Week 4: July 13, 2015

Doble

Review Audited Financials

Components:Letter to the ShareholdersBalance SheetIncome StatementCashflow StatementNotes

Annual Report & MorePublic Traded Companies:

Annual Reportwww.prars.comInvestor Relations

10K Report to the SEC (p. 104)Annual report without PR piece

Media PublicationsWall Street JournalEconomistForbes, etc.

Annual Report Three Key Elements:

1. Regulatory Requirements Letter to the shareholders signed by CEO/CFO

2. Public Relations Good and the bad Direction going – rectify problems

3. Management Discussion & Analysis Segment reporting

Divisions or line of business

Safe Harbor Provision pg. 92 Company does not provide guidance Only providing an future assessment

Independent AccountsProxy StatementAudit Process

Accounting procedures followedRole of the CPA firm – AuditorOpinion Letter

Unqualified OpinionQualified OpinionNo Opinion – Adverse OpinionFootnotes

Considerations360 Approach

CompetitorsSuppliersAnalyst ReportsCorporate WebsiteGlassdoor

http://www.glassdoor.com/index.htm

QuestionsHow many years of financial or statistically information is typically presented?What is the role of the CPA firm?How does a 10K vary from the Annual Report?What key components should the annual report contain?Why should we care about shareholder advocates?What is insider trading?

Due Diligence Project

1. Annual ReportDownload the company you are tracking annual reportThis is going to provide you with 2/3rds of the information you will be needed

2. Multiple Perspectives & OpinionsResearch and find three resources

Company Press ReleasesAnalyst ResearchGoogle web search