Walmart Target Comparison

1. Explain in terms of the Dupont Model the differences in Performance over the last 3 years.

2. Which firm had better financial performance and why (be specific)?

3. Explain in terms of the Dupont Model Walmarts & Targets Performance over the last 3 years Pay attention to which Ratios added to or detracted from Walmarts & Targets performance changes over the 3 years.

Target Analysis Particulars Profit Margin 1/31/2019 0.04 1/31/2018 0.04 1/31/2017 0.04 Total Asset Turnover 0.47 0.48 1.88 Return on Assets 0.02 0.02 0.07 Equity Multiplier 3.55 3.26 3.42 Return on Equity 0.25 0.24 Walmart Analysis Particulars Profit Margin 1/31/2019 1.30% 1/31/2018 1.97% 1/31/2017 2.81% Total Asset Turnover 0.61 0.62 0.41 Return on Assets 0.008 0.012 0.028 Equity Multiplier 2.92 2.59 6.25 Return on Equity 0.09 0.13 0.18