# USING EXCEL with excel formulas, and should be formatted as shown in the assignment document

In reference to stocks; what is the difference between the market risk versus the stock-specific risk? Which of the two risks can be dealt via diversification?

In “addition ” discuss the current stock market and bond market environment due to  Fed Reserves’ plans with stimulus.

USING EXCEL with excel formulas, and should be formatted as shown in the assignment document
Assignment Learning Outcome: Fundamentals of Stocks Reference: Reading assignments, posted recorded lectures and research on Finance sites In your own words describe how each parameter is calculated and what does it mean for investing : 50 points Earnings per share (EPS) Market Cap PE ratio Price to book ratio PEG ratio PEGY ratio Large Cap versus small cap companies ( give couple if example of each , names of companies and current market cap) Which is more volatile, large cap or small cap stocks, explain why? Which has higher beta, a large value cap stock or growth stock? Provide example with company names and BETA for each) What does Beta measure? Which has higher BETA, large cap stock or growth stock? Provide examples; company names and Beta value. Use Income statement shown below and calculate : Current Market cap, PE ratio, Earnings per share, Dividend yield ,PEG ratio and PEGY ratio ( 30 points) Total Revenue 25,878,372   Cost of Revenue 18,521,400     Gross Profit 7,356,972       Operating Expenses   Research Development –     Selling General and Administrative 4,250,446     Non Recurring –     Others –         Total Operating Expenses –     Operating Income or Loss 3,106,526       Income from Continuing Operations   Total Other Income/Expenses Net –     Earnings Before Interest And Taxes 3,106,526     Interest Expense 29,175     Income Before Tax 3,077,351     Income Tax Expense 1,170,664     Minority Interest –         Net Income From Continuing Ops 1906687   Net Income 1,906,687   Current Outstanding shares   4,800,000 Expected Earnings growth %   12.00 % Dividend \$ per share   \$ 1.5 Current stock price   \$ 50 CALCULATE   Current Market Cap   ? Each ? is 5 points EPS   ? Dividend yield   ? PE ratio   ? PEG ratio   ? PEGY ratio ?