Can anyone, any expert in financial accounting or whatsoever help me out here?
i'm working on an annual report project on Best Buy, i have to talk about Best Buy's problems (financially or whatsoever) and how they can improve on it (recommendations).
Their problems can be on anything but this project is for my accounting financial analysis so i think i'd like information on that direction.
here is the link: http://library.corporate-ir.net/library/83/831/831...
Please, Please take a look at the web and gimme some directions on
where i can find their problems/difficulty they face on their financial report? is this under "RISK FACTORS" on PG 13/119? or or is it somewhere else? or should i look it up somewhere else?? if so, where can i find it?? PLEASE HELP!! THANKS!
Answers & Comments
Verified answer
You need to first read through their consecutive 10K/10Qs from sec.gov (Don't just get their annual report). Combination of 10K and 10Q r not only more in depth but you can also see the trends of the company by reading them chronologically.
Next if you are in an MBA program, your b-school might have subscription to Thomson StreetEvents which includes transcripts to other company events that are related to financial disclosure (such as analyst day). Check with your librarian/instructor.
Risk factors are not so great if you want to talk about financial problems since they are outa there as part of the disclosure, and everybody (all the analyst) should know this very well by now. They are long standing truisms about this company, but in financial reporting/analysis you'd really want to look for CHANGE that impacts the company.
A few suggestions on what you can look at:
1. situation of competitors (are they winning market share away from Best Buy)? Comps with investors (for some metrics that can used in comp see #4)
2. Same store sales (and trends) - if you can get this, a key metric for retail stores
3. Executive compensation (too much?) and related: recent management changes
4. More conventional metric stuff: debt- to- equity ratio, earnings, margins (both gross and net, expansion or contraction over time?), sales, ROIC (return on invested capital), ROA (return on asset) and the growth figure of these (trending up? trending down? no growth?), sales/earning per unit area,
5. extraordinaries: sold off any unit? investment thwarted in particular area/country? etc.