Scribd Logo
Încărcați

Bine ați venit la Scribd!

  • Amazonfinancialstatementanalysis Ashleyknudson

    Încărcat de

    api-260629653
    26 vizualizări3 pagini
    Amazon's ability to pay current liabilities looks to be in question. Gross profit margin for 2012 is 24%, this percentage demonstrates the incoming financials. Amazon's debt to total asset ratio for 2012 is at a 75%. This number was 69% in 2011 indicating that the company continues to finance and incur debt.

    Descriere originală:

    Titlu original

    amazonfinancialstatementanalysis ashleyknudson

    Drepturi de autor

    © © All Rights Reserved

    Formate disponibile

    PDF, TXT sau citiți online pe Scribd

    Vi se pare util acest document?

    Este necorespunzător acest conținut?

    Raportați acest document
    Amazon's ability to pay current liabilities looks to be in question. Gross profit margin for 2012 is 24%, this percentage demonstrates the incoming financials. Amazon's debt to total asset ratio for 2012 is at a 75%. This number was 69% in 2011 indicating that the company continues to finance and incur debt.

    Drepturi de autor:

    © All Rights Reserved
    Descărcați ca PDF, TXT sau citiți online pe Scribd
    Indicator pentru conținut neadecvat
    26 vizualizări3 pagini

    Amazonfinancialstatementanalysis Ashleyknudson

    Încărcat de

    api-260629653
    Amazon's ability to pay current liabilities looks to be in question. Gross profit margin for 2012 is 24%, this percentage demonstrates the incoming financials. Amazon's debt to total asset ratio for 2012 is at a 75%. This number was 69% in 2011 indicating that the company continues to finance and incur debt.

    Drepturi de autor:

    © All Rights Reserved
    Descărcați ca PDF, TXT sau citiți online pe Scribd
    Indicator pentru conținut neadecvat
    din 3

    AshleyKnudson

    AmazonFinancialStatementAnalysis

    ThefollowinginformationisananalysisofAmazonsfinancialstatementsfrom2011
    and2012.Differentratioshavebeenincorporatedtodisplaythegainsandlossesfromyearto
    year.Theanalysiswillcovertopicsfrommerchandiseinventorytoearningspershareand
    profitability.Thecompanysabilitytopaylongtermdebtsandcurrentliabilitieswillbe
    examinedinthefollowinginformation.
    Amazonsabilitytopaycurrentliabilitieslookstobeinquestionastherearemorethana
    fewnegativeincomingnumbersontheirconsolidatedstatementofoperations.Currentlywith
    Amazonsearningspersharedownby.09theyareinthenegativeforthisinvestment.Their
    largestpurchasesandoutgoingcashflowobtainsproperty,equipmentandinternalusesoftware
    andwebsitedevelopment.Amazonsgrossprofitmarginfor2012is24%,thispercentage
    demonstratestheincomingfinancialstopaycurrentliabilities.Also,agreatindicatorof
    Amazonsabilitytopayitsliabilitiesistheircurrentratioof1.12.Theaveragegoodcurrent
    ratiois1.5,leavingAmazoninanaveragepositiontopaybackcurrentliabilities.Thecurrent
    ratiodecreasedfromits2011positionof1.17.
    Reviewingthecompanysabilitytosellmerchandiseinventoryandcollectreceivables
    canbeevaluatedbyinventoryturnoveranddayssalesinreceivables.For2012dayssalesin
    receivablesis17.7andtheinventoryturnoveris8.3.Dayssalesinreceivableshasgoneupsince
    thepreviousyearwhiletheturnoverhasgonedown.Theircostsofgoodssolddividedbythe

    inventoryisasolidratioforsellingmerchandiseinventory.Havingtheinventoryonhandand
    havingthehighturnoverratedemonstratestheliquidityoftheturnover.
    WhenlookingatAmazonsdebttototalassetratiofor2012itisata75%.With75%of
    thecompany'sdebtbeingfinanced,alltheydoispaybacklongtermdebt.Thisnumberwas69%
    in2011indicatingthatthecompanycontinuestofinanceandincuredebt.However,thecompany
    isviewedtodayasgoingconcernbyanyfinancialoraverageperson.Theacidtestisfairlylower
    thanthecurrentratio,thismeanscurrentassetsarehighlydependentoninventory.IfAmazon
    hasinventoryithasliquidcash,thushavingtheabilitytopayoffdebt.Theabilitytopayoff
    currentliabilitiesisstrongerthantheabilitytopayoflongtermdebt.
    LookingatAmazonsprofitabilityisableakspotonthecompanysshiningname.In
    2012Amazonshowsitsprofitratiosittingat0.06%.Therateofreturnforstockholdersin2012
    issittinginthenegativeaswellat0.49%.Theselownumbershangingoutinthenegativesdo
    notlookpositiveforAmazonsprofitability.Thiscouldleadhandinhandwiththeinventory
    beingtheonlyliquidassetAmazonpossesses.
    WhenevaluatingAmazonsstockasaninvestmenttheirreportsstillshowalineof
    numbersinthenegative.Rateofreturnwas8.63%in2011anddroppedto0.49%in2012.This
    isaseriousdeclineforinvestorstoseewhenlookingatinvestmentoptions.Therearebetter
    numbersonthemarketfortheirinvestmentstogointo.
    AfteranalyzingAmazonsconsolidatedstatementofoperationsfrom2011to2012the
    reportcomesouttoannouncethatthecompanyisnotthebestinvestmentonthemarket.The
    onlinesalesgiantisrunningjustfinebutitsnumbersaresomethingtobewearyof.Thenotso
    bad,butbelowaverageratio,istheonlythingthecompanyhasreallygoingforthem.Theissue

    thatariseswhentheirstocksandothernumbersareinthenegativeisveryconcerning.Another
    concernforthecompanyisthegoodnumbersslowlygoingdowneachyearaswell.Amazons
    liquidityislowandsoistheirearningspershare.Thegiantmaybeabeamingonlinesensation
    thatImyselfusedaily,however,thesereportsarenotsomethingtohangonthecompanybulletin
    board.

    S-ar putea să vă placă și