Assignment 1 Financial Analysis

FINANCIAL RESEARCH REPORT – APPLE INC. 2 INTRODUCTION As a financial manager, it is my job to research investments for my client align with its investment goals. For this client I am researching a U.S, publicly traded company that fits my clients profile and is inline with my recommended investment strategy. I have to provide a rationale for the company I select and support my recommendation with an analysis of the company’s financial statements. Based on my financial review I have to consider my clients risk level and work to mitigate them. The U.S. publicly traded company I chose for my client to invest in is Apple Inc. COMPANY BACKGROUND Apple Inc. (AAPL) is a California corporation founded by Steve Jobs, Steve Wozniak, and Ronald Wayne in 1976 to develop and sell personal computers and incorporated as Apple Computer, Inc., in 1977. For more than 30 years, the company manufactured personal computers but sales were rocky in the early 1990s. In 2001, Apple introduced a new product to the market the Apple iPod music player and in 2003, Apple launched iTunes Music Store. Apple quickly became a leader in the electronics and media industries and in 2007, Apple and was renamed as Apple Inc. to reflect its focus towards other products. Today, Apple Inc. manufactures, designs, and markets media and mobile communication devices, personal computers, and portable digital music players, and sells a variety of related services, software, accessories, networking solutions, third-party digital content and applications. Apple Inc. products and services include iPhone, iPad, Mac, iPod, Apple TV, a portfolio of consumer and professional software applications, the iOS and OS X operating systems, iCloud, and a variety of accessory, service and support offerings. Apple Inc. It also sells and delivers digital content and applications through the iTunes

2 No. of Common Shares Outstanding 1,583,714,334 Industry Consumer Goods Country Japan Toyota Motor Corporation  is reflected to be a chief automaker headquartered in Japan. The human resources vertical employed 317,734 people and was the principal automobile producer by production. Founded in 1937, the automaker has developed and exist in all countries of the world. The Toyota motor corporation group is measured to be one of the most prevalent corporations in the world. A. Provide a rationale for the U.S. publicly traded company that you selected, indicating the significant factors driving your decision as a financial manager. Some financial highlights of the company which satisfactorily incline towards investing in this company: 1. The third quarter result of the financial results of the firm showed that on a consolidated basis,  a. net revenues for the period is total 19.12 trillion yen, an increase of 17.8 percent compared to the same period last fiscal year.  b. Operating income increased from 818.5 billion yen to 1.85 trillion yen, c. Income before income taxes was 2.02 trillion yen.  d. Net income increased from 648.1 billion yen to 1.52 trillion yen


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