Analysis or metrics are required to analyze your company please go ahead and include them. Initiative, innovation and creativity is appreciated. For certain parts of the paper like understanding the company's risk preferences, you may have to make assumptions. A critical aspect of communication here is how you justify your assumptions and present them in a clear and concise narrative in your paper. - Collect and attach 3-5 years of financial data, Financial statements — Balance Sheet, Income Statement, etc. - Horizontal and Vertical Trend analysis. Look at the numbers year over year and within the year itself. Identify trends and comment on them. - Industry and competitor ratios.
- Industry and competitor ratios. - Ratios compared for the numbers till date as well as against the forecast. - Ratios compared to the industry and competition. Identify 2 key competitors and compare their financial ratios to your company's ratios. What trends do you see? - Current CAPEX investments — NPV, IRR. Payback. (Only if available) - Working Capital analysis. Cash cycle analysis. Short-term financing analysis. - Weighted average cost of capital (WACC). How is their WACC affecting their operations? Their valuation? - Capital Structure analysis. How is the existing capital structure affecting their WACC? - Dividend policy (Payout ratios. trending of payouts etc.) - Risk analysis, Volatility. - Technical analysis for the last year. Any significant movements. (optional) - Analyst ratings. - Recommendation on whether to invest in the company.
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