1. Submit a hard copy to the instructor by the due date.
2. Email the presentation to firstname.lastname@example.org for posting on the web site.
3. Dress for the presentation is business professional.
4. Presentation should be a maximum of 15 minutes (plus Q&A).
5. Grades will be based on the team performance.
a. It is OK if some team members do not speak during the presentation.
b. Let me know if a team member is not doing his/her part to help the team.
What is the size of the sector? As a percent of the S&P 500?
What are the various industries within the sector?
What are the largest companies in the sector?
How has your sector performed year-to-date/quarter-to-date?
Analyze demand by reviewing
Phase of the life cycle
Classification by business cycle
How will your projections be influenced by the US economy? Foreign economies?
The user and geography
Analyze supply by reviewing
New capacity additions
Profitability and pricing by reviewing
The interaction of supply and demand
Ease of entry
Strength of customers, suppliers
Regression analysis is often useful for sectors/stocks that are highly correlated to a particular economic (or other) data statistics. For example, oil prices and Energy stock prices are highly correlated.
What are the sales and earnings growth rates of the sector, industry, major companies? How do these rates compare to history?
What are margins? Operating? Net? R&D as a percent of sales? ROE? Turnover? Etc.
How do current and future margins compare to the past?
Is the sector a net user of cash or does it generate free cash flow?
Are margins expanding, contracting, or remaining the same? Versus the market