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Assignment 1: Financial Research Report

Imagine that you are a financial manager researching investments for your client. Research the stock of any U.S. publicly traded company that you may consider as an investment opportunity for your client. Your investment should align with your client’s investment goals. (Note: Please ensure that you are able to find enough information about this company in order to complete this assignment. You will create an appendix, in which you will insert related information.)
The assignment covers the following topics:
• Rationale for choosing the company for which to invest
• Ratio analysis
• Stock price analysis
• Recommendations
Refer to the following resources to assist with completing your assignment:
Stock Selection
• Forbes – “Six Rules to Follow When Picking Stocks”
• CNN Money – “Stocks: Investing in stocks”
• The Motley Fool – “13 Steps to Investing Foolishly”
• Seeking Alpha – “The Graham And Dodd Method For Valuing Stocks”
• Investopedia – “Guide to Stock-Picking Strategies”
• Seeking Alpha – “Get Your Smart Beta Here! Dividend Growth Stocks As ‘Strategic Beta’ Investments”
Market and Company Information
• U.S. Securities and Exchange Commission – “Market Structure”
• Yahoo! Finance
• Mergent Online)
• Seeking Alpha (Note: Also available through the Android or iTunes App store.)
• Morningstar (Note: You can create a no-cost Basic Access account.)

Write a ten to fifteen (10-15) page paper in which you:
1. Provide a rationale for the stock that you selected, indicating the significant economic, financial, and other factors that led you to consider this stock.
2. Suggest the primary reasons why the selected stock is a suitable investment for your client. Include a description of your client’s profile.
3. Use at least five (5) of any financial ratios. Analyze the past three (3) years of the selected financial ratios for the company; you may obtain this information from the company’s financial statements. Determine the company’s financial health. (Note: Suggested ratios include, but are not limited to, current ratio, quick ratio, earnings per share, and price earnings ratio.)
4. Based on your financial review, determine the risk level of the stock from your investor’s point of view. Indicate key strategies that you may use in order to minimize these perceived risks.
5. Provide your recommendations of this stock as an investment opportunity. Support your rationale with resources, such as peer-reviewed articles, and reviews by market analysts.
6. Use at least five (5) quality academic resources in this assignment. Note: Wikipedia do not qualify as academic resources.
Your assignment must follow these formatting requirements:
• Be typed, double spaced, using Times New Roman font (size 12), with one-inch margins on all sides; citations and references must follow APA or school-specific format.
• Include a cover page containing the title of the assignment, the student’s name, the professor’s name, the course title, and the date. The cover page and the reference page are not included in the required assignment page length.

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