Can you help me with this document. Week 3 Project. I'm attaching what was done for Week 2 Project One assignment. The four companies we are adding are: Macy's, Sears, Kohl's and Target. We need to add Value Creation also. Is someone available to help.

FIN515Week 3 Project: Financial Statement Analysis (continued) Continuing with your Week 2 Project, now your CEO after reviewing your earlier Week 2 PowerPoint submission has asked your team to complete an additional benchmark analysis task, before the upcoming Board Meeting. For this part of the project your team needs to do an analysis of the market and operational characteristics of your company and its financial profile. For this project, your team will need to select four companies that are direct competitors of your company. This sample selection should be based on revenue, profitability, market capitalization, market segment and product characteristics. This project is an additional benchmark data analytics project. The objective of this part of the project will be to do a comparative financial analysis of your company with the averages of the sample of four companies that will form your comparative group. The project deliverables will be another PowerPoint presentation to the CEO explaining the financial performance of your company compared to the sample of four comparable companies. The analysis should include the following deliverables: 1. An explanation of the logic of the selection of the four comparable group companies. Why were these companies selected? 2.Your team's data extraction strategy, process and methodology. 3. A financial comparison of your company to the average of the comparator group on the following financial factors. a. Profitability b. Debt Management c. Liquidity d. Asset Management e. Value Creation - based on a the 3-year trend in Free Cash Flow In order to complete this project, your team has to select which ratios you are going to use in each of the five categories given above. In addition to that, your team will have to briefly explain why you are selecting the ratios you are using in your benchmark study. Then your team will have to collect the financial data for your company and the financial data of the four competitor companies. The data can be collected from two financial data bases such as, Yahoo Finance, Lexis Nexis, Plunkett, or bizstats.com. Your team will then have to collect and calculate the averages of the four competitor companies. (Please note that no ratio calculations FIN515Week 3 Project: Financial Statement Analysis (continued) are required for each company, the ratios should be readily available on the websites noted above. You will only need to calculate the average ratios for the four companies combined.) Your team will proceed to developing a PowerPoint presentation presenting the comparison and your team's commentary of what your team discerns from the comparison. PowerPoint should not have more than ten slides. Just like the previous project your team should use Webex or Voicethread, and prepare an oral presentation that presents your PowerPoint presentation. Each team member must participate in this presentation. FIN515Week 3 Project: Financial Statement Analysis (continued) Rubric: Second Project FIN515 Possible Points Criteria and Point Range 0-3 4-6 7-9 10-12 No referent Some ratios Ratios mostly Ratios and provided. questionable. appropriate. referent Ratios selected 12 Insufficient orInappropriate Appropriateappropriate. incorrect ratios referent selected. referent used. selected. 0-2 3-4 5-6 7-8 Ratio Extraction 8 & . . . Average Calculation 0-3 4-6 7-9 10-12 Evaluation generally correct. Minimal or incorrect May be not Evaluation No evaluation, or Evaluation 12 Evaluation, orcompletely fully evaluation not evaluation notsupported by supported by ratios are based on findings Ratios are not findings orSome original. findings. incorrect, and provided, and insufficient in referencing is minimal. referencing wasquantity. not 0-2 3-4 5-6 7-8 provided. SignificantMinor problemsWriting with andVirtually no Form 8problems with writing or presentation.. presentationerrors in presentation or format. correct with awriting few or generally exceptions.presentation. Ratios generally reflect the data source and are properly referenced. Ratios accurately reflect the data source and are properly referenced. COMPANY ANALYSIS 1 Company Analysis [Insert Name] [Institutional affiliation] COMPANY ANALYSIS 2 Part A DuPont identity is a financial ratio that is based on return on equity ratio. It is used in finance to analyze the company's ability to increase its respective return on equity. Additionally, it determines what drives the company's return on equity. The profit margin stipulates operating efficiency, the asset turnover implying the asset efficiency and the equity multiplier showing the extent with which the leverage is being used (Turner et al., 2015). ROE = net income revenue total assets * * revenue total assets equity Ratio Net profit = JCPenney Amt in \"millions\" net income revenue Total asset turnover= revenue total assets Equity turnover = total assets equity Macy's (513) 12,625 =0.041 12,625 9,442 =0.3371 9,442 1,309 =7.2131 ROE = Net profit*asset turnover*equity turnover ROE= (0.041)*0.3371*7.2131 ROE=0.09969*100= (9.97%) The DuPont analysis shows that the company has a negative return on equity and this stipulates that it's not profitable enough to continue surviving in the industry. COMPANY ANALYSIS Ratio Profitability ratios Operating profit margin= operating profit *100 sales Profit margin= Operating profit margin= profit sales *100 3 Computation -JCP (89) 12,625 *100=(0.00 705%) (513) 12,625 *100=(0.04 1%) Debt management ratios total debt Debt ratio = total assets Debt to equity = total debt total shareholde r ' sequity 8,133 9,442 =0.86 8,133 1,309 =6.21 Liquidity ratios current assets Current ratio= current liabilities 4,018 2,412 =1.67 Quick ratio= 4,0182,721 =0.53 2,412 current assetsinventory current liabilities Asset management ratios Fixed asset turnover = Total assets turnover = net sales total assets Market value ratios Price earnings ratio = price per share earnings per share total sales assest 9,442 4,816 =1.96 12,625 9,442 =1.34 43.5 (1.68) = (25.89) Macy's COMPANY ANALYSIS 4 Part B Liquidity ratio: the liquidity ratios measure the company's ability to meet its short-term financial obligations when they fall due. The current ratio measures the company's ability to meet its short term financial obligations by use of current assets (Dokas et al., 2014). The company's current ratio is 1.67. The quick ratio measure the company's ability to meet the short-term financial obligation by use of most liquid current assets. The company's quick asset is 0.53. Profit margin measures the ability of the company to generate profit at a given point in time. The company's profit margin is (0.00705%). This shows that the company's profitability is not in existence as it earned a loss. Debt ratio: measures the company's financial leverage or financial health. It can be noted that a high debt value ditches the company into financial problems such as insolvency and bankruptcy. The debt ratio for the company is 0.86 or 86%. This shows that the company uses more of the debt than the equity to finance its projects and for investment of its activities. Price to earnings ratio: the price earnings ratio measures how much the investors are willing to pay for every dollar of the present earnings. High price to earnings ratio indicates high stock growth rate while low price to earnings ratio indicates low stock growth rate. The company's price to earnings ratio is (25.89) which stipulates that the company has a negative stock growth and therefore, the investors being unwilling to pay more for the stock as a negative return is anticipated to be generated from the respective stocks. The fixed asset turnover ratio is a ratio that measures the company's operating performance. It measures the ability of the company to generate sales from the fixed assets of the respective COMPANY ANALYSIS 5 company (Campbell et al., 2016). The fixed assets turnover for the company is 1.96 which stipulates that the company's operating performance is low. Part C Comparison with the Industrial average Ratio Computation - JCP Profitability ratios Operating profit margin= operating profit *100 sales Profit margin= Operating profit margin= profit sales *100 (89) 12,625 *100= Macy's Industrial average 46.92% (0.00705%) 7.96% (513) 12,625 *100= (0.041%) Debt management ratios total debt Debt ratio = total assets 8,133 9,442 =0.86 0.50 Debt to equity = 8,133 1,309 =6.21 7.2 4,018 2,412 =1.67 1.66 4,0182,721 =0.53 2,412 0.53 9,442 4,816 =1.96 1.00% 12,625 9,442 =1.34 0.14% total debt total shareholde r ' sequity Liquidity ratios cureent assets Current ratio= current liabilities Quick ratio= cureent assetsinventory current liabilities Asset management ratios Fixed asset turnover = Total assets turnover = net sales total assets Market value ratios total sales assest COMPANY ANALYSIS Price earnings ratio = price per share earnings per share 6 43.5 (1.68) =(25.89) 17% Part D Comparison of the company against the industry The current ratio of the company is 1.67 while the industrial average is 1.66. this shows that the company is in a good position to meet its short-term financial obligations when they arise than most of the companies in the industry. The operating margin for the company is (0.00705%) while the industrial average is 46.92%. This indicates that the company is operating at a loss as compared to most of the companies which are operating at a profit. The profit margin of the company is (0.0401%) while the industrial average is 7.96%, this is an indication that the company is still generating losses while most of the companies in the industry are generating profits. Debt ratio for the company is 0.86 while the average industrial average is 0.50. This is an indication that the company has a high financial leverage due to high debt of the company than most of the companies in the industry. Debt to equity ratio of the company is 6.21 while the industrial average for debt to equity is 7.2. This is an indication that the company has a low debt to equity than most the companies in the industry hence good performance as far as asset management are concerned. The fixed asset turnover ratio of the company is 1.96% while the industrial average is 1.00%. This shows that the companies efficiency is a bit higher than most of the companies in the industry. COMPANY ANALYSIS The price to earnings ratio of the company is (25.89) while the industrial average price to earnings ratio is 17%. This exhibits that the company's stock growth is uncertain and therefore, investors of are willing to purchase the company stocks because of low to negative returns (Nezlobin et al., 2016). 7 COMPANY ANALYSIS 8 References Campbell, J. D., Jardine, A. K., & McGlynn, J. (Eds.). (2016). Asset management excellence: optimizing equipment life-cycle decisions. CRC Press. Dokas, I., Giokas, D., & Tsamis, A. (2014). Liquidity efficiency in the Greek listed firms: a financial ratio based on data envelopment analysis. International Journal of Corporate Finance and Accounting (IJCFA), 1(1), 40-59. Nezlobin, A., Rajan, M. V., & Reichelstein, S. (2016). Structural properties of the price-to-earnings and price-to-book ratios. Review of Accounting Studies, 21(2), 438-472. Turner, J., Broom, K., Elliott, M., & Lee, J. F. (2015). A Decomposition of Hospital Profitability An Application of DuPont Analysis to the US Market. Health Services Research and Managerial Epidemiology, 2, 2333392815590397