Assignment

 

Part 1:

 

A.) For Nike, Co. download or import the last three years of financial data (balance sheet and income statement) into an excel spreadsheet.

B.) Determine the Free Cash Flow to the firm for each of the three years.

C.) Do a financial ratio analysis of the three years of data, and observe any trends that this information provides.

 
Ratios that need to be used:

1.)Liquidity Ratios

2.)Leverage Ratios

3.)Activity Ratios

4.)Profitability Ratios

5.)Rate of Return Ratios

 

Part 2:

A.) Project Nike's financials (balance sheet and income statement) out for 5 years. Assumption Table is needed

B.) Determine the free cash flow to the firm for each of the projected years

HINT – You must use part 1 to accomplish part 2 (especially the ratios and common size statements)

Part 3

Write up a 2 page summary of what the ratios tell you (this will involve an industry analysis as well).  Explain any limitations of your study.  What are the firm's weaknesses?  Strengths?