Part 1 - Obtain financial information on two of the companies from the list below.

1. Download financial statements from SEC.gov
2. Using data from SEC.gov is one of the best sources to obtain information because the reports are audited. There are times when companies supply the reports on their websites, however, sometimes the information published may be unaudited because the target audience are investors.
3. Files can be downloaded directly into Excel when using SEC.gov
4. There are only two tabs you will be working with
5. • Income Statement - this can sometimes be labeled as
     1. Consolidated Statements of Operations
     2. Consolidated Statements of Operations and Comprehensive Loss
     3. Consolidated Statements of Earnings
     4. Consolidated Income Statement
     5. Consolidated Statements of Income
   • Consolidated Balance Sheet
6. You can delete ALL the other tabs by right-clicking on the tab, delete
7. There is a short video on how to delete and rename tabs
8. Repeat the process and download the financial data for the second company
9. Once you have downloaded the financial data for both companies, you want to combine the data into one spreadsheet.
10. Therefore, the Excel file should contain 4 tabs:
    1. Income Statement for Company A
    2. Balance Sheet for Company A
    3. Income Statement for Company B
    4. Balance Sheet for Company B
11. You should then create 4 additional tabs in the Excel file
    1. Ratio Analysis
    2. Efficiency Ratios
    3. Vertical Analysis
    4. Horizontal Analysis
12. In total, your spreadsheet should contain 8 tabs

These are the company selections. Remember - you must download the financial data for both companies. The ticker symbol for each company is in parenthesis.

Company Selections

Industry	Company A	Company B
Retail	Nordstrom (JWN)	Macys (M)
Automobiles	Tesla (TSLA)	Ford (F)
Fitness	Peloton (PTON)	Planet Fitness (PLNT)
Social Media	Meta/Facebook (FB)	Twitter (TWTR)
Technology	Cisco (CSCO	Juniper Networks (JNPR)

Part 2 - Spreadsheet Analysis

1. 1. Copy and paste the Excel template files into your newly downloaded data from SEC.gov
   2. Once you have all the data on one spreadsheet, it's time to begin filling in the numbers for the two selected companies on the following tabs:

• Ratio Analysis
  • Profitability Ratios
  • Solvency Ratios
  • Liquidity Ratios
• Efficiency Ratios
  • Inventory Turnover
  • Days in Inventory (DII)
  • Accounts Receivable Turnover
  • Days Sales Outstanding (DSO)
  • Accounts Payable Turnover
  • Days Payable Outstanding (DPO)
  • Cash Conversion Cycle
• Vertical Analysis
  • The horizontal analysis should be completed for both companies using Income Statement data
  • The horizontal analysis should be conducted using all line items on the income statement and STOP at net profit/loss
  • You do not have to include any information from the income statement beyond that point
  • Point out major variances within one company and compared to the second company Ex. Company A spent 10% on technology in 2021, whereas Company B spent 25% in 2020.
• Horizontal Analysis
  • The vertical analysis should be completed for both companies using Balance Sheet data
  • The vertical analysis should be conducted using all line items on the balance sheet for Assets and Liabilities. When you get to Stakeholder's equity, you only need to use the "Total Stakeholder's Equity" line item
  • You do not have to include any information from the balance sheet beyond that point
  • Point out major variances within one company and compared to the second company

Use excel document