Assignment 4: Intel and AMAT 2012-2013 Comprehensive Analysis Value: 10% of final grade (84 MARKS) Due: Week 12 Instructions: Calculate key financial…

Assignment 4: Intel and AMAT 2012-2013 Comprehensive Analysis

Value: 10% of final grade (84 MARKS)

Due: Week 12

Instructions:

·          Calculate key financial ratios for all year presented. You will need to complete the cash flow statement and all ratios will be calculated by the template. Note: allocate the negative restructuring and impairment in AMAT (2011) to stock based compensation on the cash flow (10 Marks).

·          Using the library, find industry averages to compare to the calculations in CSI Market.com – it is a good website to find industry averages (Alternatively – Factset) (12 Marks).

·          Prepare a comprehensive analysis of both companies. This should include an evaluation of:

–            Short term liquidity (4 Marks)

–            Operating efficiency (4 Marks)

–            Capital structure (4 Marks)

–            Long term solvency (4 Marks)

–            Profitability (4 Marks)

–            Market measures (4 Marks)

·          In addition, include a discussion of any quality of financial reporting issues (6 marks).

·          Identify the strengths and weaknesses of both company (12 Marks).

·          Discuss the investment potential and the creditworthiness of both company (6 Marks).

·          Report will be graded for correct grammar, spelling and professional presentation (14 Marks).

·          Assignment is to be submitted via Dropbox BEFORE the start of Week 12 in-class session.