Written Report Overview

Basic Outline

Eight to Ten page analytical report on a public company. 10 Page Maximum. 1.5 line spacing. NO MORE THAN 10 PAGES!!!!! No

exceptions.

The report should briefly describe the company, its historical and current operations, and future prospects.

Extra emphasis should be given to the summary and analysis of historical financial results and revenue and earnings projections for the next 1 to 3 years. The Market/Industry and Strategy are also critical.

Revenue and earnings projections should be in line with those presented in research reports on the company from other financial services firms

Summary Page (3/4 - 1 Page) Should be written last Company

o Proper name (Symbol and Exchange)

Analytical Conclusion o Current and anticipated value of the company. Whether or

not the company is going to make it. - Written last

Summary Financials (Price, Trading Range, Exchange, Market Capitalization, Shares Outstanding - Basic and Diluted, Float, Insider's Holdings, Cash, Equity, Gross and Operating Margins, ROE, P/Es, Dividends, Debt to Equity, Current Ratio, Debt to Equity ratio)

Highlights

o Key points of value (or lack of value of company).

o Make sure that all highlights are presented as they relate to the company. For instance, an industry related item such as a major acquisition by a competitor may be important and worth noting. But, the relevance to the subject company must be discussed.

Description ( 1 Paragraph)

o Summary of company operations, strategy, markets and objective.

Operations (1 Page)

o Summarize information available from public documents such as Annual Report or 10K.

Strategy (1/2 - 1 Page)

o What is company trying to do. i.e., "be leading manufacturer of ..."

o What is the mission of the company "Provide products and services to consumers of electronic products...... " ,etc.

o How are they doing it - What markets

What countries What pricing strategies, Etc.

Management (1/2 Page)

o History and Background of KEY people (3 or 4 Max) o Why do they make a good team and work well together

Markets (1/2 - 1 Page)

o What general and specific markets does the company work in.

o What is the size of the market. o Who are the competitors

Financial Analysis and Projections (1 1/2 - 2 Pages)

o Historical numbers and trends (1/2 to 1 page MAXIMUM)

o Balance Sheet o Capitalization

o Tables should not cross pages Risk Factors (1/2 Page)

o Real Risk Factors - i.e., High debt, low cash, strong competition, changing government regulations, dependence on one customers, etc. Whatever applies.

o Projections and support Full

Income Statement, with

projections, is ESSENTIAL!!!!

Important Tips and Requirements for completing the Report

ABSOLUTELY, POSITIVELY, DEFINITELY - No typing/spelling/grammatical mistakes More than one mistake immediately eliminates any chance of getting an A on the report. Spell check the report and have someone else read it over.

Be very careful with financial information - Make sure units are clearly indicated and correct (i.e., millions vs. billions, etc.)

Income Statement projections are essential Yahoo will give you the bookends (Revenue and EPS). These are only guides. You do not have to use them. But, if your numbers are significantly different, be prepared to defend them. You MUST fill in all the details in-between.

Use the third person narrative You are not the company, so terms like we and our are not appropriate. You can use We when giving your opinion.

The most important sections are the Financial Analysis and Market sections - Make sure you identify the market size and competitors.

Dont bother with a lot of history One paragraph, at most.

Dont give opinions of others (i.e., Management and Analysts). Your opinion is the only one that counts.

Dont rehash basic terms and concepts For instance, from one students report - Net cash provided by operating activities primarily consists of net loss (income) adjusted for certain non-cash items including depreciation and amortization, provision for doubtful accounts, etc........ We already know that.

Check the report against the instructions Finish the report. Go over it for grammar and typos. Check the report against the instructions. Have someone else review the report. It would be great if you can have someone review the report who is known to have good grammar and can write well.

Dont waste a lot of time with operational and historical details Write, paste, edit, just enough information so the reader knows what the company is about and can understand what you are analyzing. LESS is MORE!!!!

Originality While it is okay to lift certain sentences and descriptions from other documents, at least 50% of the report should be original and in your own words.

One Document Everything should be on one document (Text, Tables, Financial Statements). USE SMARTHINKING *********************************************************************

Major Tip - Just about everything needed can be accessed through the Yahoo Finance site http://finance.yahoo.com, either on the site, or through links.