Company: SIRIUS XMSubmit a document (Word) that provides a narrative analysis of the results of...

Question

Company: SIRIUS XMSubmit a document (Word) that provides a narrative analysis of the results of their ratio calculations in their own words, not copied from annual reports.Narratives should include:	at least one ratio from each category (liquidity, asset management, debt management, profitability, and market value)	a comparison of the results of the two fiscal years for the ratios chosen (i.e., increase, decrease, ideas as to why this might have occurred)	a comparison to the industry average for the ratios chosen (i.e., how the company compares to the industry and what this means for the company)	What risk is the company facing? Is this true for the entire industry? How can the company mitigate this risk? What is the industry Beta and the company's Beta?	Recommendations for individuals who may be considering investing in the chosen company	Given the model of valuation is the company priced fairly? What recommendations would you make to increase the value of the company (be thorough make specific recommendations tied back to the company's stated financial goals).	Assume that you were given an early inheritance of $50,000 and on January 2, 2017, you used the money to invest in your chosen company's stock. You held the company's stock during 2017, selling all of your shares on December 31, 2017. Answer the following:						How many shares did you purchase on January 2, 2017?			What was the initial purchase price per share of stock?			Did you earn any dividends during 2017? Cash or stock? What was the value of your dividends? Would you have received a stock-split or been part of a repurchase program?						At what price per share did you sell your stock at on December 31, 2017?			Did you make any money on your investment? If so, how much? If not, how much did you lose?			Previous Module:	Chapter 13 | Distribution of Retained Earnings" aria-describedby="msf1-previous-desc" style="color: rgb(45, 59, 69); background: rgb(245, 245, 245); border: 1px solid rgb(199, 205, 209); border-radius: 3px; transition: background-color 0.2s ease-in-out 0s; display: inline-block; position: relative; padding: 8px 14px; margin-bottom: 0px; font-size: 1rem; line-height: 20px; text-align: center; vertical-align: middle; cursor: pointer; overflow: hidden; text-shadow: none; user-select: none; float: left;">PreviousNext Module:UNIT 6 | CHAPTERS 14 - 15 | WORKING CAPITAL MANAGEMENT" style="float: right;">Next

Akash · Accepted Answer

Running Head: CORPORATE FINANCE		1
CORPORATE FINANCE		6
CORPORATE FINANCE
1.
The current ratio of the company SIRIUS XM for the year ended 2018, is been 0.17%. In asset management ratio the fixed assets turnover ratio for the company is 0.030 %. The debt management ratio of the company is 0.616%. The return on investment in the profitability ratio of SIRIUS XM is 7.25%. On the other hand, the market value of the company is $32400000. (SIRIUS XM RADIO INC., 2018)
2.
In the year 2017, the current ratio of the company SIRIUM XM is 0.16% and in the fiscal year 2018, the current ratio has been 0.17%, which has been increased by 0.01% from that of the previous financial year. In spite of the increment, the current ratio is lower than that of the favorable ratio, which is 2.0%. The fixed assets turnover ratio of the company for the fiscal year ended 2017 is 0.030%, which is similar to that of fiscal year 2018. According to Drake (2015), if fixed asset turnover ratio is high, than such an organization is operating beyond its capacity. 
Additionally, such organization shall be required to make increment in its sales or its base of the fixed assets. Debt management ratio of SIRIUS XM in the fiscal year 2017 is .66%, but for the year 2018 the ratio has been decreased to 0.616, which shows that the debt has been increased, form that of assets of the company. The return on investment of the company for the fiscal year 2017 is 4.3%, which has been got increased in the year 2018. If we see the market value of the company for fiscal year 2017, it is been $30150000, which had been increased to $32400000 in the fiscal year 2018 (SIRIUS XM RADIO INC., 2018). 
3.
The company has shown satisfactory performance in the past few years. The performance of the company has been better than the industry for the past few years. The bottom line of the company has increased by 81% in spite of an increase of 6% in the total revenue. In addition to that, the company has performed better than its competitors in advertising and music royalty sector have. According to the views of Fays, Lambert and Papageorgiou (2018), the performance of the company seems to be improving and the same can be observed in the stock price of the company.
The top line of the company has improved better in comparison to its peers and this is a good symbol for the company.

Company: SIRIUS XM Submit a document (Word) that provides a narrative analysis of the results of their ratio calculations in their own words, not copied from annual reports. Narratives should include:...

Answer To: Company: SIRIUS XM Submit a document (Word) that provides a narrative analysis of the results of...

Answer To This Question Is Available To Download

Related Questions & Answers

Submit New Assignment