This report should be two (2) typewritten pages of text, or as we so often refer to in the financial world, "narrative". Please do not exceed two written pages of text and use single spacing, normal font size. Also, you will want to include two pages of financial figures, charts, graphs, or other supporting information, also not to exceed two pages. A memo should contain student's name and a brief summary of the report's contents. (That's five pages total; one memo, two text-narrative, two financial figures, graphs and charts). All information should lead to one of three conclusions: 1) Buy 2) Sell 3) Hold Here is a suggested format: Section 1- Economic Analysis - i) What is the general condition of the economy (growing, recession). ii) Interest Rates and other market benchmarks such as DOW, S&P 500, NASDAQ. (important to apply) iii) Inflation, CPI, Fed Model, leading and lagging economic indicators that affect your company analysis. iv) Other (e.g. impact of political issues, regulation, expectations, world events, and or other factors that a decision maker will want to know). Section II - Industry Analysis i) Industry profile. (what sector) ii) What is the market structure (oligopoly, monopolistic competition etc...) iii) How does this industry perform around the business (is it cyclical). List a negatively correlated industry. iv) What is your company's position in the industry compared to competitors; (market share, sales). v) Threats, opportunities, strengths. Apply Porter's Five Forces/ vi) Other (e.g. international opportunities, social expectations). Section III - Company/Industry/Sector Profile i) History of the company (Headquarters, CEO, CFO). (maybe two sentences). ii) Products or services. (maybe two sentences). iii) What exchanges is it listed on. Is it a large cap, growth, defensive etc... iv) What industry or SIC code. v) Compare to competitors. (list at least three competitors with same NAICS/SIC classifications). vi) How big is the company; (sales, assets, market Cap). vii) Recent earnings, EPS, PE ratio, dividend yield. (compare to competitors, other investment options). viii Market price of stock and other relevant trends and correlations. (some technical analysis). ix) *Analyze financial condition; (fundamental analysis, ratio analysis, liquidity). x) Sustainability, Other. Section IV-Conclusion. Opinion and recommendations. Conclusion. (what do you predict/expect, and why) (what's your "gut" feeling). Is this company positioned to enjoy profitability and growth in the short/intermediate/long term...is it at risk of takeover...is it sustainable. Appendix Financial Highlights (Relevant financial figures, charts and graphs. (important - must fit on two pages). This report should be two (2) typewritten pages of text, or as we so often refer to in the financial world, "narrative". Please do not exceed two written pages of text and use single spacing, normal font size. Also, you will want to include two pages of financial figures, charts, graphs, or other supporting information, also not to exceed two pages. A memo should contain student's name and a brief summary of the report's contents. (That's five pages total; one memo, two text-narrative, two financial figures, graphs and charts). All information should lead to one of three conclusions: 1) Buy 2) Sell 3) Hold Here is a suggested format: Section 1- Economic Analysis - i) What is the general condition of the economy (growing, recession). ii) Interest Rates and other market benchmarks such as DOW, S&P 500, NASDAQ. (important to apply) iii) Inflation, CPI, Fed Model, leading and lagging economic indicators that affect your company analysis. iv) Other (e.g. impact of political issues, regulation, expectations, world events, and or other factors that a decision maker will want to know). Section II - Industry Analysis i) Industry profile. (what sector) ii) What is the market structure (oligopoly, monopolistic competition etc...) iii) How does this industry perform around the business (is it cyclical). List a negatively correlated industry. iv) What is your company's position in the industry compared to competitors; (market share, sales). v) Threats, opportunities, strengths. Apply Porter's Five Forces/ vi) Other (e.g. international opportunities, social expectations). Section III - Company/Industry/Sector Profile i) History of the company (Headquarters, CEO, CFO). (maybe two sentences). ii) Products or services. (maybe two sentences). iii) What exchanges is it listed on. Is it a large cap, growth, defensive etc... iv) What industry or SIC code. v) Compare to competitors. (list at least three competitors with same NAICS/SIC classifications). vi) How big is the company; (sales, assets, market Cap). vii) Recent earnings, EPS, PE ratio, dividend yield. (compare to competitors, other investment options). viii Market price of stock and other relevant trends and correlations. (some technical analysis). ix) *Analyze financial condition; (fundamental analysis, ratio analysis, liquidity). x) Sustainability, Other. Section IV-Conclusion. Opinion and recommendations. Conclusion. (what do you predict/expect, and why) (what's your "gut" feeling). Is this company positioned to enjoy profitability and growth in the short/intermediate/long term...is it at risk of takeover...is it sustainable. Appendix Financial Highlights (Relevant financial figures, charts and graphs. (important - must fit on two pages)
