Stock Market Project

BMGT 300

Points 200: weighted with exams

Due Dates: May 19 & July 21nd Hard Copies

You will be given $20,000 fictitious dollars to invest in four Publicly Traded Companies. Once you make the choice of the four companies and the percentages to invest you will maintain your ownership for the remained of the semester. On May 19 th you will have to complete the following table. The following table is an example. Do not exceed $20,000 and do not use fractional shares.

Company Name Stock SymbolPrice on 1/18

# of shares total investment

% of Portfolio

Apple AAPL 523.51 20 $ 10,470.20 52%American Eagle Outfitters AEO 19.94 90 $ 1,794.60 9%Cisco Systems CSCO 20.44 100 $ 2,044.00 10%The Walt Disney Company DIS 50.79 112 $ 5,688.48 28%

19,997.28For the remainder of the semester you will research the four companies and write a paper. The paper is due July 21nd. Hard Copies must be turned in.

Students are encouraged to look at financial websites such as yahoo finance and to access the most recent annual report for each company. The notes to the financial statements will help you to answer the questions below. Each report will be 7-12 pages in length typed, 12 point font, and single spaced. A bibliography of sources is required. Cite your sources using APA style. If you are unsure how to cite your work using APA formatting – please go to www.pointpark.edu; click on library; click on How to Cite Your WorkNOTE: you will not receive full credit by merely listing a website (i.e. http://www.pointpark.edu/default.aspx?id=2422 --- this is not APA formatting).

1. Title Pagea. include my nameb. your namec. class date and timed. list companies in your portfolio and stock symbols

2. Executive Summarya. one page summary of your report.

3. Company overview (2-3 paragraphs per company)a. For each company describe the product and services offeredb. for each company describe the customersc. For each company describe the industry and competitors

d. For each company explain why you choose the company to be part of your portfolio and why you choose the %

4. Financial Analysis a. For each company look at the management discussion analysis and discuss the financial

strengths and weaknesses of the companyb. For each company has the company had net income for the past 5 years?c. What new offerings, products, services, markets will contribute to upcoming growth?

5. Capital Structurea. For each company discuss their capital structureb. What is the debt to equity ratio?c. How much long term debt do they have? How much short term debt?d. What types of stock do they have?e. Do you feel that there is too much debt?

6. Riska. For each company review the annual report and management discussion analysis to

determine any risks they face7. Ratio’s (Morningstar.com is a good resource)

a. (for each company) List the major ratios found on page 57 of your text. b. Write at least two paragraphs discussing the ratios.

8. Analyst Informationa. What are market analysts or news media saying about your companies? do you agree or

disagree9. Current Information

a. (for each company) Read two recent news articles and summarize the content10. Stock Log

a. Show a log of the stock price for each company once a week. Pick one day of the week and show the following information.

Company Name Stock Symbol# of shares 1/10/2013 value 1/10 1/4/2013 value 1/4 12/28/2013 value 12/28Apple AAPL 20 523.51 10470.2 527 10540 509.59 10191.8American Eagle Outfitters AEO 90 19.94 1794.6 20.65 1858.5 19.85 1786.5Cisco Systems CSCO 100 20.44 2044 20.48 2048 19.45 1945The Walt Disney Company DIS 112 50.79 5688.48 52.19 5845.28 49.15 5504.8totals 19997.28 20291.78 19428.1

b. Discuss the changes in value to your portfolio.c. Were there any economic, industry or company specific explanations to why your stock

values changed?11. Reflection

a. What do you think of your four companies? Are they a good investment?b. Would you have liked to have changed your portfolio at any time?c. Do you think your portfolio was risky? Why or why not?d. What did you learn?

12. Reference Pagea. Use APA style. If you need help go to the library website.