Case 1: Compare The Annual Reports Of A Company With The Analyses In The Value Line.
Essay by 24 • December 26, 2010 • 436 Words (2 Pages) • 2,029 Views
Essay Preview: Case 1: Compare The Annual Reports Of A Company With The Analyses In The Value Line.
The company that I choose is Hewlett-Packard. The reason for this is because the last 2 years I am mostly interested in technology and computers. According to the company's profile from Value Line Hewlett-Packard provides computing and imaging solutions and services to consumers and businesses. Moreover, Hewlett-Packard operates in six segments. These are: imaging and printing, personal systems, enterprise storage and servers, software, HP services and other.
The last year computer technology has grown too fast. The technology used has changed so much. Everyday new products came in the market. HP according to the Value Line analyses and the company's analyses is having a very good year. The sales for personal computer rise. And also the demand for good printing rise with an increase in shipped units.
At first I looked at the balance sheet in the Value line analyses. From my knowledge in the economics I understand that HP the last year (2006) was very good. The stock price had increase from the price that it was in 2005. The sales also went up from 2005 in 2006 and there are continuing to increase until now.
After looking at the analyses in the Value Line I searched in the company's site to find their analyses. The information which I found was almost the same with very small differences. And this happened because in the site the info was more recent that the one in the Value Line. So I also understand that the company is doing very well. In order to understand that lets look at same numbers. The total assets of the company in the year 2006 was $81,981 (in million) and in the year 2005 was $77,317. Here very easy we see the increase in total assets.
Also another important information that the Value Line give us is the rates that they give to each company. The company's financial strength which means, according to the definition of the Value Line, who strong is financially the company according to the Value Line.
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