Got a tricky question? Receive an answer from students like you! Try us!

Analyzing a company an dmaking comparisons - Research Paper Example

Only on StudentShare
College
Research Paper
Finance & Accounting
Pages 3 (753 words)

Summary

Financial Analysis ENERSYS The company that I have chosen for my financial analysis is ENERSYS Limited Company. ENERSYS is a Public Limited Company and its stock is traded on the NYSE. ENERSYS has gained tremendous repute in the past decade and has become a global leader in providing industrial batteries and power equipment…

Extract of sample
Analyzing a company an dmaking comparisons

An analysis of activity ratios and profitability ratios of both companies i.e. ENERSYS and EXIDE is conducted for time period from 2010-2011. The first ratio calculated is profit margin, which is Net Profit/Total Revenue. Net profit margin/Total Revenue is an important measure of profitability and tells how much a company has earned after it has paid off all its expenses. So ENERSYS profitability is calculated to estimate where ENERSYS currently stands in comparison to its competitors. ENERSYS net profit margin is 6% in 2011 and 4% in 2010. Exide’s net profit margin is 1% in 2011 and -4% in 2010. Clearly, ENERSYS is way ahead of Exide in terms of profitability as ENERSYS earns a profit of 6% in 2011over its revenue earned. This means that ENERSYS gets to keep a profit share of 6% after all its expenses has been paid. On the other hand, Exide earns a net profit of only 1% in 2011, which means that Exide gets to keep a profit of only 1% after all its expenses have been paid. So, ENERSYS performs well as it earns more net income then Exide. However, Exide has improved more than ENERSYS since 2010 as Exide’s profit margin improved from -4% to 1%, while ENERSYS’s profit margin increased from 4% to 6% (ENERSYS, 2011). ...
Download paper
Not exactly what you need?

Related Essays

Analyzing the Stock Market Crash
The other stock market crash discussed in the paper followed in 1997 which occurred in Asian countries. The crisis occurred due to the increase of foreign debt and some poor policies regarding the devaluation of currency. The crisis was followed by Russian crisis which occurred in 1998 and referred to as currency crisis which was mainly due to the domestic problems of the country which took everyone by surprise. The paper discusses another stock market crisis of dot-com bubble which rose due to the rapid expansion of internet based companies which severely damaged the stock market. The crisis…
40 pages (10040 words)
Journal Entries and Comparisons to Semester II Domains of Study
This would potentially ensure huge savings in time for the Company as well as a more efficient informational process for the Company, through a much more efficient execution of the leadership process in so far as communication is concerned. I also discovered this when communication issues cropped up during the execution of our Power Point project. The problem here was the breakdown in communications, so that members of the team did not have the information that they needed to integrate their efforts harmoniously with the other members of the team. This illustrates how the objective of working…
5 pages (1255 words)
Company Law
Further, company law largely interprets business law to the affected parties. Business just like any other discipline, which involves interaction between two or more parties, cannot be wholly exonerated from instances of conflicts (Emerson, 2009). Business law attempts to address diverse issues in a business. It enables swift and efficient enforcement of contracts. In addition, it ensures adequate legal protection to both private and personal property; it ensures clear framework and mechanisms for transferring and registering property. Furthermore, it also sees to it that intellectual property…
4 pages (1004 words)
International comparisons of stock market volatility
Even researchers and practitioners have made modeling of stock volatility a subject of empirical and theoretical study. Historically, stock market volatility is approximately 20% per annum and 5.8% per month even though periods of high and low volatilities are experienced. During the financial crisis, there was a 50 percent drop in stock prices. The effects of the crisis are still being felt due to increased public and private debt, levels of unemployment and global capitalism. The governments are doing their best to prevent and contain the situation buy formulating new policies and reforming…
6 pages (1506 words)
Case Study Financial & Management Accounting: Financial and trend analysis and industry comparisons
This reveals that the company has been able to increase its profit during the financial gloom, which is a positive sign for investors. However, in the balance sheet it can be seen that the cash balance has reduced to $30,000 in 2012 from $40,000 in 2011. The current assets are more in comparison to current liabilities, which proves that the company has enough working capital to manage its operational functions. The number of shares in 2012 has increased to 38,000, which indicates a further issue of 8000 shares, as there were 30,000 shares in the previous years. The earnings per share have also…
4 pages (1004 words)
analyzing an accountant system
The owner still has a debt obligation towards his relative ($100,000) which when accounted for is severely impacting the revenues generated by the company, thereby resulting in severe losses. The expenses for the purpose of conducting the business are of random nature which does not explain the exact purpose of incurring such expenses. As an example, it can be cited that the owner of MTS spends 40% of its allocated advertisement budget on business lunches involving local theatre producers and directors and the rest 60% is spent on advertising in local newspapers, theatre programs, sponsoring…
8 pages (2008 words)
company analyses
It would help in analysing the strengths as well as weaknesses associated with the promotional plans. Finally the study would be concluding with an insight into how the promotional plans can be made much more effective in order to achieve success in the target market. Table of Contents Executive summary 2 Question 1 4 Question 2 7 Question 3 9 Question 4 10 Reference List 11 Appendices 12 Question 1 This portion of the project would be reflecting the present financial performance of Rita’s and Charlie’s business by means of their financial ratio analysis and cash flows. The cash flow…