Question

You will provide an executive summary and your calculation spreadsheets. Generally, an Executive Summary is one page, but I will allow up to two pages.

What to Provide

· In the executive summary, provide your per-share price as of the date of the most recent 10-K from your valuation, a comparison to the actual stock price on that day (is the market over- or under-valuing the stock), all assumptions and a rationale for the assumptions (market risk premium, growth rates, etc), your sources for your date (risk free rate, beta, etc.)

· The excel sheets should include:

· Five years of income statements and balance sheets

· Common Size IS and BS

· Interperiod changes in the IS and BS

· Your WACC calculation

· You may want to include a sensitivity analysis with alternative WACCs or Steady-State growth