Apple Vs Microsoft

For a Financial Analyst, there is nothing more boring and tedious than pages of plain text. Therefore, I

suggest utilizing what I call “visual aids” by either finding them online or creating them yourself in Excel.

For every important ratio/number (or category: i.e. Leverage, Liquidity, Profitability, etc, etc), create a

“visual aid” (chart/table/graph..see above example). You’ll want to cut/paste the Balance Sheet, CF

Statement and Income Statement as well. Try to include as many Industry Averages (or competitor data

if you can’t find Ind Avgs) as you can. Displaying multiple years’ worth of data will allow you to spot

trends. Then (in your text) point out any significant trends and any anomalies you see and attempt to

find an explanation. For example, why did Pepsi’s P/E ratio fall substantially during 2019 (see chart

above)? Something like this would be worthy of a little more research.

You should try to use visual aids generously and text only to explain any anomalies in the trends &

comparisons. Please do NOT tell me what I can plainly see (i.e. Balance Sheet/Income Statement

amounts that are clearly posted in your visual aid). Again, Financial Analysts will look for trends,

anomalies and deviations from Industry Averages or Competitors. Find these, then explain them

(where applicable, of course).

Remember, liberally use charts, tables, graphs, etc. (what I call visual aids) to display your findings. In

your text, discuss the numbers as they relate to:

1) Trends

2) Comparisons to Industry Averages/Competitors

3) Anomalies

If you follow this general approach for all your papers, you’ll be fine.

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Price/Earnings Ratio Price/Book Ratio Earnings Per Share Dividends Per Share

Market Ratios

2017 2018 2019 2019 (Pepsi Co)

Grading Philosophy re Written Assignments (Discussions, Papers, etc) Generally speaking (not as a firm policy, but as my usual modus operandi) re written assignments, I will issue an initial grade on your first submission. I will make comments in a different color font, usually red. Then I will allow for your edited re-submission, so that you may possibly earn more points. Your edits should be in another color font or highlighted somehow (so I can easily locate them). I will then re- grade, based on your edits. Again, this is not a policy that I do every time, rather it is a nicety that I extend much of the time.