Question
Assume that you are interested to evaluate the stock of Woolworths Limited. Use your Curtin University Student ID and Password and go to Morningstar DatAnalysis
Assume that you are interested to evaluate the stock of Woolworths Limited. Use your Curtin University Student ID and Password and go to Morningstar DatAnalysis Premium (http://datanalysis.morningstar.com.au.dbgw.lis.curtin.edu.au/af/dathome?xtm-licensee=datpremium). (a) List three comparable firms for Woolworths. Justify the inclusion of these companies in your list. [2] (b) Calculate P/E ratio and P/B ratio of the all the companies in your list (use fiscal year end data of 2015. You can get the annual report either from the Morningstar DatAnalysis Premium or from company website or from google search. Please use share price data as on 19th September 2016). [2] (c) Based on your calculation and comparison, would you recommend to buy share of Woolworths? [2] (d) Observe the stock price movement of all your listed firms over the last three months. You are doing your analysis on 19th September 2016. Based on the observed price trend, use price screens analysis (covered in Week 2) to decide whether and which share to buy? Justify your decision. [2] (e) In reference to the above question (i.e., d) what will be your decision if you use Momentum screens? [2] Note: You may use other sources of data (in addition to/instead of Morningstar).
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