first task is to calculate financial ratios for 2020-2022, evaluating operations
first task is to calculate financial ratios for 2020-2022, evaluating operations, profitability, asset efficiency, liquidity, gearing, bankruptcy/distress risk, and investment prospects. Within this task, you will also perform a DuPont Analysis, Common Size Financial Statements Analysis, Business/Geographic Segment Analysis, Trend Analysis and an assessment of the firm’s Earnings Quality.
Your second task is to analyse the ratios and identify the drivers of performance. Additionally, you will compare the firms against each other, industry benchmarks, and their own performance over the three-year period. Within this section it is also important to consider the management report on the firm’s long-term objectives for growth, profitability, and efficiency, among others.
Your third task will be to use a range of estimates to arrive at an estimated share price of the company’s ordinary share of common stock. These include price estimates based on earnings, cash flow, revenue, and dividend, among others. You will also calculate the firms’ annual Tobin’s Q.Your fourth task will be to compare the estimated price(s) with the actual stock market price on the date of the 2022 annual report and comment on your findings. You will explain why you support (or do not support) an investment in the company’s shares, as well as express your causes for concern based on the analyses you have conducted in the first three sections.A good answer would include:
o Title page using the university-prescribed one (see university assessment cover sheet attached below), including the word count
o A brief introduction of the two companies and their sectors as well as key financial figures in a table, i.e., figures that will then be used to compute the two scores.
o Please present all calculations and diagrams in a professionally formatted manner.
o It is essential to demonstrate a thorough comprehension of the concepts and be able to engage in practical discussions. Also, please note that there are no spelling, grammar, or punctuation errors in the work submitted.
o conclusion
o reference list
o appendix including charts and figures
Please note that the maximum allowable word count for your submission should not exceed 1,500 words, not including the title page, figures, tables, references, and Appendix.
Requirements: 1500 words