ratio increase / Current ratio decrease
Frequently used method for “window dressing settlement”
On average companies’ A/R turnover ratios close to the industry average of 20.7
Trend of decreasing as year passes
Chipotle Mexican Grill’s (CMG) A/R turnover ratio continually increasing:10~20times higher than industry average.
CMG’s current asset’s 42% and total asset’s 25%
hit very hard.
Under these situations, our group want to evaluate the attractiveness of investment by comparing each company's financial ratios from their financial statements.
Ⅱ. Financial Ratio analysis
1. Liquidity
Liquidity refers to a company's ability to meet its current maturing debts. And it focuses on the relationship between current assets and current liabilities. With
1. Introduction of the project
1) Purpose of project
Through the project, we want to build extensive knowledge about cruise industry and accounting analysis (common size analysis, comparative analysis, and ratio analysis). We believe that the project makes us accounting experts.
Cruise Industry has grown and continues to grow enormously in scale. It is frequently regarded as a small but sig
ration and US Airways airlines.
AMR Corporation and US Airways are the airlines among ‘Legacy carriers’ of US airlines. Legacy carriers are referring to the airlines which have survived even after the 1978 U.S. Deregulation of Airline Industry. Due to this deregulation, many of U.S. airlines failed to continue their business and faded away and many new airlines as well. Thus 6 surviving air
ratio is on huge increase. SSangyong, which had negative retained earnings in 2008 finally made profit in 2010. On the contrary, Samsung Motors experienced decreased return on equity which means that they earn less than before.
In Earnings per Share, Hyundai, Kia and SSangyong Motors all shows increment. Especially Kia Motors is noticeable as earnings per share rose more than 10 times from 20
ratio (PSR) is 4.23.
This is 1.5 times higher than the average of 10 companies’ PSR (2.67). We should think carefully whether Apple’s future growth is considered as good or its stock price is evaluated just high. Finally, we used price book ratio (PBR) to judge that stock price is proper. PBR is 5.77 and it is higher than 10 companies’ average (4.011).
⑤ Conclusion of the quantity an
b. Analysis of Business profit and ROE
Business profit
The operating profit of the Jinro is 19.66% and much more than the average profit which is 6.64%. Industry average operating profit margin declined for a while, but recently recorded an increase of 35.8 percent and increase again, while the ratio raised by 19.66 % recently, but the record was entered into decline, and continued again. A
The type of drug market is becoming advanced
Expanding facilities to meet international standards
Ability to invest is needed
Yuhan
Founded in 1926
‘Only strong nation can regain their right’
‘The company’s profit must return to the society that raised the company’
Separation of capital and management
Hanmi
Founded in 1973
‘We make better medicine for precious life’
Win
hit rock bottom at 1998 IMF
- enter a upward trend since 1999
- make peak because of housing business at 2007
2. Restructuring of construction companies is progressing because of global economic crisis
3. Increasing demand about a new construction and reconstruction and environment-friendly construction
1. Its reaction of the business condition′