Please collect data of financial ratios for seven stocks for U.S. non-financial firms from yahoo finance or morningstar.com.

Interpret the ratios following the format and items below.

1. Fill in the following information for the seven non-financial companies of your choice.

Company name

Firm 2

Firm 3

Firm 4

Firm 5

Firm 6

Firm 7

Current Ratio

Debt/Equity Ratio

Asset Turnover

Profit Margin

Price to Earning

Market to Book

Closing Stock price (September 11)

b. Please explain the ratios of the firms to the potential investors of these seven stocks.(Use the structure of the textbook and compare them with the industry averages, if possible)

Short-term solvency or liquidity ratios: The current ratio is smaller than one, which is not that great.

Long-term solvency or financial leverage ratios: The total debt ratio is 0.58, which is in a good shape.

Asset management or turnover ratios: Asset turnover is 2.38. This is high. Walmart utilizes its assets well.

Profitability ratios:

Market value ratios: Both Market to Book and Price to earning ratios are below the industry averages. The stock is underpriced.