Question
What you have to do Working individually, you are requested to submit an analyst report whereby you analyze a public company listed on Qatar Stock
What you have to do Working individually, you are requested to submit an analyst report whereby you analyze a public company listed on Qatar Stock Exchange from an investors perspective and issue a recommendation for its stock. In particular, you should address the following issues:
1. Business description, industry analysis and competitive positioning of the company.
2. Specify the tools and techniques that allow you to issue a recommendation for the companys stock. (Performance area 1)
3. Collect the relevant data and state the assumptions of your model (data sources, assumptions, metrics, etc.) (Performance area 2)
4. Select the appropriate valuation model (dividend discount model or the relative valuation model) to value the company using at least two valuation ratios: P/E and P/B. (Performance area 3)
5. Compare the obtained intrinsic value with companys market price and issue a recommendation of its stock. The recommendation is either to buy, hold, or sell. (Performance area 4)
The recommendation bands are: - Buy: Discount > 15%
- Sell: Premium > 15%
- Hold: Discount (or Premium) =< 15%
With Discount (or Premium)= (Current Share Price/Intrinsic Value) -1
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