ADIDAS-Financial Analysis
This paper will be completed in groups of 2. The group assignments
can be found below. The paper should be 6 to 10 pages in length, APA format, and also include a
title page.
Purpose: The main purpose of this assignment is to analyze a company’s financial status. The
student groups will evaluate a company’s financial status and strengths. Your in-depth
exploration of the chosen company should address several issues related to your training in this
course. Your company can be related to sports but does not have to be. It is often times hard to
find all the data and information you would need for sport organizations. To get the needed
information I suggest choosing a publicly traded company.
Steps of Financial Analysis:
1. Communicate with your other group member to choose a company and send the
company name and group members’ names to the me (Brian.Fowler@indstate.edu)
by February 18th. (Important: Each group must choose a different company, so pick
yours early and confirm with me).
2. Next, analyze the company’s past/current performance, and project the company’s future
performance, compared to its competitors in the same industry. Imagine yourself as an
investor and deciding whether you are going to invest in the company based on your
analyses.
3. Guidelines:
i. Provide information about the company in general. Who is this company? Where
are they located? How many locations? How long have they been in business?
How many employees do they have? Where are their headquarters? What do they
primarily do? What sector market are they in? Who are their competitors? What
position do they have in the market? (e.g., leader, last, one of the leaders etc.)
ii. Try to use knowledge that you learn in class (or have learned by the time you
actually do it) to look at the company through your newly acquired financial eyes
(e.g., financial ratios, financial statements, risk management, time value of
money, and so on).
iii. How the value of company has changed in the last couple of years? What was the
average stock price throughout the semester? How did the stock price change
throughout the semester? What may be factors that caused the stock price change?
iv. What is the financial status of the company (i.e., are they in good financial
condition based upon what you have learned), how their financial ratios look like,
what is the future of the company, do they have sufficient funds to continue, is a
company financially strong, stable, or weak compared to its competitors…etc.).
Comparing with competitors may help you see how your company has been
performing in the same business sector.
v. What do you expect for this company in the next 5 years based on your research?
What markets would they possibly get into besides the one they are currently in?
How is the company changing over time? What can you suggest for the
company’s bright future? Would you invest in this company? Would you be
willing to buy this company’s stock? Why or why not?
vi. An example of what the finished product could look like is posted. The company
in the example is TravisMathew/Callaway Golf. This company is not available for
selection for this assignment.