...Business Review November, 2013 Jorge Luis Mejía Fuentes A00465945 Section IV (Page 1 of 48) 1 AGENDA 1. Company Approach. 2. SWOT Analysis. 3. Market Research. 4. Financial Information. 5. Ad hoc Analysis. 6. Recommendations. 2 AGENDA 1. Company Approach. 2. SWOT Analysis. 3. Market Research. 4. Financial Information. 5. Ad hoc Analysis. 6. Recommendations. 3 Company Approach Palmex is a Mexican coconut water Company. Palmex CEO, Ximena Navarrete mission: Offer healthy, tasty & high quality coconut beverage to the consumers. 4 Company Approach A | Prevents dehydration B | Fuel for brain and muscles C | Heart & kidney healthy D | Anti-aging E | Digestive Aid F | Supports immune function 5 Company Approach 6 AGENDA 1. Company Approach. 2. SWOT Analysis. 3. Market Research. 4. Financial Information. 5. Ad hoc Analysis. 6. Recommendations. 7 SWOT Weaknesses Strengths -No doubt. -Net positive Income in L3Y. -High COGS. -Low Liquidity vs. Other Assets. Opportunities -Sports Market. -Growth Potential. -New Business Portafolio. -Brand new competitors. -Natural competitors: Gatorade, etc. Threats 8 SWOT Weaknesses Strengths -No doubt. -Net positive Income in L3Y. -High COGS. -Low Liquidity vs. Other Assets. Value Opportunity Opportunities Overcome Risk -Sports Market. -Growth Potential. -New Business Portafolio. -Brand new competitors. -Natural competitors: Gatorade, etc. Threats ...
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...VALUATION Outline Page Valuation overview 1 DCF valuation 7 47 Comparable transactions analysis 59 LBO analysis 68 Appendix VALUATI O N Comparable companies analysis 74 VAIDYA NATHAN 1 Overview “Price is what you pay. Value is what you get” VALUATI O N O V E R VI EW Value ! Price Do not confuse Price and Value. They are not the same If the Price paid is less than the Value derived, it’s a good investment VAIDYA NATHAN 2 Overview Why valuation is important? Divestitures Acquisitions How much should we pay to buy the company? How much should we sell our company/division for? Fairness opinions Research Is the price offered for our company/division fair (from a financial point of view)? Should our clients buy, sell or hold positions in a given security? Valuation Public equity offerings Hostile defense For how much should we sell our company/division in the public market? Is our company undervalued/vulnerable to a raider VALUATI O N O V E R VI EW Debt offerings New business presentations Various applications What is the underlying value of the business/assets against which debt is being issued? VAIDYA NATHAN 3 Overview The valuation process Determining a final valuation recommendation is a process of triangulation using insight from each of the relevant valuation methodologies (1) Discounted Cash Flow VALUATI O N ...
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...market multiple approaches. Introduction This chapter covers two unrelated topics: lease financing and business valuation. Leasing is a substitute for debt financing and hence expands the range of financing alternatives available to businesses (and to individuals). However, leasing should be used only when it offers some advantage over conventional financing. We begin this chapter by discussing factors that contribute to the large amount of leasing activity among healthcare businesses and how businesses analyze lease transactions. The valuation of entire businesses, as opposed to capital projects, is a critical step in the merger and acquisition process. In addition, business valuation plays an important role when one owner is bought out by other owners and when businesses are inherited. The second part of this chapter discusses two techniques used to value businesses. Leasing Basics Businesses generally own fixed assets, but it is the use of buildings and equipment that is important, not their ownership. One way to obtain the use of assets is to raise debt or equity capital and then use this capital to buy them. An alternative way to obtain the use of assets is by leasing. Before the 1950s, leasing was generally associated with real estate (land and buildings), but today it is possible to lease almost any kind of asset. Although leasing is used extensively across all industries, it...
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...utilizing an efficient web-based marketing strategy and integrating their revenue management system. Through these business practices, Sovran has maintained stable profitability and growth Growth Drivers - Sovran has been able to grow their revenues by improving occupancy rates, increasing pricing power and maintaining a strong acquisition pipeline. As occupancy rates reach mature levels, growth will primarily be driven through acquisitions, for which the Company is well positioned Note: ^RMZ - MSCI US REIT Index Market Profile Closing Price $90.90 52-Week High / Low $90.90 / $62.66 Average Volume (3M) 195,935 Diluted Shares Out. 33,867,243 Market Cap $3.08B Dividend Yield 3.30% Beta 0.87 EV / Revenue 13.2x EV / EBITDA 23.1x FFO / Share 22.8x Institutional Holdings 94.15% Insider Holdings 2.55% Valuation DCF Multiples Estimated Price $95.02 $94.96 Weights 50.0% 50.0% Target Price $95.00 Target Price is rounded from...
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... Feb-09 Brian.baranowsky@gmail.com http://fund.ssb.carleton.ca 5 Current Target Price Source: Bloomberg Investment Thesis Past Exponential Growth Expected to Continue Lannett has expanded at a CAGR of 22% over the last 12 years with an exponential increase in FY 2014 where revenue growth amounted to 81.2% YOY. Growth continues to be a priority for management going forward as they have expanded on their generic pharma product line through product development, formed strategic partnerships, and entered into profitable new markets as patents expired on existing branded drugs. Favorable capital structure and huge increase in cash balance allows company to pursue acquisitions or reinvest back into business. Macro economic trends such as aging population, increased access to healthcare and increased healthcare spending stand to increase revenues. High barriers to entry, High Margins Lannetts wholly owned subsidiary Cody Labs is one of only 7 companies in the United States that is licensed by the DEA to import raw commercial poppy straw for conversion into opioid based active pharmaceutical ingredients (API). This restriction on imports and barriers to entry allows Lannett to operate in a market with few competitors and as a result higher margins achieved through oligopolistic pricing. Vertical integration leading to competitive advantage High margins are achieved through vertical integration of wholly owned and contracted subsidiaries , Cody labs and Jerome Stevens Pharmaceuticals...
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...Q1. Market Failure: is to do with not having enough resources to produce enough goods and services needed neither by the government nor by the society, as a result of this failure, the government develop a role to intervene in the economy in order to overcome these problems. 1. Public goods: According to the business dictionary, public good is an item whose consumption is not decided by the individual consumer but by the society as a whole; and which is financed by taxation. A public good or service may be consumed without reducing the amount available for others and cannot be withheld from those who do not pay for it. E.g. parks, police services, fire services etc. Consumers have an incentive to not reveal their willingness and ability to pay for public goods if they believe that they will be expected or required to contribute to financing the public good accordingly by the government. After all, if the public good is supplied, it will be available to them just as it would be to anyone else because pure public goods are non-excludable. This is the essence of the “free rider problem”: the incentive which consumers have to avoid contributing to financing public goods in proportion to their valuation of such good. Good examples to use include TV licence dodgers and people who choose to evade the Council Tax but who still receive local authority services. Another example might be a group of residents in a block of flats who all stand to benefit from the refurbishment of an...
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...The 400 Investment Banking Interview Questions & Answers You Need to Know A Production http://breakingintowallstreet.com http://www.mergersandinquisitions.com Copyright 2010 Capital Capable Media LLC. All Rights Reserved. Notice of Rights No part of this book may be reproduced or transmitted in any form or by any means, electronic, mechanical, photocopying, recording, or otherwise, without the prior written permission of the publisher. http://breakingintowallstreet.com http://www.mergersandinquisitions.com 2 Table of Contents Introduction .................................................................................................................. 4 Fit / Qualitative Questions ........................................................................................... 6 Analytical / Attention to Detail Questions & Suggested Answers ....................... 7 Background / Personal Questions & Suggested Answers ................................... 10 “Career Changer” Questions & Suggested Answers .......................................... 14 Commitment Questions & Suggested Answers................................................... 17 Culture Questions & Suggested Answers ............................................................ 20 “Future” Questions & Suggested Answers .......................................................... 23 Strengths / Weaknesses Questions & Suggested Answers ................................. 25 Team / Leadership Questions & Suggested...
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...1. INTRODUCTION 1. Rationale for Selecting the Report: Dairy sector of Bangladesh is playing an important role in Bangladesh Economy. Country is producing milk well under the requirement and most of the demands are being met from import of dry milk from the international market. This country needs 7.227 million ton milk calculating 120ml per head. Out of which we produced only 2.686 million ton and met up our requirement by importing 52 thousand ton milk power from abroad. Still we have deficit of 3.91 million ton milk. At present, daily per capita milk consumption is less than 60 ml. We are spending 10 billion Taka per annum for importing milk powder from abroad. The total milk market in Bangladesh is estimated around 21000mt worth $ 72m of which Dano holds 22% Market Share (MS), Diploma 18%MS, Anchor 12%MS, Red cow 8%MS, Nido 4%MS and others rest local players. FCMP market reaching maturity and price competition is also increasing. Due to no/little product differentiation brands becoming very price elastic. Global Trend-Consumers moving from generalized products to specialized products. Local Trend- Consumption of packed consumer goods going up. NZDP (New Zealand Product Bangladesh Ltd.) intents to enter the specialized product segment of milk market in Bangladesh. With the outbreak of stunning information that powder milk product specially growing up Milk product contain melamine; the global milk market has gained instability. Almost three children had died with the hazardous...
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...C228-Community Health Nursing-Task 1 Western Governors University Identification of Community Along the northern-end of Utah’s Wasatch Front is a scenic region of land known as Weber County. This county ranges from the peaks of the Wasatch Mountains into a portion of the Great Salt Lake of the lower valley. The Weber and Ogden rivers and their tributaries run through its valleys (Weber County, 2015). Weber County is the second smallest county in land mass and has the fourth largest population in the state. County population in 2012 was 236,000 (94% urban, 6% rural), comprised of the communities of Ogden, Farr West, Harrisville, Hooper, Huntsville, Marriot-Slaterville, North Ogden, Plain City, Pleasant View, Riverdale, Roy, South Ogden, Uintah, Washington Terrace and West Haven (Weber County, Utah, 2013). Ogden City is the largest of these cities with a population of 82,702 and is the county seat. (Ogden City Corp., 2013). Since 2000, Weber County has experienced a 14.4% population growth, demonstrating the appeal of Weber County. Forbes has ranked Ogden number 20 on its list of “America’s 20 Fastest Growing Cities” two years in a row (Weber e.d.p., 2013). Weber County embraces its diverse cultural and ethnic history. They annually host many cultural festivals such as the Greek Festival, the German HOF Winter Festival, Cinco de Mayo, Juneteenth Festival and the Harvest Moon Festival. In just thirty minutes Weber County residents can leave the exciting city life...
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...Powered by TCPDF (www.tcpdf.org) OLIN BUSINESS SCHOOL Summer 2015 Advanced Corporate Finance IIIFrontiers of Valuation B62 FIN 534C Professor Todd Milbourn B62 MGT 534C Advanced Corporate Finance III – Frontiers of Valuation Summer 2015 Professor Todd Milbourn The Olin Business School Table of Contents 1. Valmont Industries HBP Case # UVA-F-1191 ............................................................................... 1 2. Super Project HBP Case # 9-112-034 ........................................................................................... 21 3. Calaveras Vineyards HBP Case # UVA-F-1094 ........................................................................... 37 4. Paginas Amarelas HBP Case # UVA-F-1210 ............................................................................... 63 5. Using Crystal Ball HBP Case # UVA-QA-0561 .......................................................................... 89 6. Valuation in Emerging Markets HBP Case # UVA-F-1455 ......................................................... 95 7. Project Valuation in Emerging Markets HBP Case # 9-702-077 ............................................... 113 8. Valuing Companies in Corporate Restructurings HBP Case # 9-201-073 ................................. 131 UVA-F-1191 Rev. Feb. 1, 2011 VALMONT INDUSTRI V IES, INC. Forty years ago, we made our fi F m irst center p pivot irriga ation system It was m. es ssentially a long steel pipe...
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...“Making it Easier to Do it Right” A Full Business Plan presenting to you the latest fitness wearable technology, the Hercules, and accompanying mobile application, the Hercules Trainer Presented by & Company CEO Adeel Safdar “Hercules” CFO CPO CMO COO CTO CCO Making it Easier to Do it right Full Business Plan Company & Product Hercules & Co., led by CEO Adeel Safdar, presents the fitness wearable product, Hercules, and accompanying app Hercules Trainer. Confidentiality Agreement This agreement is to acknowledge that the information provided by Hercules & Co. in this business plan is unique to this business and strictly confidential. No information in this business plan can be disclosed without the express written permission of the CEO Adeel Safdar. Upon request, this document is to be immediately returned to Hercules & Co. Disclaimer Some of the statements contained in this Full Business Plan, including information incorporated by reference, discuss future expectations, or state other forward looking information. Those statements are subject to known and unknown risks, uncertainties and other factors, several of which are beyond the control of Hercules & Co., which could cause the actual results to differ materially from those contemplated by the statements. The forward looking information is based on various factors and was derived using numerous assumptions. In light of the risks, assumptions, and uncertainties involved, there can...
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...as u like it Orlando, the youngest son of the recently deceased Sir Rowland de Bois, describes his unfortunate state of affairs to Adam, Sir Rowland’s loyal former servant. Upon his father’s death, Orlando was bequeathed a mere 1,000crowns, a paltry sum for a young man of his social background. His only hope for advancement is if his brother, Oliver, honors their father’s wish and provides him with a decent education. Oliver, as the eldest son, inherited virtually everything in his father’s estate, yet he not only neglects this charge but actively disobeys it. Although he arranges for his other brother, Jaques, to attend school, Oliver refuses to allow Orlando any education whatsoever, leaving the young man to lament that his upbringing is little different from the treatment of a piece of livestock. Orlando has long borne this ill treatment, but he admits to Adam that he feels rising within himself a great resentment against his servile condition and vows that he will no longer endure it. Oliver enters, and the hostility between the brothers soon boils over into violence. Orlando claims that the system that allows the eldest son to inherit the bulk of a father’s estate does not reduce the ancestral blood in the other sons. Oliver, offended by his brother’s insolence, assails Orlando, while Orlando seizes Oliver by the throat. Adam tries to intervene, seeking peace in the name of their father, but the brothers do not heed him. Orlando, undoubtedly the stronger of the two, refuses...
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...04/26/2013 Healthcare Johnson & Johnson Ticker: JNJ Recommendation: Buy Company Current Price: $84.83 Implied Price: $93.03 Investment Thesis Key Statistics Logo 50-Day Moving Average Johnson & Johnson is one of America’s largest companies, and it has a massive assortment of consumer brand holdings which will provide it with consistent growth. The company is growing through acquisitions that allow them to capture more market share, particularly in markets outside the United States. 52 Week Price Range Johnson & Johnson is a stable company that has been increasing returns to shareholders through dividend increases and stock repurchases. 61.71-84.93 $80.44 Estimated Beta .55 Dividend Yield 3% Market Capitalization 3-Year Revenue CAGR 4.74% Five-Year Stock Chart 231.5B $90.00 120,000,000 $80.00 100,000,000 $70.00 Trading Statistics $60.00 Diluted Shares Outstanding 2.90 Billion 80,000,000 $50.00 60,000,000 Average Volume (3-Month) 9.87 Million $40.00 $30.00 Institutional Ownership 68.00% 40,000,000 $20.00 20,000,000 $10.00 Insider Ownership 0.03% $0.00 Apr-08 Oct-08 Apr-09 Oct-09 Apr-10 Oct-10 Apr-11 EV/EBITDA (LTM) 12.66 Volume Adjusted Close 0 Oct-11 50-Day Avg Apr-12 Oct-12 200-Day Avg Forecast Summary Margins and Ratios EBITDA Margin (LTM) 27.63% 03/31/2014E 06/30/2014E 09/30/2014E ...
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...Table of Contents Index to Financial Statements UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-K (Mark One) x ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2011 or ¨ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission File Number: 001-07434 Aflac Incorporated (Exact name of registrant as specified in its charter) Georgia (State or other jurisdiction of incorporation or organization) 58-1167100 (I.R.S. Employer Identification No.) 1932 Wynnton Road, Columbus, Georgia (Address of principal executive offices) 31999 (ZIP Code) Registrant’s telephone number, including area code: 706.323.3431 Securities registered pursuant to Section 12(b) of the Act: Title of each class Common Stock, $.10 Par Value Name of each exchange on which registered New York Stock Exchange Tokyo Stock Exchange Securities registered pursuant to Section 12(g) of the Act: Indicate by check mark if the registrant is a well-known seasoned issuer, as defined in Rule 405 of the Securities Act. Indicate by check mark if the registrant is not required to file reports pursuant to Section 13 or Section 15(d) of the Act. None Yes ¨ Yes ¨ No No Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities...
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...CHAPTER-I INTRODUCTION 1.1 MEANING OF WORKING CAPITAL “Working Capital is the Life-Blood and Controlling Nerve Center of a business” Working capital (abbreviated WC) is a financial metric which represents operating liquidity available to a business, organization or other entity, including governmental entity. Along with fixed assets such as plant and equipment, working capital is considered a part of operating capital. Net working capital is calculated as current assets minus current liabilities. It is a derivation of working capital that is commonly used in valuation techniques such as DCFs (Discounted cash flows). If current assets are less than current liabilities, an entity has a working capital deficiency, also called a working capital deficit. A company can be endowed with assets and profitability but short of liquidity if its assets cannot readily be converted into cash. Positive working capital is required to ensure that a firm is able to continue its operations and that it has sufficient funds to satisfy both maturing short-term debt and upcoming operational expenses. The management of working capital involves managing inventories, accounts receivable and payable, and cash. Current assets and current liabilities include three accounts which are of special importance. These accounts represent the areas of the business where managers have the most direct impact: Accounts receivable (current asset) Inventory (current assets), Accounts payable (current liability) ...
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