Reference no: EM132242946

Question: Full Security Analysis

Resources

• Full Security Analysis Scoring Guide.

• Writing Feedback Tool.

• Stock-Trak Global Portfolio Simulations.

This is the third component of your course project.

This week, you will complete a full security analysis as well as your weekly portfolio analysis. The combined length of the assignment should be no more than 2-3 pages (including any graphics).

For the full security analysis, select at least one company from your initial portfolio and complete the following activities: (Ford Motor is the company I picked in prior weeks.)

• Obtain financial statements for the company. Calculate the ratios, and compare these ratios to those of the industry in which your company operates.

• Calculate the P/E ratio, price-to-book ratio, stock's beta, profit margin, dividend yield, and earnings growth rate. Provide an interpretation of each and how these are related to your portfolio objectives.

• Comment on the conclusions you draw from these results.

Note: This project scenario is based on the stock market games found on the Internet.

In your ongoing weekly portfolio analysis, include the following elements:

• A weekly performance record of your portfolio, in comparison with a selected benchmark.

• The background information on macroeconomic, industrial, financial market, political, or other news events that might affect the risk and return of the portfolio. You are encouraged to keep a weekly journal of these events. Note: You will be required to provide a summary of these events in an appendix of your final paper.

• A reassessment of asset investments, accompanied by detailed analysis and rationale.

• A review of the changes in the risk of the portfolio and recalculation of the portfolio's beta, based on your buying and selling of securities.

• Your comments on trading activity (or turnover), including any contemporary factors (fiscal, economic, industry- or sector-specific, and political issues).