FRL 3671 Corporate Finance Theory Assignment- California Polytechnic State University, Pomona.
Form a team of threeto collect information for analyzing the performance of a publicly tradedfirm that pays dividend, making recommendation on improving the firm's performance, and writing a report like a consultant. The name of the firm isCarlisle Companies, Inc.In order to help your team with this task, a rather structured guideline is provide below.
The Content
The analysis and report should include the following seven items.
1. The Firm's Description: Identify your firm's industry and its peer group. Describe the type of business activity the firm is engaged. The source of your information should include IBIS World and Mergent.
2. The Economic and Industry Conditions:Describethe impacts of the current and expected economic conditions on (a) your firm's industry and (b) on your firm. Make use of the economic indicators. Sources should include IBIS World andConference Board
3. Ratio Analysis: What do the five major categories of ratio indicate about your firm? Use both cross-sectional and trend Analysis. State what the numbers are revealing. There is no need for general description of ratios, just the application in this case.
4. EVA and MVA: Estimate Economic Value Added and Market Value Added for your firm based on the most recent available data.Interpret the numbers.
5. Free Cash Flow Valuation: Estimate the value of firm based on the Free Cash Flow method using the publicly available analysts'estimate of the future rates of growth.
6. Financial Need Forecast: Estimate additional funds needed based on the expected one-year sales growth. State what should be based on financing need of financing surplus that you find. Do growth sensitivity analysis.
7. WriteRecommendation for Improvement: Provide a precise set of recommendations for improving the performance of your firm. This should be based on your work in steps I through 6. You can make use of strengths, weaknesses, opportunities, and threats(SWOT) analysis as well.If you would like, you may do additional analysis before writing this section 7.The report should be 10 pages.
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.