Sign Up Now
Get instant access to over 1 million+ study documents
OR
Already registered? click here to login
By creating your account, you agree to our terms of service, privacy policy and student honor code.
¶ … Publicly
FINANCIAL ANALYSIS OF DELL AND APPLE
Current asset ratio
Dell has 1.48 current ratio in 2011 as compared to previous year (1.28) their short-term financial position has improved, which shows that dell is in position to meet its short-term liabilities without any difficulty. On the other hand, apple short-term financial position has fallen from 1.6 to 1.5 but it is still in a position to meet its short-term financial position.
Inventory turnover ratio
Dell has a slow rate to covert its stock into sales (8.25) as compared to Apple, which has a rate of approximately 26.25. Therefore, dell has more funds locked in stocks.
Days sales in inventory
Dell takes fewer days to convert its stock into sales in 2011 as compare to apple it shows that its management is more efficient in handling inventory.
Receivable turnover ratio
Apple has slightly better in receiving amount from its debtor as it has rate of 10.37 as compared to dell, which has rate of 1o.this shows that Apple management is slightly better in handling its debtors in 2011.
Average collection period
Apple provides more days to its debtors (85 days) as compare to dell, which provides 38 days to its debtors in 2011.
Debt to asset ratio
Dell has charge on its assets...
It shows that dell is more concerned in fulfilling its cost and charges fewer prices.
Profit margin
Dell after meeting its admin and selling expenses retains only 2.70% while apple makes 28.20% profit, which shows that apple charges high price.
Return on total assets
Dell makes less profit on assets, which may indicate two things. First is that management less efficient in handling its assets other is as their profit margin is less so that shows less intention of their in making profit. However, apple makes huge return on its assets that is around 30% in 2011 which may indicate that they are efficient in handling its assets in 2011.
Return on equity
Dell has return on equity 25.4%, which is, less than apple (46.83) it shows that investors will be more interested in apple as compared to dell in 2011
Assets turnover ratio
Dell has less efficient management as it has assets turnover ratio of 0-63 as compare to Apple, which has ratio of 1.15.it shows that dell makes less use of its assets in making sales as compare to apple in 2011.
FINANCIAL ANALYSIS OF…
Bibliography coca cola company. (2011, january). Retrieved from financial statements-balance sheet-msn money: http://investing.money.msn.com/investments/stock-balance-sheet?symbol=KO
Dell. (2011). Fiscal Year 2011in Review. Dell.
FORBES.COM. (2011). Retrieved from pep-PEPSICOINCBalance sheet-FORBES.COM: http://finapps.forbes.com/finapps/jsp/finance/compinfo/FinancialIndustrial.jsp?tkr=pep&period=qtr msn money. (2011). Apple Inc. Retrieved from msn money: http://investing.money.msn.com/investments/stock-balance-sheet?symbol=AAPL
Apple Inc. Investment Analysis and Recommendations Apple Inc. is an American multinational company specializing in designing and producing mobile telecommunication devices that include iPhone, computer software and hardware, Apple TV, Apple Watch, iPod, and other electronic devices. Apple was incorporated and publicly registered in 1977. Headquartered in California, Apple is one of the most successful American companies in term of revenue with the annual revenue reaching $233.7 billion at the end
Their focus on software and hardware allowed their company to continue its growth trend. Furthermore, Apple re-designed its computers to focus on making them as easy and as friendly to use as possible. Since, in the 1990s, many individuals were using computers for the first time due to the increased use of the Internet, this "friendly" focus helped them to sell their computers and gain footing in the market. According
Apple: Ratio and SWOT Analysis Financial Trend Comparison Ratio Category: Liquidity Ratios In basic terms, liquidity ratios demonstrate a company's ability to settle its obligations (short-term) if and when they fall due. To begin with, from the computations, it is clear that Apple's current ratio has consistently been less than the industry average. Hence for short-term creditors, this could be an issue of concern as the trend increases their risk. Further, a look
There is a risk, however, that the company begins to lag the pace of technological change, and in such a situation would see reduced relevance in its industries. What the PEST analysis shows is that in general the external environmental forces have either a favorable or neutral impact on Apple's operations. Traditional sources of external risk (political/legal) are minimal and the other key risk source (technological change) has traditionally
Apple Strategy Apple: An Application of the Strategic Management Model Current Situation Apple Computer still has a small market share in the computer sector compared to some other PC manufacturers as of 2006, particularly Dell and Hewlett-Packard, however its share is growing and its profitability is quite high thanks to huge shares in the mp3-player market and in other technologies (Case Study, nd.). The company's vision and strategy of innovation and almost rabid
Behavioral Finance and Human Interaction a Study of the Decision-Making Processes Impacting Financial Markets Understanding the Stock Market Contrasting Financial Theories Flaws of the Efficient Market Hypothesis Financial Bubbles and Chaos The stock market's dominant theory, the efficient market hypothesis (EMH) has been greatly criticized recently for its failure to account for human errors, heuristic bias, use of misinformation, psychological tendencies, in determining future expected performance and obtainable profits. Existing evidence indicates that past confidence in the