Part 1 I will discuss The Home Depot’s annual report, to include the consolidated statement of earnings, the balance sheet, and the statement of cash flows. I will discuss some details of each sheet, the importance of the contents, business decisions associated with each sheet, and the benefits gained from the information contained in the sheets. The Consolidated Statement of Earnings-- income statement-- tells the reader about the sales and expenses applied by The Home Deport during the most recent
Words: 1052 - Pages: 5
Case study: Value line publishing Zongchao Yang 701821448 According to the case, there are two major companies in the industry which are Home depot and Lowe’s. Home depot have a much larger market share than Lowe’s and the case has already presented the balance sheet and the ratio sheet of Home depot. So based on the Lowe’s balance sheet and the sheets of Home depot which are presented in the case. We can easily get all the ratios of Lowe’s. According to these ratios, we can find out that Lowe’s
Words: 433 - Pages: 2
of revenue, and net income. Managers practice income statement analysis to work out inefficiencies, and processes that are ineffective. Revenue, expenses, and net income are the major parts of the income statement. A financial statement user can view the Home Depot Statement of Earnings for the fiscal year ending February 1, 2009 for net sales is $71,288, which is down $6,061 from the previous year. The Cost of Sales for Home Depot is down from the previous year, from $51,352 to $47,298. The statement
Words: 1069 - Pages: 5
Home Depot Patsakorn Niruntasukrat Mahidol University International College Preparation Center for Language and Mathematics February 27, 2014 Home Depot Foundation's Sustainability Obama stated that “It is not a choice between our environment and our economy; it is a choice between prosperity and decline” (“Sustainable Development Strategies”, 2009). Sustainability means the balance of three things which are steady business, society and friendly environment. In other words, businesses
Words: 1929 - Pages: 8
previous analysis (question 3), we can assume that the drop in the stock price by 23% was due to the performance of the company during its fats expansion stage. In order to rise the market price, the company have to restore its performance by providing a good return on equity to its shareholder. To do it we have to first observe the ROE’s break down : ROE : Operating ROA + Spread x Net Leverage Because of the number of covenant which restrict the magnitude of the company future borrowing, Home depot
Words: 359 - Pages: 2
Question 1 Home Depot (“HD”)Strategy The home improvement industry was a large one with industry sales approximated at $80bn dollars in 1985 and had grown at a compounded annual growth of 14% over the last 15 years. HD’s strategy was to bring the warehouse retailing concept to the home center industry, a DIY concept in a warehouse which sold an array of building materials and home improvement products on a cash and carry basis. The company targeted individual homeowners and small contractors
Words: 2424 - Pages: 10
CONFORMING LETTER Home Depot Inc. Dear Home Depot Inc. Management, As a partner of KNAM LLC, it is my pleasure to present you with the results of our initial review. Included with these results is our assessment of Home Depot Inc.’s performance is our proposition of areas we’d like to review further to determine improvements, efficiency, functionality, and health of your organization. Background Your organization’s core service is in the DIY home improvement market.
Words: 8379 - Pages: 34
is best known for publishing The Value Line Investment Survey, a stock analysis newsletter that is updated weekly and kept by subscribers to the print edition in a large black or green binder. The company provides information via an online web page with both free and paid content. After analyzing the financial ratios in case Exhibit 7 for Home Depot these are the points I detected about the operating performance. Home Depot has an overall profitability given growth in the market compared to sales
Words: 666 - Pages: 3
Finba1. i. Home Depot’s mission statement is as follows: “The Home Depot is in the home improvement business and our goal is to provide the highest level of service, the broadest selection of products and the most competitive prices. We are a values-driven company and our eight core values include the following: Excellent customer service, Taking care of our people, Giving back, Doing the "right" thing, Creating shareholder value, Respect for all people, Entrepreneurial spirit, Building strong
Words: 3460 - Pages: 14
Growth in Sales: Home Depot had a nice track record of growth up until 1985, in which it implemented its most ambitious expansion plan to date. HD added 20 new stores in 8 new markets that fueled top-line sales growth of 62% from $432m in 1985 to $700m in ending 1985. 9 of the new stores were acquired in the purchase of Bowater. Growth in Total Assets: Growth in total assets was fueled by HD expansion plan in opening new markets. The purchase of Bowater's 9 locations in 1984 along with increase
Words: 1555 - Pages: 7
