User Account

All Pages

Identify why are these companies undervalued?

Assignment Help Finance Basics
Reference no: EM13873542

The following Excel File contains fundamental information on the 240 largest market cap (non-financial service) companies listed anywhere in the world. You have two tasks:

1. Please identify the 5 most undervalued firms in this sample, using a Relative Valuation Method. In making this analysis:

You can pick any multiple you want to make this judgment. This multiple can either be an existing multiple (like PE or EV/EBITDA), a modified version of an existing multiple (like PEGY) or a multiple that you invent. (Just make sure that you put it through the consistency test)

2. Search Online and other resources and identify why are these companies undervalued?

3. Recommend and discuss several corrective actions that management of these companies can take in order to improve the valuation of their firms.

4. Assume that you are an activist investor (Blackstone and KKR's competitor) and are interested in acquiring one of the firms in the sample, which you plan to take private, restructure (operating and financing, if necessary) and take public again. Which company would you pick and why? (Note that it does not have to come from your list of 5 most undervalued companies).

Reference no: EM13873542

Questions Cloud

Describe the parts of an e-commerce endorsement : Describe the parts of an e-commerce endorsement
Design and write the client and server programs : Design and write the client and server programs necessary to provide a multiple client CPU scheduler that handles CPU bursts and I/O bursts.
Advise samatha on the formation of the agreement : Advise Samatha on the formation of the agreement and her rights under the said agreement. Advise Ahmad and Mr Chan whether there is any contract between them and the MJ Supermarket.
Relatively high volatility in its future cash flows : If a firm is expected to have relatively high volatility in its future cash flows, would you advise the firm to pay no dividends, low dividends, high dividends, or you will advise the CFO to avoid using any equity financing at all? Please outline you..
Identify why are these companies undervalued? : identify why are these companies undervalued?
What is its after tax profit margin : Bubba Corp had net income before taxes of 200,000 and sales of 2,000,000. if it is in the 50% tax bracket, what is its after tax profit margin?
Describe the importance of environment studies : What is Environment? Discuss the major environmental issues and describe the importance of environment studies.
When the external capital market is very relaxed : When the external capital market is very relaxed (e.g., optimistic investors, low interest rate, and many potential investors), would you recommend a start-up firm to use a lot of short-term debt instead of long-term debt? Why or why not? And would y..
What is the organization''s current business model? : What is the organization's current business model?

Reviews

Write a Review

Finance Basics Questions & Answers

  What are cash receipts in march

if excel inc. has projected sales of $20,000 in january, $15,000 in february, and $30,000 in march 80% of sales are on credit 20% are collected in the month of sale and 80% are collected the month after, what are cash receipts in march?

  You own a call option with time to expiration the common

you own a call option with time to expiration. the common stock is selling for 11.25 and your exercise price is 12.

  What are the forecasted collections on accounts receivable

Receivables at the end of December were $24 million. What are the forecasted collections on accounts receivable in March?

  Calculate operating income

Calculate operating income using the following information:

  Immediately after she purchased them interest rates fell

an investor purchased the following 5 bonds. each of them had a 8 percent yield to maturity on the purchase day.

  An office supply broker combines orders from fifteen small

1.to survive and succeed in the new economy orbis inc.rsquos supply chain model was transformed from aa hub-like supply

  Public information on the companies and the deal

Since your sponsor wants to keep this analysis confidential you will be restricted to public information on the companies and the deal. you will be re quired to develop a summary analysis citing your sources and addressing the following questions:

  A marketing analyst for a chicken processor reports that a

1. according to the text which of the following is not a basic guideline for setting a firms objectives?a engaging in

  Keys to successful investing

Prepare a two- to three-page paper addressing the keys to successful investing as you would apply them to a product or service that you would launch. Using Appendix A, address the following points:

  What is the new dividend yield

what was this talks dividend yielded at the time of issue if the stock market price has risen to 60 per share, what is the new dividend yield?

  What is its economic value added

If Spencer's cost of capital is 10%, what is its Economic value added (EVA)?

  What is the stock expected capital gains yield

If D1 = $1.50, g (which is constant) = 6.5%, and P0 = $56, what is the stock's expected capital gains yield for the coming year?

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd