Student Project: Comprehensive Company Analysis
Objective:
To enable students to conduct an in-depth analysis of a company by answering key business
questions and performing financial statement analysis.
*Students must take a manufacturing company. No two students should have same company.
Instructions:
1. Selection of Company:
o Each student will select a publicly traded company of their choice. The company
should be listed on a major stock exchange ( BSE, NSE).
o Approval of the selected company by the instructor is required to avoid
duplication and ensure diversity in analysis.
2. Project Report Structure:
o The final report should be comprehensive, well-structured, and presented
professionally.
o The report should be approximately 15-20 pages long, including all charts, tables,
and references.
Components of the Project:
1. Company's Core Business:
o Describe the main products or services offered by the company.
o Explain the company's business model and how it generates revenue.
o Provide a brief history of the company, including its founding, key milestones,
and current market position.
2. Company Strategy for the Future:
o Analyze the company’s strategic goals and objectives.
o Discuss any recent strategic initiatives, mergers, acquisitions, or divestitures.
o Evaluate the company’s growth prospects and future direction based on strategic
plans and market trends.
3. Competitive Environment:
o Identify the company’s main competitors.
o Perform a SWOT analysis (Strengths, Weaknesses, Opportunities, Threats).
o Discuss the company’s competitive advantages and disadvantages.
o Analyze market share, industry trends, and the overall competitive landscape.
4. Main Risks of the Company:
o Identify and explain the primary risks the company faces (e.g., market risk,
operational risk, financial risk, regulatory risk).
o Discuss how these risks might impact the company’s performance.
o Evaluate the company’s risk management strategies.
5. Financial Statement Analysis:
o Common Size Income Statement and Balance Sheet:
Prepare common size income statements and balance sheets for the past
three years.
Analyze the key components and trends in the common size statements.
o Trend Analysis:
Perform a trend analysis for the income statement and balance sheet over
the past five years.
Identify and discuss significant trends and changes in financial
performance and position.
Data Sources:
Use financial statements from the company’s annual reports, SEC filings (such as 10-K
reports), and other reliable financial databases (e.g., Bloomberg, Yahoo Finance, Google
Finance).
Supplement your analysis with news articles, industry reports, and market research.
Presentation:
Prepare a PowerPoint presentation summarizing your findings.
The presentation should be 10-15 minutes long and cover the main aspects of your report.
Be ready to answer questions and engage in a discussion with your classmates and
instructor.
Submission:
Submit the final report in PDF format.
Submit the PowerPoint presentation file separately.
Ensure all references and data sources are properly cited using APA format.
Evaluation Criteria:
Depth and accuracy of the analysis.
Clarity and coherence of the report.
Quality of the financial analysis and interpretations.
Presentation skills and ability to answer questions effectively.
Originality and effort demonstrated in the project.
Example Outline for the Report:
1. Introduction
o Overview of the company
o Purpose and scope of the report
2. Company's Core Business
o Description of products/services
o Business model
o Brief history
3. Company Strategy for the Future
o Strategic goals
o Recent initiatives
o Future prospects
4. Competitive Environment
o Competitors
o SWOT analysis
o Market share and industry trends
5. Main Risks of the Company
o Identification of risks
o Impact of risks
o Risk management strategies
6. Financial Statement Analysis
o Common size income statement and balance sheet
Interpretation of key components
o Trend analysis
Discussion of significant trends
7. Conclusion
o Summary of findings
o Personal insights and recommendations
8. References
Tools and Resources:
Financial analysis tools (Excel, Google Sheets)
Financial databases and websites
Business news portals
Academic journals and industry reports
By completing this project, students will gain a thorough understanding of a company’s business
operations, strategic direction, competitive environment, risks, and financial health, equipping
them with valuable skills for their future careers in finance and business.
