1. Construct an evaluation of the Philips Healthcare capital structure and financial risk. a. Compare the company’s capital structure (use of debt and equity) relative to its main competitors....

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1. Construct an evaluation of the Philips Healthcare capital structure and financial risk.  a. Compare the company’s capital structure (use of debt and equity) relative to its main competitors. Discuss any advantages or disadvantages such a structure might afford the company. b. Discuss the characteristics of the company’s common stock, as well as any preferred stock or bonds. These characteristics could include the recent market performance of these financial instruments, differing classes of stock or special bond features, along with any public information about dividend history or policy. c. Locate the company’s beta from a reputable financial news source, such as Yahoo Finance or Morningstar. Discuss the implications for the company of this beta and evaluate it relative to the larger industry or the company’s main competitor. d. Locate or calculate the company’s weighted average cost of capital based on the information you have uncovered. A good source for this information is ValuePro. Discuss how this weighted average cost of capital would serve as a competitive advantage or disadvantage for the company. e. Identify areas of financial risk facing the company based on your analysis. 2. You should consult at least the latest three full years of the company’s financial reports in order to prepare your analysis. These financial reports should be attached as an appendix to the completed paper.
Answered 2 days AfterMar 27, 2023

Answer To: 1. Construct an evaluation of the Philips Healthcare capital structure and financial risk. a....

Mayuri answered on Mar 30 2023
42 Votes
Sheet1
    Date    PHG        ISRG        S&P 500                beta phg    beta isrg
    1-Jan-20    45.779999        186.593338        3,278.20            total for 3 year    38.70591541870540
0%    61.77%        1.54
    31-Jan-20    42.900002    -6.29%    177.986664    -4.61%    3,277.31    -0.03%        1st    42.89%    64.10%    -0.03%    1.55    -0.0649754201
    29-Feb-20    40.16    -6.39%    165.070007    -7.26%    2,652.39    -19.07%        2nd    -127.23%    226.15%    -21.16%    1.27    -0.0660003972
    31-Mar-20    43.91    9.34%    170.293335    3.16%    2,761.98    4.13%        3 rd    45.83%    3.95%    4.05%    0.11    0.0892706092
    30-Apr-20    45.459999    3.53%    193.343338    13.54%    2,919.61    5.71%                    5.55%    0.09    0.0346907119
    31-May-20    46.84    3.04%    189.943329    -1.76%    3,104.66    6.34%                    6.15%    0.14    0.0299047423
    30-Jun-20    51.75    10.48%    228.479996    20.29%    3,207.62    3.32%                    3.26%    0.16    0.0996868934
    31-Jul-20    47.490002    -8.23%    243.613327    6.62%    3,391.71    5.74%        Ern monthly    0.53%        5.58%    0.09    -0.0859052275
    31-Aug-20    47.150002    -0.72%    236.513336    -2.91%    3,365.52    -0.77%        ern yearly    6.49%        -0.78%    0.11    -0.0071851532
    30-Sep-20    46.5    -1.38%    222.360001    -5.98%    3,418.70    1.58%        ern monthly    -2.73%        1.57%    0.1    -0.0138817389
    31-Oct-20    51.52    10.80%    242.016663    8.84%    3,548.99    3.81%        ern yearly    -0.2828203678        3.74%    0.09    0.1025177692
    30-Nov-20    54.169998    5.14%    272.700012    12.68%    3,695.31    4.12%        market risk preimum    -1.1552528002        4.04%    0.08    0.050157131
    31-Dec-20    54.290001    0.22%    249.213333    -8.61%    3,793.75    2.66%        tax rate...
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