Stock Performance and Equity Investments - course project

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Ratio Analysis

Ratio Analysis
Ford Motor Company
Values presented on the financial statements are in billions.
Ford Motor Company Ford Motor Company
Balance Sheet Income Statement
December 31, 2015 2015
Assets Liabilities and Shareholders' Equity Sales $ 149.558
Current Assets Current liabilities Cost of products sold 126.495
Cash and Cash equivalents $ 14.272 Accounts payable $ 20.272 Gross Profit 23.063
Short term investments 20.904 Total current liabilities 20.272 Selling and administrative expense 14.999
Net receivable 101.975 Long-term liabilities Non recurring items 0.417
Inventory 8.319 Long-term debt 132.854 Operating Income 7.647
Total current assets 145.470 Other liabilities 42.546 Other Income 1.560
Long term assets Deferred liability charges 0.502 Equity Earnings 1.818
Long term investments 3.224 Misc. Stocks 0.094 Earning before interest and taxes 11.025
Fixed assets 57.256 Minority Interest 0.015 Interest expense 0.773
Other assets 7.466 Total non current liabilities 176.011 Earning before taxes 10.252
Deferred asset charges 11.509 Total liabilities 196.283 Income tax 2.881
Total long term assets 79.455 Shareholders' equity 28.642 Earnings after taxes 7.371
Minority Interest 0.002
Total assets $ 224.925 Total liabilities and shareholders' equity $ 224.925 Net income $ 7.373
Ratio analysis
Liquidity ratios:
Current ratio 7.18
Quick ratio 6.77
Activity ratios:
Inventory turnover 15.2
Receivables turnover 1.5
Days sales outstanding 248.9
Fixed asset turnover 1.9
Total asset turnover 0.7
Profitability ratios:
Gross profit margin 15.4%
Operating profit margin 5.1%
Net profit margin 4.9%
Return on assets 3.3%
Return on equity 25.7%
Leverage ratios:
Debt / Net worth 5.3
Debt ratio 0.68
Coverage ratios:
Times-interest-earned 14.3
General Motor Company
Values presented on the financial statements are in billions.
General Motor Company General Motor Company
Balance Sheet Income Statement
December 31, 2015 2015
Assets Liabilities and Shareholders' Equity Sales $ 152.356
Current Assets Current liabilities Cost of products sold 134.054
Cash and Cash equivalents $ 16.828 Accounts payable $ 51.904 Gross Profit 18.302
Short term investments 8.163 Short term debt 0.817 Selling and administrative expense 13.405
Net receivable 34.987 Other current liabilities 18.745 Non recurring items - 0
Inventory 13.764 Total current liabilities 71.466 Operating Income 4.897
Other current assets 4.265 Long term debt 7.948 Other Income 1.070
Total current assets 78.007 Other liabilities 74.783 Equity Earnings 2.194
Long term investments 27.701 Minority Interest 0.452 Earning before interest and taxes 8.161
Fixed assets 51.401 Total non current liabilities 83.183 Interest expense 0.443
Intangible assets 5.947 Total liabilities 154.649 Earning before taxes 7.718
Other assets 3.021 Income tax (1.897)
Deferred asset charges 28.443 Shareholders' equity 39.871 Earnings after taxes 9.615
Total long term assets 116.513 Minority Interest 0.072
Total assets $ 194.520 Total liabilities and shareholders' equity $ 194.520 Net income $ 9.687
Ratio analysis
Liquidity ratios:
Current ratio 1.09
Quick ratio 0.84
Activity ratios:
Inventory turnover 9.7
Receivables turnover 4.4
Days sales outstanding 83.8
Fixed asset turnover 1.3
Total asset turnover 0.8
Profitability ratios:
Gross profit margin 12.0%
Operating profit margin 3.2%
Net profit margin 6.4%
Return on assets 5.0%
Return on equity 24.3%
Leverage ratios:
Debt / Net worth 2.0
Debt ratio 0.41
Coverage ratios:
Times-interest-earned 18.4

Sheet1

Ford motor Company
Income Statement
2015
Sales $ 149.558
Cost of products sold 126.495
Gross Profit 23.063
Selling and administrative expense 14.999
Non recurring items 0.417
Operating Income 7.647
Other Income 1.560
Equity Earnings 1.818
Earning before interest and taxes 11.025
Interest expense 0.773
Earning before taxes 10.252
Income tax 2.881
Earnings after taxes 7.371
Minority Interest 0.002
Net income $ 7.373