|BUSINESS ANALYSIS AND VALUATION | | | |DAVID WILLIAMS LTD | | | | | |BY ELDERLY FINANCIAL ANALYSTS | |FROM | | | |[pic] | | | | | | | |[pic] | | | |
STAND OF CONTENT MATERIAL
DAVID JONES AND THE SELLING INDUSTRY5
PRICE TAG INDUSTRY5
PROSPECTIVE CLIENT OF THE INDUSTRY6
CORPORATE APPROACH ANALYSIS7
POSSIBILITY OF THE COMPANY8
EVIDENCE OF INCOME MANAGEMENT9
TIME SERIES ANALYSIS11
Evaluating Functioning Management14
Analyzing Investment Management15
Evaluating Economical Management16
MIX SECTIONAL ANALYSIS18
PREDICTIONS AND VALUATIONS21
SEED MONEY TO SALES23
NET LONGTERM ASSETS TO SALES24
COST OF EQUITY27
COST OF DEBT27
David Jones is one of the leading department chain-stores in Australia, including more than 31 stores country wide. Moreover, David Jones is definitely the oldest department store in the world that may be still trading under the original brand. Throughout each of our efforts, we wish to find out if the company can easily operate very well and be prosperous in this fresh century, dealing with with current and emerging challenges and difficulties.
David Jones takes differentiation competitive strategy by selling many unique brands and products to customers with high purchasing power. The company has recently designed a new David Jones Grasp Card together with the expectation of high earnings development. Besides, 4 year store enlargement and retail outlet refurbishment strategy indicates that David Roberts confidence in the business prospect. However , David Jones needs to face weak sales due to economic recession, while the major rival Myer is taking better market share simply by targeting the lower income buyers.
Based on accounting analysis and financial evaluation have been performed in the record, we identified no distinctive evidence regarding earnings treatment despite several areas of mistrust.
David Jones has been out performing the full industry over years. Revenue kept increasing while expense of doing business kept declining as time passes. The company have been efficient in keeping most of the turnover ratios high. The sole concern could be the increasing debt level which may affect company's capital framework. High debt level may possibly affect the credit rating and raise doubts about you can actually ability to pay off debt as well.
Over the years, David Jones continues to be outperforming it is close...