The Company that has been chosen is Tesla. Maximum pages is 16

1. PERFORMANCE ANALYSIS: Give short company profile. Construct a table and summarize your companys performance data for 5 years. Use only key items such as Revenue, COGS, GP, Operating expenses, etc. Use both horizontal and vertical data for the income statement. Perform a horizontal and vertical analysis for 5 years on your companys performance. Add charts to your analysis to supplement the report.

(12 marks)

2. POSITION ANALYSIS: Construct a table and summarize your companys position data for 5 years. Use only key items such as Asset, Liability, and Equity. Use both horizontal and vertical data for the balance sheet. Perform a horizontal and vertical analysis for 5 years on your companys position. Add charts to your analysis to supplement the report.

(12 marks)

3. COST OF CAPITAL: Calculate the WACC (weighted average cost of capital) for your company. Go to internet and discover the variables needed such as Rf, Rm, i, Rd etc. to calculate the CAPM and Cost of Debt. Show your working (typed) and take snapshot (cropped to small size on page) of any internet sources. Analyze the WACC in a few lines.

(12 marks)

4. INTRINSIC VALUE (I.V.): Project next 10 years of cash flows for your company based on g1 (stage 1 growth) and g2 (stage 2 growth). Show how you got the g1 & g2 values. Based on the last paid dividend, use excel spreadsheet to calculate the intrinsic value of your stock per share, using WACC for discount rate (from part#3 above). Copy and paste the excel working for this part. Evaluate if the stock is under/over-valued and give your Buy/Sell recommendation.

(12 marks)

5. NPV: Take the market capitalization value from the internet and use it as Co (initial investment value) adjusted for per share value. Then show a table projecting future 10 years cash flows (from part#4 but use EPS). Calculate the NPV of the company using WACC as discount rate. Give your accept/reject decision and analyze your answer.

(12 marks)

6. LEVERAGE ANALYSIS: Based on the balance sheet of the company, calculate TWO solvency ratios and analyze the capital structure. Give your recommendation.

(12 marks)

7. STANDARD DEVIATION: From the internet get the last 10 days (most recent) of your companys stock price data (closing prices). Copy and paste the price data on excel spreadsheet and label it correctly with dates and prices. Use this data to calculate the mean (expected return) and standard deviation (risk) of the stock (you can use data analysis function in excel and perform descriptive analysis as a choice). Copy and paste the price data from excel to show this data on this page and analyze your answers in terms of risk implications.

(12 marks)

8. CRITICAL ANALYSIS: Go to yahoofinance.com and find a 3 month chart of the Dow Jones 30 (i.e. Dow) index. Copy and paste the chart in the answer. Then go to tradingeconomics.com and get a USA interest rate chart for last 1 year and copy and paste the chart next to the Dow chart here. Now critically summarize and analyze (<1>

(16 marks)