See attachments for requirements and scoring guide!!!Task: Create an 8-10 page report in which you examine a major public company and provide a recommendation on how shareholder value could be enhance

Requirements

The report you submit to the CEO should meet these expectations:

• Evaluate strategies used to increase stock prices and shareholder value. 

• • Analyze strategies to employ cash to potentially increase shareholder value and the impact on financial risk of the entity, such as capital expenditures, mergers/acquisitions, stock buybacks, dividend increases, reduction of debt, expansion into a new geographic area, and introduction of new projects.

• Analyze financial statements and ratio analysis to determine the optimal strategies. 

• • Describe the subjective impacts that are unique to the firm and its industry through ratio analysis of the financial statements and qualitative research.

  • Relate the analysis to the strategies.

  • Identify the pros and cons regarding each strategy. Use behavioral models and theories to support your analysis and evaluation. Determine the best strategies, and describe how earnings and stock price can be increased by these choices. Comment on how the efficient market hypothesis may impact stock price with the recommendations.

• Recommend the best strategies to gain the most optimal performance.

• • Provide justification and rationale for your recommendation.

  • Align your recommendation with analysis and data.

  • Provide examples and analysis to defend recommended strategies.

  • Connect the recommendation to methods and models of financing and investing. 

• Evaluate how the recommendation will be financed and how it will impact the capital structure and the risk of the company and the WACC.

• • Calculate the firm’s current WACC and capital structure (percentage of assets financed by liabilities versus percentage of assets financed by shareholder equity).  

  • Determine whether the firm has sufficient finances to fund your recommendation internally (with cash) or if it needs to raise funds externally.

  • If external financing is required, decide between common stock and debt (bonds) and explain the rationale for your decision.

  • Examine how your strategy recommendation will potentially impact WACC, capital structure, the overall risk of the company stock, and the effect on the stock price.

Deliverable Format

Report requirements:

• Ensure written communication is free of errors that detract from the overall message and quality.

• Use at least three scholarly resources. 

• Your report should be between 8 and 10 pages.

• Use 12 point, Times New Roman. 

Related company standards:

• This report is a professional document and should therefore follow the corresponding MBA Academic and Professional Document Guidelines (located in the MBA Program Resources), including single-spaced paragraphs.

• Use APA-formatted references. 

Evaluation

By successfully completing this assessment, you will demonstrate your proficiency in the following course competencies through corresponding scoring guide criteria:

• Competency 2: Analyze financing strategies to maximize stakeholder value.

• • Evaluate strategies used to increase stock prices and shareholder value.

• Competency 3: Apply financial analyses to business planning and decision making.

• • Recommend the best strategies to gain the most optimal performance.

• Competency 4: Use data to support evidence-based financial decisions.

• • Analyze financial statements and ratio analysis to determine the optimal use of cash.

  • Evaluate how the recommendation impacts the capital structure and the risk of the company and the WACC.

Faculty will use the scoring guide to review your deliverable as if they were your CEO. Review the scoring guide prior to developing and submitting your assessment.

ePortfolio

This portfolio work project demonstrates your competency in applying knowledge and skills required of an MBA learner in the workplace. Include this in your personal ePortfolio.

Note: Your faculty may also use the Writing Feedback Tool to provide feedback on your writing. In the tool, click the linked resources for helpful writing information.