Financial Analysis

Answer to Question 1

We have chosen the Company of NIKE which is a listed company on New York Stock Exchange.

Brief Overview of the Company

NIKE designs, markets and develops apparel, footwear, accessory products and equipment. NIKE sports accessories and apparel cover categories like basketball, running and soccer. The company's equipment that is sold under the name of NIKE brand which includes socks, bags, eyes wear, electronic devices, sports ball, gloves, bats, protective equipment, jackets and other equipment which are developed for conducting sports activities. NIKE also offers different plastic products to different manufactures by its NIKE IHM, Inc. which is a subsidiary of NIKE and it sells its products to the retail accounts, from NIKE owned retail including the stores and the sales which is made on internet, and through the distributors who are independent and it licensees in more than 170 countries around the globe.

Financial Information

2011

Stock Price

74.55

EPS from Continuing Operations

4.73

EPS - Net Income - Diluted

4.73

Revenue per Share

52.45

Financial Information NIKE Co

Years

2011

2010

2009

Sales

24,128,000

20,862,000

19,014,000

Net Income

2,223,000

2,133,000

1,906,700

Total Assets

15,465,000

14,998,000

14,419,300

Total Liabilities

4,093,000

4,234,000

3,810,000

Total Owner's Equity

10,381,000

9,843,000

9,753,700

Answer to Question 2

The reason to choose this company is that its market share is quite large enough. The company is earning good profits since last several years. It is one of the biggest Sports Equipment and accessories companies, which operates in more than 170 countries all around the world.

The company has further growth opportunities and it can increase and expand its market share by doing more efforts. It is the company which is maximizing the shareholder's equity and this is the mission of the company to increase the share holder's wealth in order to provide them with capital gains and offer good share dividend.

Answer to Question 3

This is not a private limited company but if it was a private limited company. Based on the financials that are getting stronger day by day. It can expand ...