or weakness. [HINT: all 5 questions are interrelated and may sometimes build on each other - it is imperative that you develop a "blueprint" or an outline of what you are answering for each question. Do not answer each question independently as if they were not connected You should not be redundant but should make sure that you are judiciously coordinating these 5 questions. Question 1 and 5 should be providing the introduction and conclusion of your analysis. Questions 2, 3, and 4 should be providing the "body" or development of your analysis - with a focus on operations, investing, and financing] [insert your answer here] 2. How is LGI doing in terms of operating efficiency? How would you assess its performance compared to its main competitor and the industry index? What are the principal areas that need to be addressed to strengthen LGF's bottom line? Identify and use key indicators from all 3 analyses that provide insight about LGI's operations. [HINT: Focus of this question is the Income Statement and the Net Working Capital (NWC) as it relates to Current Assets and Current Liabilities] [insert your answer here] 3. How is LGI doing in terms of using assets efficiently? How would you assess it compared to its main competitor and the industry index? What are the principal areas that need to be addressed to strengthen the left-hand side of its balance sheet? Identify and use key indicators from all 3 analyses that provide insight about LGI's assets. [HINT: Focus of this question is the firm's assets excluding current asset] 4. How is L.GI doing in terms of financial leverage? How would you assess it compared to its main competitor and the industry index? What are the principal areas that need to be addressed to strengthen the right-band side of its balance sheet? Identify and use key indicators from all 3 analyses that provide insight about LGI's debt and equity mix. [HINT: Focus of this question is the fum's labilities and equity excluding current liabilities] [insert your answer bere] 5. Based on the financial strengths and wealcnesses of LGI, how would you prioritize actions that will ultimately satisfy LGI's shareholders? Make specific recommendations that clearly ideatify the decisions L.GI's board and executives need to make. What actions do they need to take? Set quantifiable targets and objectives for L.GL. Your answers must be supported by all arguments developed in questions 2,3 , and 4 . In addition, make sure you use data not already used in previous questions. [HINT: Be strategic as you will reviit this question when you reach the last progect of this course] [insert your answer here]
