Description
Question : analyse the Financial performance of any of the company
• Rolls Royce plc
• Tesco plc
• AstraZeneca plc
• IAG
• JD Wetherspoon
• Uber Technologies Inc.
• Whitbread plc
• Zoom Video Communication Inc.
• JD Sports Fashion plc
• Microsoft
.
The coursework consists of three parts
1 Financial performance analysis – minimum two years of results. From an organisation point of view, it would be helpful to show all figures in table form followed by interpretation.
There should be reference of financial data in the report. The analysis must contain any form of ratios.
• Profitability
• Liquidity
• Cash control
• Efficiency
• Risk
• Future prospect
2 Valuation and beta estimation
• Estimate the beta and cost of equity
• Value the business using theoretical models
For Part 1 of the coursework, consider the profitability, liquidity, efficiency and risk of any of the company company. Ratio analysis which you learn from the accounting modules would be applicable.
For Part 2, you would estimate the beta for your chosen company using different measurement parameters. The main focus here is the practical difficulties of ascertaining an appropriate beta as a proxy of risk to the company.
Part 3 deals with the business valuation. You will apply the three-valuation methods
Asset based Valuation
Earning based valuation
Discounted Dividends Model
outlined in the workshop and discuss the pros and cons of each methods in light of your valuations.
