The 3 assignments submitted for Topic 2, 4 and 6. Please use these for steps 1 and 3. The companies are Walt Disney and Comcast.

Part One

Apply the final two steps of the nine-step assessment process detailed in Assessing A Company?s Future Financial Health (i.e., Step 8: Stress Testing and Step 9: Financing and Operating Plan for Current Year) to compose further assessment of the company/competitor pairing analysis as below:

1. Perform stress testing under scenarios of likely adversity and value your firm using appropriate valuation techniques on the pro forma financial data analysis you constructed earlier in the course.
2. Compareyourresultsfromstep#1againstthecurrentstockpriceofyourchosencompanyandcompetitor.Constructanargumentinfavorofinvestingineitherthechosencompany,orthecompetitor,withsufficientsupportivedetailand/ordatatomakeyourcase.

Part Three

Develop a 250-word "introduction" to your analysis and proposal that can serve as an overview in the event that you do present this to a single or group of potential investors. Consider factors that might impede an individual?s ability to focus on the information, and present only key and other potentially relevant points this individual or group needs to know.

Prepare this assignment according to the guidelines found in the APA Style Guide, located in the Student Success Center. An abstract is not required.

This assignment uses a rubric. Please review the rubric prior to beginning the assignment to become familiar with the expectations for successful completion.

You are required to submit this assignment to Turnitin. Please refer to the directions in the Student Success Center.

Running head: FINANCIAL ANALYSIS AND PROPOSAL COMPONENT 2 Financial Analysis and Proposal Component 2 Bryson Penrod Grand Canyon University: FIN-650 August 24, 2016 1 FINANCIAL ANALYSIS AND PROPOSAL COMPONENT 2 2 Financial Analysis and Proposal Component 2 The nature of revelations gave in the Management's Discussion and Investigation MD&A is a subject of proceeding with worry on controllers. Besides, an assortment of administrative bodies has as of late started an exchange on the degree to which the reviewer ought to required with MD&A exposures. Scholarly research yields data about express and verifiable data that might be helpful to the examiner in boosting both the nature of exposures and the nature of the review. Exploiting this potential complementary collaboration between revelation quality and review quality may prevent the requirement for extra administrative activity, in this manner presenting advantages upon both professionals and the contributing open. Management's Discussion and Analysis A report that introduces a Federal reporting element's money related explanations in conformance with Federal bookkeeping standards ought to incorporate administration's exchange and examination (MD&A) of the budgetary proclamations and related data. MD&A ought to give a clear and succinct portrayal of the reporting element and its primary goal, exercises, program and budgetary execution, frameworks, controls, right consistency, money related position, and fiscal condition. MD&A ought to give an adjusted presentation that incorporates both positive and negative data about these points. MD&A ought to viewed as "required supplementary data" as that term utilized as a part of inspecting gauges (et.al). Disney and Comcast financial statements The Force was certainly with us this year! Monetary 2015 was another triumph no matter how you look at it as far as innovativeness Furthermore, development and also money related execution. For the fifth year in succession, The Walt Disney Company conveyed record results with income, net pay and profit per share all achieving notable highs at the end of the day. It's a FINANCIAL ANALYSIS AND PROPOSAL COMPONENT 2 3 remarkable winning streak that addresses our proceeded with the administration in the stimulation business, the mind blowing interest for our brands and establishments, and the exceptional spot our narrating has in the hearts and lives of a vast number of individuals around the globe. All of which is significantly more surprising when you recollect that Disney began stimulating groups of onlookers very nearly a century back. The world positively looks a great deal not the same as it did when Walt Disney initially opened shop in 1923, thus does the organization that bears his name. Our team keeps on advancing with every era, blending dearest characters and narrating conventions with unusual new encounters that are pertinent to our developing worldwide gathering of people (Richmond). Strategy to achieve higher ROI and market position In the larger part of ventures, there is one firm that is in the main perceived to be the pioneer. It commonly has the biggest piece of the overall industry and, by the prudence of its evaluating, promoting power, dissemination scope, mechanical progress and rate of new item presentations, it decides the nature, pace and bases of rivalry. It is this strength that gives the benchmark to other organizations in the business. In any case, it should underline that market administration, albeit regularly connected with size, is in all actuality a more complex idea and ought to rather be found as far as an association's capacity to decide the nature and basis of rivalry inside the business sector. A qualification can like this made between a market initiative that is based principally on size, and what may be named 'thought-action " that is based less on size, in any case, upon advancement and diverse examples of considering (Wernerfel). In spite of the fact that a position of business sector authority has undoubted attractions, both as far as the extension that regularly exists to influence others and a perhaps higher degree of profitability. Pioneers have very regularly in the past demonstrated to be powerless despite an FINANCIAL ANALYSIS AND PROPOSAL COMPONENT 2 4 assault from a challenge or when confronted with the requirement for a noteworthy innovative change. Assuming. Subsequently, a business sector pioneer is to stay as the active organization; it needs to safeguard its position continually. Ratio Analysis Comcast is a very much overseen organization with a considerable measure of development potential particularly in the voice, what's more, web portions. The present change in deals blend towards these higher edge groups looks encouraging. The business fragment likewise looks encouraging. It averted the late money related turmoil with elegance, and it is prepared to appreciate any uptick in the economy. Its ceaseless endeavors of cost lessening and additionally quick organization of innovation have situated it as a solid player in the business. There are a couple of potential dangers connected with it, for the most part, the wild rivalry from RBOCs and the satellite TV and the impact of any future directions. Nonetheless, these risks are not that extreme, and Comcast knows about the same and working towards killing them. In term of numbers, it's money related proclamations look great. It is the most painful in the business. It has a liquidity issue, be that as it may, that can clarified by the way of the firm. It has been continually paying obligation and beginning from 2008 has started paying profits. As far as products it looks amazingly modest in both supreme and also relative terms concerning the industry and the S&P 500. A DCF examination on Comcast recommends that it is at present underestimated and demonstrates an upside capability of 38% while different numbers suggest a most extreme upside of 70% and a base upside of 28%. At the end of the day it would be a balanced choice to put resources into Comcast as quickly as time permits (osu). FINANCIAL ANALYSIS AND PROPOSAL COMPONENT 2 References et.al, J. R. (n.d.). Management's Discussion and Analysis: Implications for Audit Practice and Research. Retrieved from aaapubs: http://aaapubs.org/doi/pdf/10.2308/ciia.2008.2.2.A26 richmond. (n.d.). The Walt Disney Company. Retrieved from richmond: http://robins.richmond.edu/documents/cases/WaltDisney.pdf Wernerfel, B. (n.d.). THE RELATION BETWEEN MARKET SHARE AND PROFITABILIT. Retrieved from mit: http://web.mit.edu/bwerner/www/papers/Therelationbetweenmarketshareandprofitability.PDF 5 Financial Analysis and Proposal Component 3 Bryson Penrod Grand Canyon University: FIN-650 September 7, 2016 Walt Disney Company and Comcast Corporation (CMCSA 1. These are two companies that have ventured in the entertainment sector. Both of these companies operate in the cable television, film studios and even theme parks. Disney's stocks are currently trading at $99.62 up 1.22percent. The shares have declined 5.2% year to date, this include 3.32% gains in the last three months. On the other hand the stocks of Comcast are currently valued at $67.11, up 1.28%. These shares have grown 18.93% for the past year which includes gains of about 8.94 percent Disney stock is priced at 17 time's forward earnings estimates of $5.81 per share, which implies a 12.8% rise from last year's earnings of $5.15 per share. Comcast shares are priced at forward P/E of 18.9, which is based on earnings estimates of $3.54 per share, calling for 9.2% rise from $3.24 per share earned in the year-ago quarter There are various strategic solutions that could help the company to achieve its financial objectives in order to help maximize the shareholders' value. This include the following Assessing the risk those companies' stocks may be facing. This can help these companies to evaluate their financial exposure when making the capital expenditures. This can greatly help the companies to hedge against risks that may bring down the prices of the shares. Another strategic solution is carefully budgeting for their financial resources and expenses. Budgeting will greatly help the companies to operate in high efficiency. Careful budgeting will also help the companies to identify the areas that are incurring most costs and therefore help drive down these costs. Through a good budget the companies ensure that there is liquidity that is sufficient so as to be able to cover the daily expenses without having to seek for finances from other sources. Through a good budget the companies can be able to invest the excess income to help in achieving the long-term goals in a much efficient manner The other strategic solution will entail proper management of the of the companies resources in terms of the assets, the liabilities and operations. The companies have to properly manage the expenses, the revenue, the receivables, the payables cash flows and profits. Through achieving this companies can be able to focus on the attainment of the goals interns of the long-term ones and the short-term ones Stock splits and stock dividends can be issues to the shareholders, through this the company will not issue the cash dividends and therefore the company can invest the money in other capital projects. 2. Future external financing needs Walt Disney Company88,182,000 * (52465000(1+0.075) - 52465000) = 6,610590 52465000 43,657,000 * (52465000(1+0.075) - 52465000) = 3265946.25 52465000 8,382,000 *(52465000(1+0.075) * 5294000 = 52465000 = 397050 8,382,000 9, 9916286.25 Comcast Corporation 2.23 166,574,000 + (74,510,000 (1+0.083) -74,510,000) =1382334 74,510,000 113,084,000 + (74,510,000 (1+0.083) -74,510,000) =9385972 74,510,000 8,163,000 + (74,510,000 (1+0.83) = 67741 74,510,000\\ =10, 836,047 The above is the analysis of the financing needs of the two companies; Walt Disney Company needs $ 9, 9916286.25 for the financing needs while Comcast Corporation needs about $ 10, 836,047. External financing is therefore necessary so that these firms can be able to raise this amount of capital 3. Sources of external financing Issue of ordinary shares Under this this plan, both organizations will raise capital by offering stock in their business. This qualifies the buyer for a voice in the choices made by the firm. While common shares don't have an altered rate of profit (an offer of organization benefits) from benefits after current liabilities and different financial specialists are administrations, not paying them can reduce offer worth. A business will maintain a strategic distance from this on the off chance that they want to issue offers later on. Issue of preference shares Preference shareholders get profits before people with common shares. Their Lowe risks and lower levels of return imply that preference shares have a less unpredictable business sector cost. These have lost fame since, while they are similar borrowings in numerous different angles, profit installments are not impose deductible. Rights issue: Keeping in mind the end goal to raise account without weakening control of the business, a rights issue offers new shares to existing shareholders. Offers issued along these lines create goodwill and keep up the consistency of shareholder administration, yet should likewise be reduced (sold at a normal of 31% under business sector cost). Issuing of bonds These companies should consider issuing bonds- to raise the needed finances and capital. Bonds help companies to raise the amounts that actually match the capital requirements so as to complete given projects, the bonds are also able to control the time until maturity[Bod14]. Through 4. Raising the finance needed using bonds can help the company to achieve both the operational and financing plan. This is because bonds can help companies to raise the amounts that actually match the capital requirements so as to complete given projects, the bonds are also able to control the time until maturity (Bodie, 2014). Through the bonds companies are able to finance their projects without having to sell ownership interests. The bonds provide some tax deductions. This is because the bonds are viewed as part of the costs that help to rum business and hence the interest is tax deductible. Disney and Comcast 1 Component 1 Bryson Penrod Disney and Comcast Financial Analysis and proposals Fundamental Stock Analysis Comcast is a media, excitement and correspondence company. The organization gives video, rapid internet and telephone administrations to private and business clients in the United States. The organization works its business through five reportable sections: Cable Communications, Cable Networks, Financials Financial Health Disney and Comcast 2 Liquidity Current Ratio 0.68 Quick Ratio 0.61 Cash Ratio 0.13 Profitability Gross Margin 58.11 Operating Margin 21.74 Pretax Margin 17.95 Net Margin 10.96 Return on Assets Disney and Comcast 3 5.01 Return on Equity 15.55 Return on Total Capital 7.93 Return on Invested Capital 8.25 Disney Financials Financial Health Disney and Comcast 4 Overview Comcast Corporation (NASDAQ: CMCSA) is a worldwide media and innovation organization with two essential organizations, Comcast Cable and NBC Universal. Comcast Cable is one of the country's biggest video, fast Internet and telephone suppliers to private clients under the XFINITY brand furthermore gives these administrations to organizations. NBC Universal works news, excitement and games link organizes, the NBC and Telemundo telecast systems, TV generation operations, TV slot bunches, Universal Pictures and Universal Parks and Resorts. Disney UNITED STATES SECURITIES AND EXCHANGE COMMISSION The total business sector estimation of regular stock held by non-associates (in light of the end cost on the last business day of the registrant's most as of late finished second financial quarter as covered the New York Stock Exchange-Composite Transactions) was $178.9 billion. All official officers and chiefs of the registrant and all persons recording a Schedule 13D with the Securities and Exchange Commission in appreciation to registrant's regular stock have been esteemed, exclusively with the end goal of the prior figuring, to be "members" of the registrant. There were 1,653,177,887 shares of basic stock exceptional as of November 18, 2015. Disney and Comcast 5 Comcast UNITED STATES SECURITIES AND EXCHANGE COMMISSION References http://business.financialpost.com/executive/business-education/the-business-strategy-behinddisneys http://msbusiness.com/2015/05comcast-rolls-out-strategy-for-new-emphasis-on-customer-care http://www.disneytouristblog.com/best-disney-world-counter-service-restaurants/ https://www.stock-analysis-on.net/NASDAQ/Company/Comcast-Corp/Ratios/Liquidity https://www.google.com.pk/search?sclient=psyab&biw=1137&bih=527&noj=1&q=comcast+Financial+Analysis&oq=comcast+Financial+Anal ysis&gs_l=serp.3..0j0i22i30l2.3138513.3138513.1.3141976.1.1.0.0.0.0.550.550.51.1.0....0...1c.1.64.serp..0.1.549.ORSLoE-0foQ Financial Reporting, Financial Statement Analysis, and Valuation A Strategic Perspective 7 th edition