FINANCIAL PLANNING CASE

Research Information Available from Value Line

This chapter stressed the importance of evaluating potential investments. Now it's your turn to try your skill at evaluating a potential

investment in the Walmart Corporation. Assume you could invest $$10,000$ in the common stock of this company. To help you evaluate this

potential investment, carefully examine Exhibit $14-7,$ which reproduces the research report on Walmart from Value Line. The report was

published on January $24,2020.$

Questions

Based on the research provided by Value Line, would you buy Walmart's stock? Justify your answer.

What other investment information would you need to evaluate Walmart's common stock? Where would you obtain this information?

On January $24,2020,$ Walmart's common stock was selling for $$116$ a share. Using the internet, determine the current price for a share

of Walmart's common stock. Based on this information, would your investment have been profitable if you had purchased the common

stock for $$116$ a share? $($Hint: Walmart's stock symbol is WMT$.)$

Assuming you purchased Walmart's stock on January $24,2020,$ and based on your answer to question $3,$ would you want to hold or sell

your Walmart stock? Explain your answer.