Case Study Finance

Module 1: Introduction and Economic Overview

The introduction and economic analysis is a 5 to 10 page overview of the organization and must include the following headings and content:

· Introduction to the organization: Include when the company was founded and major attributes

· Primary product or service

· Competitive analysis: Include a SWOT analysis and identify top 4 main competitiors (NOTE: This is needed for the investment analysis as well).

· Economic environment: Economic hurdles or benefits the company has operated

Instructions:

· Use the SWOT template to collect information for the body of the paper. NOTE: SWOT template is turned in separately and should NOT be included in the body of the paper.

· Submit the first section of the Case Portfolio including cover page, abstract, and Module 1 context. Essay should also include references page and APA citations.

· Submit Module 1 paper and SWOT template in same dropbox.

Resources:

· APA Template

· Article: Should I Use “I”? (n.d.). Retrieved March 25, 2017, from http://writingcenter.unc.edu/handouts/should-i-use-i/

· Template: SWOT Analysis Template. (n.d.). Retrieved March 25, 2017, from http://www.businessballs.com/free_SWOT_analysis_template.pdf

· Harvard Business School. (2006a). SWOT analysis II: looking inside for strengths and weaknesses. Boston, Mass.: Harvard Business School Press.

· Harvard Business School. (2006b). SWOT analysis I: looking outside for threats and opportunities. Boston, Mass.: Harvard Business School Press.

Grading Criteria – Rubric Case Study Part 1

Module 2: Financial Analysis

Complete a detailed financial analysis incorporating ratios based on the following statements:

· Balance Sheet

· Income Statement

· Statement of Cash Flows

· Other (may use other statements and ratios to support your financial analysis)

Report should be 5 to 10 pages (excluding appendices, cover page, and tables) and include and introduction to the analysis, detailed findings, and summary overview. Must include any reports used as appendices. Cite page number and source for any findings. Charts, tables and graphs must be indexed in the table of tables or table of charts.

Instructions:

· Compile a current set of annual financial statements for your selected organization. Note: Statements should NOT be included in the body of the paper but are required to be submitted as separate files.

· Complete and submit the financial statement Excel worksheet

· Draft part 2 of the case analysis including a cover page, abstract, Module 2 context, and reference page.

· Submit all three pieces for full credit – 1) Module 2 Essay, 2) Financial Statements, 3) Financial Statement Worksheet

References:

· Financial Statement Analysis Quick Guide

· Financial Statement Analysis Worksheet

· Article: Collier, Haslitt, Grai, & McGowan. (n.d.). An example of the use of financial ratio analysis: the case of Motorola. University of Wollongong Research Online, 2004.

· Guide: Ratio Analysis - Most Comprehensive Guide (Excel Based). (2016, August 2). Retrieved from http://www.wallstreetmojo.com/financial-statement-analysis-ratio-analysis-guide/

Grading Criteria – Rubric Case Study Part 2

Module 3: Investment Report

Using stock reports, assess the selected organization and the four primary competitors over a twelve-month period that aligns with the financial statement analysis period. A closing stock report for each of the five companies will be submitted separately. Review articles and web resources and log the events surrounding the industry during the reporting period.

Final investment report (text content) will be 3 to 5 pages and consist of:

· Illustrative Graphs and tables (must be self created – no screen shots) outlining the performance for each stock (be sure to include a table of tables and table of charts)

· Summary of the performance for the primary organization including the firms overall financial performance for the reporting period.

· A cross comparative summary of all five stocks for the same year.

· Investment assessment – should someone invest in the selected organization, what factors contributed to the fluctuations, how did the industry do overall, etc.

Instructions:

· Submit a five-year valuation worksheet (note: you will need data from Module 2)

· Submit two cross comparison worksheets: Template includes 3 stocks compare organization with 2 competitors (two worksheets equates to 5 companies). Example: Worksheet(1) compares A, B, C, Worksheet(2) compares A, D, E.

· Submit essay including cover page, abstract and references

Resources:

· Instructions: A Simple Valuation Spreadsheet. (n.d.). Retrieved March 26, 2017, from https://www.aaii.com/computerized-investing/article/a-simple-valuation-spreadsheet.touch

· Article: Introduction to Chart Patterns. (n.d.). Retrieved March 26, 2017, from http://stockcharts.com/school/doku.php?id=chart_school:chart_analysis:introduction_to_chart_patterns

· Worksheet: Stock Valuation

· Worksheet: Stock Comparison

Grading Criteria – Rubric Case Study Part 3

Module 4: Individual Stock Assessment

Create an example investment analysis using $100,000 to invest. Compare returns invested all in the selected organization for five years, or a bank account with a 5% fixed return for five years.

These are the only two investment options to compare:

A. A bank account earning 5% per year.

B. Common stock of __________.

The audience for your analysis is an investor approximately 25 years from retirement and the investor’s income is greater than living expenses. The investor has a liquid net worth of $1,000,000 of which 40% is invested in the Nasdaq Composit, 40% in a medium-duration, high quality bond fund and 20% in a savings account earning 5% interest per year. Determine if the investor (under the above criteria) should take $100,000 from the savings account and purchase $100,000 of this company’s common stock.

Your analysis and findings should be suscinct but also provide sufficient information for the investor to make an informed decision by addressing the investor’s reasonable questions including the following:

· What is the problem? What are you trying to figure out?

· What historical financial information helped you make your decision – ratios, growth rates, margins, projections, competition?

· What role does risk play and how do you account for it in your analysis?

· What industry information helped you make your decision – such as competition, overall markets, and state of the economy?

· What are you assuming about the future?

· What are the critical factors that led you to choose the option you chose?

Instructions:

Only one file submitted with Module 4

Please limit your response to 3 pages, typed, double-spaced, plus no more than 2 pages of exhibits. This is both a math and a story assignment: your math has to support your story and your story has to support your math. 3 pages of text plus 2 pages of exhibits is not a lot to cover this assignment; you need to be concise, relevant, and convincing in those 5 pages.

There is no right answer. But there are right approaches, wrong answers and wrong approaches. You will be graded on the quality of your approach, the accuracy of your analysis, and how convincing your argument is.

Grading Criteria – Rubric Case Study Part 4

RUBRIC FOR INDIVIDUAL INVESTMENT ASSESSMENT

(Case Part 4 – Individual Submission)

Part 1 – Problem Solving and Decision Making