Hi , I am looking for help with my final paper for CORPORATE FINANCE.... Below are the instructions. I have also attached a feed back i got from the previous paper i wrote . I have attached the prev
Feed back from previous assignment
Please review the comments below regarding each section of the assignment.
Overview Market: Describe the market that the company belongs to and the services it provides: You provided a good summary for Apple’s products and markets, but I did not see the overall market share vs competitors like Samsung.
Overview Customers: Describe the customer base: You provided oversight on Apple’s customer base who are some of the most loyal of customers! Keeping Apple’s customers loyal and engaged is a top priority for Apple as well as any company. Management must always be aware of their top competitors and market competition.
Overview Resources: Describe the key inputs the company uses to provide the products and/or services: Good job generally in this section! Key resources at Apple include the components, supply chain, employees, physical resources as well as intellectual properties, goodwill, etc.
Overview Trends: What are the trends for the company, industry and risks? I did not see the discussion for trends at Apple like its recent focus on building out services, and 5G. Apple’s management must be aware of overall trends for the company, as well as trends for the industry keeping pace with Samsung and the like. Apple must manage the risks like competition, tariff’s, labor, regulations, resources, etc.
Financial History: Excel Provide 3 years of history: You did not provide the history and details in the excel spreadsheet for 3 years as required.
Financial History: Highlights: What are the key financial highlights and ratios? You provided some of the key financial highlights for Apple as required. Are there any other ratios that management should be aware of and monitor?
Capital Structure: Overall: What is the company’s capital structure? Equity vs. Debt? I thought you did a good job in this section identifying overall debt and equity structures, combinations and also focus on the weighted average cost of capital.
Capital Structure: Dividend Policy: What is the company’s dividend policy? Good job generally describing Apple’s dividend policy. However, it is important to note that Apple can pay a dividend as a return of income/profits to shareholders, retain these dollars in the company for growth or use them to buy-back shares of the company stock. Good job how Apple uses these earnings. Investors will be interested in the details on the actual dividend that Apple pays out and its yield.
Capital Structure: Relationship: Managers must always analyze the company’s structure and cost of capital. You identified the key drivers for the capital structure relationship for Apple.
Capital Structure: Maximize Value: Management must always look to the balance of capital structure to maximize valuation. You provided discussion on how the capital structure drives decisions of the managers going forward. Apple must continue to strive to maximize shareholder value. Consider going forward from today how this management focus may be changing within the company as more and more focus is now on benefiting all the stockholders, communities and individuals in addition to the shareholders.
Valuation: Current Value: Calculate the current market value: You provided your valuations for Apple through 2019 as required. Value can be calculated by multiplying outstanding shares by the current market price.
Valuation: Assumption: Outline assumptions for Valuation: This section was not discussed on the assumed valuation for Apple. Historical and trends are valuable here. This last quarter has seen the largest change and impact to the company and the entire industry with the impact of Covid-19! This pandemic will certainly test the best management teams going forward and how they will combat this continuing trend and Mangers will struggle to provide reasonable and accurate financial assumptions.
Valuation: Estimate: Estimate current value and provide EVA, NPV, IRR, and MIRR using 5%, 10% and 18%: This section was not dis
