Valuation Assignment #2 – General Feedback
What worked well: It is clear that all of you put quite a bit of effort into this assignment and it shows. Overall, the quality of your efforts was much improved. Much more focused assessment of results. There was a clearer link between the data and your conclusions. Exhibit formatting and structure of exhibits was much better. Many more uses of ‘input boxes’. Needs work: Keep valuations on same page (from inputs to final decision variables). Many of you did this but there is room to improve. Some of you discussed the issue of ‘model fit’; others did not. Always consider this. For those that discussed it, all thought the model was a ‘good’ fit. Your job is to evaluate objectively – it may not fit so always be thinking of this. Supporting data often not included when providing conclusions (for example, ‘moderate growth’ is expected) What is moderate? Why this level? You don’t need to repeat a time series of data but do provide some insight as to the basis of the # in both words and #’s. Read the instructions! 5 pages = 5 pages, not 12. 75% of you exceeded the page limit. Exhibit titles still needed. Continue work on drawing conclusions, interpreting the data, rather than describing the results.
The following pages provide some examples of good discussions/interpretations/ exhibits. Space limitations prevent all from being included. Note, too, that difficulties in copying/pasting from the original files may result in an incomplete sentiment. Try to interpret the intent and approach to gain insight, even though the following may be somewhat jagged in presentation.
Significance: These company characteristics provided support for key inputs in the forecasting section. Most notably, I used the historical trend analysis to help project for the sales growth rate and the costs as a portion of those sales. The analysis suggests sluggish value added over the analysis period. Furthermore,...