Answered step by step
Verified Expert Solution
Question
1 Approved Answer
I seriously need help. We have to go to Yahoo Finance, and do an analysis on Walmart, American Express, Mcdonalds and At&T Research the four
I seriously need help. We have to go to Yahoo Finance, and do an analysis on Walmart, American Express, Mcdonalds and At&T Research the four firms using either Key Statistics or Financials from the overview/main pages for the stocks on Yahoo! Finance Web site. Compute and compare the following financial ratios for the four firms for their most recent fiscal years:
-
- Current Ratio (X)
- Sales/Total Assets (percent) or Total asset turnover
- Times interest earned (X)
- Total Debt/Equity (percent)
- Net Income / Net Sales (percent) or Return on Sales (ROS)
- Net Income / Total Assets (percent) or Return on Assets (ROA)
- Net Income / Common Equity (percent) or Return on Equity (ROE)
- P/E or P/E Ratio (X)
- Compare the 8 financial ratios listed above for the four companies. It is recommended that you use a spreadsheet to demonstrate your comparison. Insert the table into your Word document and respond to the following questions:
- How would you rank the four firms in terms of financial performance?
- Why might their financial performances differ?
- What economic or market factors might account for big differences in P/E ratios?
- Select ONE of the companies and examine the trend in the ratios* for the past three years. Respond to the following question:
- Is the firm's performance improving, declining, stable, or is something strange going on?
- Compare the 8 financial ratios listed above for the four companies. It is recommended that you use a spreadsheet to demonstrate your comparison. Insert the table into your Word document and respond to the following questions:
- Write a analysis of the performance of the company you selected above. Your analysis is to include the information you gained from your research (above) and your responses to the following:
- Who are the firm's competitors? Does the selection of competitors make sense to you?
- How is your selected company performing against its competition? (Don't just say better or worse on particular ratios - try to think of and offer reasons why).
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started