Purpose: To employ comparative data and industry data to evaluate a company’s performance and financial position
USE Address: http://www.msn.com/en-us/money
Steps:
(1) Identify two competing companies. (AMAZON & ALIBABA)
(2) Go to the above address.
(3) Type in the first company’s stock symbol or name. (Use “symbol look-up.”
(4) Under the “Fundamentals” heading, use the Growth, Profitability, Financial health,Price ratios, and Management effectiveness tabs to answer parts (a), (b), and (c) below.
Instructions:
(a) Evaluate the company’s liquidity relative to the industry averages and to the competitor that you chose.
(b) Evaluate the company’s solvency relative to the industry averages and to the competitor that you chose.
(c) Evaluate the company’s profi tability relative to the industry averages and to the competitor that you chose.