The Procter & gamble company 1. Background summary about the company, its produc

The Procter & gamble company
1. Background summary about the company, its products and/or services, and recent corporate events that are relevant to the valuation of the company.
2. A comment on the recent trends in sales and earnings along with a brief analysis of how current macro-economic trends are relevant to the company (i.e. a discussion on interest rates, inflation, and business cycle conditions, ect.).
3. A brief comment on the company’s management (i.e. how long have they been in their positions, are they doing a good job or bad job, ect.).
5. An analysis of the company’s relevant industry, (i.e., degree of competition, growth of industry-wide sales, profitability of competitors, business cycle stage of the industry), and the P/E ratios of competing companies.
6. A forecast about revenues and earnings over the next year or two. Rely on your own forecast.
7. A buy/hold/sell recommendation of the stock along with a projected 12 (or 24) month price objective (or range of prices) for the stock. You must select a valuation method such as the P/E approach to formulate your future price objective. Also, indicate the appropriate investment risk level (i.e. investors with high risk, moderate risk, and low risk) of the stock.
8. Market Beta – Each student must find their company’s market beta from at least two sources (i.e. two separate calculations). In addition, the student is required to identify two or three competitors of their company and find the competitors’ market beta. Many financial services provide market beta data such as S&P/Capital IQ, finance.yahoo.com, and Value Line (service available via CSI’s Library). The student should provide two sources of beta calculation for the chosen company and its competitors.

Leave a Reply

Your email address will not be published. Required fields are marked *