Similarities and differences you observe within industries

Assignment Help Financial Management

Reference no: EM13930001

Using the Yahoo Finance site or other site with stock information, choose six firms: two each from three different industries. Gather the following information for each stock: 1) beta for each of these firms; and 2) the total return for the previous year for each firm. Also find the return on the S&P Index for the same time period.

Given the information you have obstained, discuss the differences you observe. How do the betas and returns compare? What are the similarities and differences you observe within industries? How would you explain your results in term of the following concepts:

1. Total Risk

2. Systematic Risk

3. Idiosyncratic Risk

Reference no: EM13930001

Questions Cloud

When checks written during the month were compared : When checks written during the month were compared with those paid by the bank, three checks amounting to $5,030 were found to be outstanding.

The woofwoof store specializes in food products : The WoofWoof Store specializes in food products for dogs and other household pets. In developing a new puppy food, company nutritionists have specified that the mixture must contain at least 16% protein, 13% fat, 12% vitamin, and no more than 15% fib..

The bookkeeper recorded a check written : The bookkeeper recorded a check written for $230 to pay for the May utilities expense as $430 in the cash disbursements journal.

System administrator for all valid input parameters : Prompt the system administrator for all valid input parameters.Ask if a wall needs to be sent, and if yes, send the message.

Similarities and differences you observe within industries : Using the Yahoo Finance site or other site with stock information, choose six firms: two each from three different industries. Gather the following information for each stock: 1) beta for each of these firms; and 2) the total return for the previous ..

Higher gross profit figure : Provides the higher Gross Profit figure. Provides the most information for control purposes,

Two mutually exclusive design projects : The Sloan Corporation is trying to choose between the following two mutually exclusive design projects: Year Cash Flow (I) Cash Flow (II) If the required return is 12 percent, what is the profitability index for both projects?

Corporate strategy that fixes its annual dividend : Brash Corporation initiated a new corporate strategy that fixes its annual dividend at $2.25 per share forever. If the risk-free rate is 4.5% and the risk premium on Brash’s stock is 10.8%, what is the value of Brash's stock?

What is the value of stackers stock : Stacker Weight Loss currently pays an annual year-end dividend of $1.20 per share. It plans to increase this dividend by 5% next year and maintain it at the new level for the foreseeable future. If the required return on this firm's stock is 8%, what..

User Account

All Pages