Financial Data Analysis for a sample 36 Companies “IBD"

1. SHENYANG AEROSPACE UNIVERSITY
Financial Data
Analysis for a
sample 36
Companies
“IBD”
Roni Bhowmik
Master’s Program
Department of Economics & Management
SHENYANG AEROSPACE UNIVERSITY
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2. SHENYANG AEROSPACE UNIVERSITY
TABLE OF CONTENTS
Title Page No.
Financial Data for a Sample of 36 Companies 05
Text Four Answer 06
EPS Rating Ten Method of Statistics 09
PE Ratio Ten Method of Statistics 14
Relative Price Strength Ten Method of Statistics 18
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3. SHENYANG AEROSPACE UNIVERSITY
IBD
FINANCIAL DATA FOR A SAMPLE OF 36 COMPANIES
Relative
EPS Price Relative PE
Company Rating Strength Strength Sales/Margins/ROE Ratio
McDermott 6 6 A C 7
Bowater PLC 14 46 C D 51
NYMAGIC 17 45 D D 15
Mattel 18 20 E D 29
AtmosEngy 21 9 C E 25
Goodyear 21 9 E D 19
York Intl. 28 14 D B 7
Reebok 31 72 C E 15
Callaway Golf 46 62 B E 20
Teco Energy 49 48 D B 12
Hanson PLC 57 32 B B 12
AlaskaAirGp 58 17 C B 6
Nordstrom 58 57 B C 21
Office Depot 58 40 B B 14
US West 60 65 B A 22
Praxair 62 32 C B 15
Wachovia 69 36 E B 14
Dole Food 70 54 E C 17
Elec. Data Sys 72 69 A B 36
Central Parking 76 18 B C 19
ICN Pharm. 76 56 A D 18
Payless Shoes 76 59 B B 12
Fed. Dept.
Stor. 79 21 D B 11
Jefferson plt 80 38 D C 16
Murphy Oil 80 62 B B 26
Texaco 80 31 D C 23
Advo 81 74 B A 14
Gateway 82 68 A A 42
Winnebago 83 49 D A 8
Alliant Tech 84 22 B B 10
Dean Foods 84 7 B C 9
Kroger 84 24 D A 17
Bnk of Am. 87 38 C A 11
Safeway 91 61 D A 24
Monaco 97 21 D A 8
United Rental 98 12 C A 9
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4. SHENYANG AEROSPACE UNIVERSITY
A. Prepare a Crosstabulation of the data on sales/Margins/ROE and Industry Group
Relative Strength.
B. Prepare a frequency distribution for the data on Sales/Margins/ROE.
C. Prepare a frequency distribution for the data on Industry Group Relative Strength.
D. How has the Crosstabulation helped in preparing the frequency distributions in parts
(b) and (c)
Answer:
A. Cross tabulation of the data on Sales/Margins/ROE and Industry Group Relative
Strength:
Industry
Group
Count of Relative
Company Strength
Grand
Sales/Margins/ROE A B C D E Total
A 1 2 2 4 9
B 1 5 2 3 1 12
C 1 3 2 1 7
D 1 1 1 2 5
E 1 2 3
Grand Total 4 11 7 10 4 36
B. Frequency distribution for the data on Sales/Margins/ROE:
Types Frequency of Sales/Margins/ROE
A 9
B 12
C 7
D 5
E 3
Total 36
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5. SHENYANG AEROSPACE UNIVERSITY
Frequency of Industry Group Relative Strength
4, 11% 4, 11%
A
B
10, 28% 11, 31% C
D
E
7, 19%
According to this graph, it shows that the Industry Group Relative Strength is most taken
place in the Bfrequency = 12, next A frequency = 9, next C frequency = 7, and last two D
frequency = 5 and E frequency = 3.
C. Frequency distribution for the data on Industry Group Relative Strength:
Types Frequency of Industry Group Relative Strength
A 4
B 11
C 7
D 10
E 4
Total 36
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6. SHENYANG AEROSPACE UNIVERSITY
Frequency of Sales/Margins/ROE
3, 8%
9, 25%
5, 14% A
B
C
D
7, 19%
E
12, 34%
According to this graph, it shows that the Industry Group Relative Strength is most taken
place in the Bfrequency = 11, next D frequency = 10, next C frequency = 7, and last two A
and E equal frequency = 4.
D. Crosstabulation is a tabular summary of data for two variables. The left and top
margin labels define the classes for the two variables. In the left margin, the row
labels count of company Sales/Margins/ROE (A, B, C, D, and E) correspond to five
classes of the quality rating variable. In the top margin, the column labels Industry
Group Relative Strength (A, B, C, D, and E) correspond to the five classes of variable.
The frequency can be made. Dividing the totals in the right margin of the
crosstabulation by the total for that column provides a relative and percent frequency
distribution for the quality rating variable. Crosstabulation can also be developed
when both variables qualitative and when both variables are quantitative.
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7. SHENYANG AEROSPACE UNIVERSITY
Other Answer:
EPS Rating
1. Frequency of EPS Rating:
Frequency of EPS Rating
0-19 A 4
20-39 B 4
40-59 C 6
60-79 D 9
80-99 E 13
Total 36
2. Coefficient of Variation for EPS Rating:
CV (Coefficient of Variation) = (Standard Deviation/Mean) x 100%
Mean = 63.62857143
Standard Deviation = 24.76725271
CV = (24.76725271/63.62857143)*100
= 38.92473484
= 0.389247%
Coefficient of Variation is 0.389247%.
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8. SHENYANG AEROSPACE UNIVERSITY
3. Histogram of EPS Rating Frequency:
Histogram of EPS Rating Frequency
13.0
14.0
12.0 9.0 0-19
10.0 20-39
6.0
8.0 40-59
4.0 4.0
6.0 60-79
4.0
80-99
2.0
0.0
1
4. Descriptive Data Analysis of EPS Rating:
EPS Rating
Mean 63.62857143
Standard Error 4.186429801
Median 72
Mode 58
Standard Deviation 24.76725271
Sample Variance 613.4168067
Kurtosis -0.548467705
Skewness -0.789267944
Range 84
Minimum 14
Maximum 98
Sum 2227
Count 35
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9. SHENYANG AEROSPACE UNIVERSITY
5. Ogive of EPS Rating:
Cumulative Frequency of EPS Rating
40
Cumulative Frequency
35
30
25
20 Cumulative Frequency
15
10
5
0
Less than or Less than or Less than or Less than or Less than or
equal to 19 equal to 39 equal to 59 equal to 79 equal to 99
EPS Rating
6. Cumulative Distribution of EPS Rating:
Cumulative
EPS Rating Cumulative Relatives Cumulative Percent
Frequency Frequency Frequency
Less than or equal to
19 4 0.111111111 11.11111111
Less than or equal to
39 8 0.222222222 22.22222222
Less than or equal to
59 14 0.388888889 38.88888889
Less than or equal to
79 23 0.638888889 63.88888889
Less than or equal to
99 36 1 100
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10. SHENYANG AEROSPACE UNIVERSITY
7. Scatter Diagram for Relationship between EPS Rating Vs Relative Price Strength:
Relationship between EPS Rating Vs Relative Price Strength
80
31 81
70 72 82
46 60
60 7680 91
EPS Rating
58 70 76
50 49 83
14
17
40 58 80 87 Relative Price Strength
69
30 57 62 80
20 18 7679 84
84 97
28 58
10 21 98
6 84
0
0 20 40 60 80 100 120
Relative Price Strength
8. Relationship between EPS Rating Vs PE Ratio:
Relationship between EPS Rating Vs PE Ratio
60
50 51
EPS Rating
40 42
36
30 29
25 26 24
2122 23
20 19 20
15 15 17 19 16 17
18
12 14 15
12 14 12 14
10 11 1011
9
7 7 6 8 89
0
0 20 40 60 80 100 120
PE Ratio
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11. SHENYANG AEROSPACE UNIVERSITY
9. PIE Chart of EPS Rating Frequency:
PIE Chart of EPS Rating
4, 11%
13, 36% 4, 11% 0-19 A
20-39 B
40-59 C
60-79 D
6, 17%
80-99 E
9, 25%
According to this graph, it shows that the EPS Rating is most taken place in the E frequency
= 13, next D frequency = 9, next C frequency = 6, and last two A and B equal frequency = 4.
10. Pyramid Diagram of Cumulative Percent Frequency in EPS Rating:
EPS Rating
100
80
60
Cumulative %
40
20 Series1
Series2
0
Less than Less than Less than Less than Less than
or equal to equal toor equal to equal toor equal to
or or
19 39 59 79 99
Cumulative Frequency
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12. SHENYANG AEROSPACE UNIVERSITY
PE Ratio
1. Frequency of PE Ratio:
Frequency of PE Ratio
0-9 A 7
10-19 B 18
20-29 C 8
30-39 D 1
40-49 E 1
50-59 F 1
Total 36
2. Coefficient of Variation for PE Ratio:
CV (Coefficient of Variation) = (Standard Deviation/Mean) x 100%
Mean = 17.91428571
Standard Deviation = 9.841004936
CV = (9.841004936/17.91428571)*100
= 54.93383937
= 0.5493383%
Coefficient of Variation is 0.5493383%.
3. Histogram of PE Ratio Frequency:
Histogram of PE Ratio Frequency
18.0
20.0
0-9
15.0 10-19
8.0 20-29
10.0 7.0
30-39
40-49
5.0 1.0 1.0 1.0
50-59
0.0
Frequency
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13. SHENYANG AEROSPACE UNIVERSITY
4. Descriptive Data Analysis of PE Ratio:
PE Ratio
Mean 17.91428571
Standard Error 1.663433439
Median 15
Mode 15
Standard Deviation 9.841004936
Sample Variance 96.84537815
Kurtosis 3.247222697
Skewness 1.650344302
Range 45
Minimum 6
Maximum 51
Sum 627
Count 35
5. OGIVE of PE Ratio:
Cumulative Frequency for PE Ratio
40
Cumulative Frequency
35
30
25
20 Cumulative Frequency
15
10
5
0
Less than Less than Less than Less than Less than Less than
or equal to or equal to or equal to or equal to or equal to or equal to
9 19 29 39 49 59
PE Ratio
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14. SHENYANG AEROSPACE UNIVERSITY
6. Cumulative Distribution of PE Ratio:
Cumulative
PE Ratio Cumulative Cumulative Percent
Frequency Relatives Frequency Frequency
Less than or equal to 9 7 0.194444444 19.44444444
Less than or equal to 19 25 0.694444444 69.44444444
Less than or equal to 29 33 0.916666667 91.66666667
Less than or equal to 39 34 0.944444444 94.44444444
Less than or equal to 49 35 0.972222222 97.22222222
Less than or equal to 59 36 1 100
7. Scatter Diagram for Relationship between PE RatioVs Relative Price Strength:
Relationship between PE Ratio Vs Relative Price Strength
60
50 51
40 42
36
30 29 PE Ratio
25 26
24
23 21 20 22
20 19 19 18
17 15 141614 15 17 1514
10 11 12 11 12 12
79 9 7
6 810 8
0
0 10 20 30 40 50 60 70 80
Relative Price Strength
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15. SHENYANG AEROSPACE UNIVERSITY
8. Relationship between PE RatioVsEPS Rating:
Relationship between PE Ratio Vs EPS Rating
60
50 51
EPS Rating
40 42
36
30 29
25 26 24
2122 23
20 19 20 19 17
15 15 17 18 16
12 14 15
12 14 12 14
10 11 1011
9
7 7 6 8 89
0
0 20 40 60 80 100 120
PE Ratio
9. PIE Chart of PE Ratio Frequency:
PIE Chart of PE Ratio Frequency
1.0, 1.0, 3%
1.0, 3% 3% 7.0, 19%
0-9
8.0, 22% 10-19
20-29
30-39
40-49
50-59
18.0, 50%
According to this graph, it shows that the PE Ratio is most taken place in the B frequency =
18, next C frequency = 8, next A frequency = 7, and last three D, E, and F equal frequency =
1.
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16. SHENYANG AEROSPACE UNIVERSITY
10. Pyramid Diagram of Cumulative Percent Frequency in PE Ratio:
PE Ratio
140
120
100
Cumulative % 80
60
40
20
0
Cumulative Percent Frequency
LessLessLessLessLessLess
than than than than than than Cumulative Frequency
or or or or or or
equalequalequalequalequal
equal
to 9to 19to 29to 39to 49 59
to
Cumulative Frequency
Relative Price Strength
1. Frequency of Relative Price Strength:
Frequency of Relative Price Strength
0-15 A 6
16-30 B 7
31-45 C 8
46-60 D 7
61-75 E 8
Total 36
2. Coefficient of Variation for Relative Price Strength:
CV (Coefficient of Variation) = (Standard Deviation/Mean) x 100%
Mean = 39.65714286
Standard Deviation = 20.69518679
CV = (20.69518679/39.65714286)*100
= 52.18526928
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17. SHENYANG AEROSPACE UNIVERSITY
= 0.52185269%
Coefficient of Variation is 0.52185269%
3. Histogram of Relative Price Strength Frequency:
Histogram of Relative Price Strength
8.0 8.0
7.0 7.0
8.0
6.0
0-15
6.0
16-30
4.0 31-45
46-60
2.0 61-75
0.0
Frequency
4. Descriptive Data Analysis of Relative Price Strength:
Relative Price Strength
Mean 39.65714286
Standard Error 3.498125034
Median 38
Mode 9
Standard Deviation 20.69518679
Sample Variance 428.2907563
Kurtosis -1.310285833
Skewness 0.029659114
Range 67
Minimum 7
Maximum 74
Sum 1388
Count 35
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18. SHENYANG AEROSPACE UNIVERSITY
5. OGIVE of Relative Price Strength:
Cumulative Frequency of Relative Price Strength
40
Cumulative Frequency
35
30
25
20 Cumulative Frequency
15
10
5
0
Less than or Less than or Less than or Less than or Less than or
equal to 15 equal to 30 equal to 45 equal to 60 equal to 75
Relative Price Strength
6. Cumulative Distribution of Relative Price Strength:
Relative Price Strength Cumulative Cumulative Cumulative
Frequency Relatives Frequency Percent Frequency
Less than or equal to 15 6 0.166666667 16.66666667
Less than or equal to 30 13 0.361111111 36.11111111
Less than or equal to 45 21 0.583333333 58.33333333
Less than or equal to 60 28 0.777777778 77.77777778
Less than or equal to 75 36 1 100
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19. SHENYANG AEROSPACE UNIVERSITY
7. Scatter Diagram for Relationship between Relative Price StrengthVs PE Ratio:
Relationship between Relative Price Strength Vs PE Ratio
60
50 51
40 42
36
30 29 PE Ratio
25 26
24
23 21 20 22
20 19 19 17 15 141614 15 1718 1514
10 11
10 12 11 12 12
79 9 7
6 8 8
0
0 10 20 30 40 50 60 70 80
Relative Price Strength
8. Relationship between Relative Price StrengthVsEPS Rating:
Relationship between Relative Price Strength Vs EPS Rating
80
Relative Price Strength
70
60
50
40
30
20
10
0
0 20 40 60 80 100 120
EPS Rating
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20. SHENYANG AEROSPACE UNIVERSITY
9. PIE Chart of Relative Price Strength Frequency:
PIE Chart of Relative Price Strength Frequency
8.0, 22% 6.0, 17%
0-15
16-30
31-45
7.0, 19% 46-60
7.0, 19% 61-75
8.0, 23%
According to this graph, it shows that the Relative Price Strength is most taken place in the
C, and E frequency = 8, next B, and D frequency = 7, and last A equal frequency = 6.
10. Pyramid Diagram of Cumulative Percent Frequency in Relative Price Strength:
Relative Price Strength
140
120
100
80
Cumulative %
60
40
20 Cumulative Percent Frequency
0
Less Less Less Less Less Cumulative Frequency
than orthan orthan orthan orthan or
equal to
equal to
equal to
equal to
equal to
15 30 45 60 75
Cumulative Frequency
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