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Stock Pitch Template

Autor:   •  January 28, 2018  •  Case Study  •  321 Words (2 Pages)  •  511 Views

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XXX Company Name – <a great business at a reasonable price OR cheap growth OR special situation OR etc>

Date:                01/23/2015

Ticker:                 IBM

Stock price:         $27.44

Market Cap:        $17.1B

Enterprise Value:        $17.9B (approx)        

ROE (2016 estimate):        21%

2015 P/E:                19

2016 P/E:                16 (my estimate)

Recommendation:          Strong Buy

Target price:                 $69 by 2018

MBA – Class of xxxx

The University of xxxxxx

Executive Summary

Company Description

Investment Thesis

Industry and Competitive Analysis

Management team

Financial Model

 

2013 (actual)

2014 (actual)

2015 (actual)

Q1-Q3-2016 (actual) (1)

Fy-2016 (estimate) (1)

2017 (estimate)

Notes

SALES:

 

 

 

 

 

 

 

Segment 1

219.0

259.0

371.0

387.0

516.0

1548.0

Segment 2

976.2

1234.4

1538.7

1683.1

2244.1

6732.4

Segment 3

334.3

453.6

677.9

703.6

938.2

3752.7

Other sales

20.0

19.0

20.0

16.1

21.5

64.4

Total Sales

2078.0

2518.0

3276.0

3476.2

4634.9

13971.0

 

 

 

 

 

 

 

 

 

GROSS PROFIT:

 

 

 

 

 

 

 

Segment 1

98.6

116.6

167.0

174.2

232.2

696.6

45% gross margin

Segment 2

390.5

493.8

646.3

706.9

942.5

2491.0

37% gross margin

Segment 3

133.7

181.4

284.7

295.5

394.0

1388.5

37% gross margin

Other sales

120.0

110.0

129.4

127.7

170.2

299.9

37% gross margin

Total Gross Profit

847.3

1095.4

1518.9

1623.3

2164.4

5537.5

 

Gross Profit Margin

40.8%

43.5%

46.4%

46.7%

46.7%

39.6%

 

 

 

 

 

 

 

 

 

R&d expense

107.2

165

213.5

245.7

327.6

558.8

4% of sales

SG&A

358.1

406.4

520.6

508.6

678.1

1397.1

10% of sales

Other expense

15.7

0.0

-92.6

0

0.0

0.0

 

Operating income

366.3

524

877.4

869

1158.7

3581.6

 

Tax/ Finance expense

88.1

113.7

186.4

190

253.3

788.0

22% of Op. Income

NET INCOME:

278.2

410.3

691

679

905.3

2793.6

 

Net Profit Margin

13.4%

16.3%

21.1%

19.5%

19.5%

20.0%

 


Source: XXX annual reports, XXX press releases, YYY Sell side report, and author’s estimates

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