Question: On your first job assignment as an equity analyst, you need to analyze one of two companies: Alphabet, Inc. (GOOG) or Facebook (FB) Please complete


On your first job assignment as an equity analyst, you need to analyze one of two companies: Alphabet, Inc. (GOOG) or Facebook (FB) Please complete the following tasks: 1. Download the annual income statements, balance sheets, and cash flow statements for the last 4 fiscal years from Google of Facebook from either: SEC Website, Annual reports, Google Finance or other site. Enter the company's stock symbol and then go to financials" Copy and paste the financial statements into Excel. You can also use a subscription software, such as CapitallQ, and utilize the Excel plug-in. 2. Find historical stock prices for the firm (Google and Yahoo! Finance are a couple of sites that have this information). Enter the stock symbol, click on "historical prices" in the left column, and enter the proper date range to cover the last day of the month corresponding to the date of each financial statement. Use the closing stock prices (not the adjusted close). To calculate the firm's market capitalization at each year-end date (a total of 4 days total, for each of the 4 years), multiply the number of shares outstanding (see "Basic Weighted Shares Outstanding") by the firm's historic stock price. 3. For each for the 4 years of statements, compute the following ratios for each firm: Valuation Ratios Price-earnings ratio (for EPS use diluted EPS total) Profitability Ratios Operating margin (Use operating income after depreciation) Net profit margin Return on equity Financial Strength Ratios llaborations Financial Strength Ratios Current ratio Debt-equity ratio 4. Obtain industry averages for your respective firm from Reuters.com (https://www.reuters.com). Enter the stock symbol at the top of the page in the "Symbol lookup" and then click on the "Financials" button, and then click on "Search". Scroll down to "Valuation ratios", and compare the firm's ratios to the available industry ratios for the most recent year. (Ignore the "Company" column as your calculations will be different.) Comment on each firm's valuation compared to its industry. 5. Analyze the performance (from profitability ratios) of your firm versus its industry and comment on any trends in each individual firm's performance. A few sentence is adequate. 6. Identify any/all strengths or weakness you find in your firm. A few sentences (1 paragraph) is adequate. On your first job assignment as an equity analyst, you need to analyze one of two companies: Alphabet, Inc. (GOOG) or Facebook (FB) Please complete the following tasks: 1. Download the annual income statements, balance sheets, and cash flow statements for the last 4 fiscal years from Google of Facebook from either: SEC Website, Annual reports, Google Finance or other site. Enter the company's stock symbol and then go to financials" Copy and paste the financial statements into Excel. You can also use a subscription software, such as CapitallQ, and utilize the Excel plug-in. 2. Find historical stock prices for the firm (Google and Yahoo! Finance are a couple of sites that have this information). Enter the stock symbol, click on "historical prices" in the left column, and enter the proper date range to cover the last day of the month corresponding to the date of each financial statement. Use the closing stock prices (not the adjusted close). To calculate the firm's market capitalization at each year-end date (a total of 4 days total, for each of the 4 years), multiply the number of shares outstanding (see "Basic Weighted Shares Outstanding") by the firm's historic stock price. 3. For each for the 4 years of statements, compute the following ratios for each firm: Valuation Ratios Price-earnings ratio (for EPS use diluted EPS total) Profitability Ratios Operating margin (Use operating income after depreciation) Net profit margin Return on equity Financial Strength Ratios llaborations Financial Strength Ratios Current ratio Debt-equity ratio 4. Obtain industry averages for your respective firm from Reuters.com (https://www.reuters.com). Enter the stock symbol at the top of the page in the "Symbol lookup" and then click on the "Financials" button, and then click on "Search". Scroll down to "Valuation ratios", and compare the firm's ratios to the available industry ratios for the most recent year. (Ignore the "Company" column as your calculations will be different.) Comment on each firm's valuation compared to its industry. 5. Analyze the performance (from profitability ratios) of your firm versus its industry and comment on any trends in each individual firm's performance. A few sentence is adequate. 6. Identify any/all strengths or weakness you find in your firm. A few sentences (1 paragraph) is adequate
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