.Analyze and then discuss the company in terms of its historical market performance, liquidity, efficiency, profitability, leverage and growth, using these ratios.

1)You are a summer analyst at FIN 320 Capital Management. Your Managing Director, Ed Hutton, CFA has asked you to do an analysis of Home Depot (NYSE: HD)of the current day. He explains that the firms investment committee is thinking of adding HD to its portfolio.

You have download the past five years of data from Capital IQ into an Excel spreadsheet.

Hutton wants you to do the following. You should write up a 2-page email with your discussion, including any appropriate charts and graphs (embedded in the word doc) in the e-mail (word document), and also attach a 3-tab Excel spreadsheet. You know that how well you do on this assignment will be a big factor in whether you are offered a full-time position after the internship ends, so make sure you carefully proofread it before submitting it to Hutton.

a.Prepare a five-year common size Income Statement and Balance sheet in Excel. In the Balance Sheet, analyze against both Total Assets and Total Revenues. Graph Total Revenue, EBITDA, Net Income, and Total Assets.
b.Conduct a ratio analysis, using the table 4.6 ratios, and the most recent stock price. Graph ROA, ROE, Debt-Equity ratio, and Days Sales in Inventory
c.Analyze and then discuss the company in terms of its historical market performance, liquidity, efficiency, profitability, leverage and growth, using these ratios.
d.Overall, how well do you think the company has been managed in the past five years?
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