What is the beta of the companys stock


You will be taking a close look at a company of your choice. You are free to choose any company you want as long as it is publicly traded on one of the major stock market exchanges such as NYSE or NASDAQ. This could be a company that you personally are interested in investing in, or a company whose product you buy, or one that you've read about in the news recently and would like to know more about. Do some research on this company, including recent articles. Also, look up the company on Google Finance. This will give you a wealth of information including stock prices over the last month, year, five years, etc., along with other information such as the beta or whether or not the company is profitable.

Once you have chosen a company and have done some initial research on it, write a 2 page paper discussing the following items:

1. Give a brief description of the company and why you find it interesting.

2. What is the beta of this company's stock? Based on the magnitude of the beta, do you think it is low risk, high risk, or somewhere in between?

3. Now look at recent stock price movements. What is the highest price the stock has been over the last year? The lowest price over the last year? Look at the five-year pattern as well. Based on what you see, what does this tell you about the riskiness of the stock?

4. Look at some other companies in the same industry as your chosen company. How do they compare in terms of beta and other measures of riskiness? Would you prefer to invest in your chosen company, or do some of its competitors seem like a better bet?

Format your assignment according to the following formatting requirements:

1. The answer should be typed, double spaced, using Times New Roman font (size 12), with one-inch margins on all sides.

2. The response also includes a cover page containing the title of the assignment, the student's name, the course title, and the date. The cover page is not included in the required page length.

3. Also include a reference page. The Citations and references should follow APA format. The reference page is not included in the required page length.

Solution Preview :

Prepared by a verified Expert
Corporate Finance: What is the beta of the companys stock
Reference No:- TGS02981988

Now Priced at $30 (50% Discount)

Recommended (96%)

Rated (4.8/5)

2015 ┬ęTutorsGlobe All rights reserved. TutorsGlobe Rated 4.8/5 based on 34139 reviews.