Roughly 5-8 pages – stock report.
1. Presentation of the company: industry, business model, current projects, leadership, history, peers, position in the market, competitors etc.
2. Fundamentals of the company: past performance, revenue, earnings (how have they done over the years), financial ratios.
3. Determine Beta with the Capital Asset Pricing Model
4. Valuation using DCF or DDM, estimating a low, medium, and high share value (depending on your assumptions which you need to justify in your writeup)
5. Price and price expectation: Cash Flow analysis and intrinsic value of the company to get one value at the for the share price
6. But: Also provide a high and low estimate based on changes to your assumptions
7. Statement of risks – Risks and headwinds: under circumstances will you overestimate your stock price / value
6. At the end: conclusion & Given three investor profiles, explain (recommendation) the suitability of an investment in “your” stock for these investors.