Equity Research Analyst Intern

Task Objective: This assignment aims to develop your ability to independently gather and analyze essential financial data and background information of a chosen public company. You will research the company’s financial statements, corporate structure, historical performance, and key market indicators using publicly available sources. The objective is to build a solid foundational analysis that will support further research tasks in subsequent weeks.

Expected Deliverables: A comprehensive report submitted as a file (PDF or Word) containing the company profile, financial statements summary, data analysis, and a detailed background review. Your report should include visual aids such as tables and charts that highlight trends or key financial ratios.

Key Steps to Complete the Task:

• Select a public company from any major industry ensuring availability of sufficient financial data.
• Research and compile information on the company’s history, business model, and major financial highlights from recent annual and quarterly reports.
• Collect and summarize key financial data such as revenue, profit margins, balance sheet ratios, and market capitalization.
• Create visual summaries (charts/graphs) to illustrate financial trends over the past 3-5 years.
• Write an analytical commentary that not only describes the numbers but also interprets the implications for the company’s market position.

Evaluation Criteria: Your submission will be evaluated on thoroughness of research, accuracy of data extraction, quality of analysis, clarity of written narrative, proper use of visuals, and overall presentation. Expect to invest approximately 30-35 hours to complete this assignment as you refine your research and reporting skills.

Task Objective: This assignment focuses on the market and industry context in which your chosen company operates. You are required to investigate the macroeconomic factors, industry-specific trends, and competitive dynamics that influence the company’s performance. The goal is to understand how external factors and competitors’ actions impact the company’s long-term strategy and performance.

Expected Deliverables: A detailed report file (PDF or Word) that outlines the industry analysis, market trends, competitive landscape assessment, and external risk factors. Use charts, graphs, and competitor matrix tables to substantiate your findings. You should also include a discussion on how the company differentiates itself within the industry.

Key Steps to Complete the Task:

• Identify the industry segment of your company and gather publicly available data on market size, growth rate, and overall industry trends.
• Research key macroeconomic indicators that may affect the industry, including regulatory changes, technological innovations, and global economic factors.
• Analyze the competitive landscape by identifying major competitors and comparing key metrics such as market share, product offerings, and strategic positioning.
• Evaluate both the short-term and long-term risks and opportunities in the industry.
• Synthesize your analysis into actionable insights that could influence investment decisions.

Evaluation Criteria: Your work will be assessed based on in-depth research, the logical structure of analysis, clarity of insights derived, relevance of chosen visual aids, and your ability to connect industry trends to the company’s performance. Plan to devote 30-35 hours to this exercise in order to produce a well-rounded and detailed submission.

Task Objective: This exercise is designed to enhance your quantitative analysis and forecasting skills by constructing a financial model for your selected company. The aim is to produce a valuation model that projects future company performance based on historical trends, hypothetical scenarios, and market data.

Expected Deliverables: A spreadsheet model (Excel recommended) accompanied by a written summary report (PDF or Word) explaining your modeling approach, key assumptions, and sensitivity analysis. Your submission should include a step-by-step explanation of the model’s structure, forecasted financial statements, and calculated valuation metrics.

Key Steps to Complete the Task:

• Review and analyze past financial statements to identify relevant assumptions for revenue growth, expense forecasts, and capital expenditures.
• Create a detailed financial model in Excel that includes income statement, balance sheet, and cash flow projections for at least 5 years.
• Incorporate sensitivity analysis to reflect changes in key assumptions such as revenue growth or cost variations.
• Calculate valuation metrics including Discounted Cash Flow (DCF), Price-to-Earnings (P/E) ratio, and other industry-specific measures.
• Prepare a summary report that explains your methodological choices, provides insights derived from the model, and suggests potential investment outcomes.

Evaluation Criteria: Submissions will be evaluated on the accuracy and robustness of the financial model, clarity and logic of assumptions, quality of the sensitivity analysis, and the depth of insight in the accompanying report. Allocate around 30-35 hours to ensure a comprehensive and accurate submission.

Task Objective: In this culminating assignment, you will integrate your previous analyses into a comprehensive investment recommendation report. This task is designed to assess your overall capability in synthesizing company-specific and industry-wide research, financial modeling insights, and your personal analysis into a unified investment perspective.

Expected Deliverables: A final investment recommendation report file (PDF or Word) that includes an executive summary, analysis of the company’s financials, industry context, detailed financial model highlights, and a clear, justified investment recommendation. Ensure that your report is formatted professionally with clear headings, sections, visuals, and a bibliography of sources used.

Key Steps to Complete the Task:

• Review your previous tasks and compile the essential findings and analyses from each stage.
• Create an executive summary that concisely outlines the key points from the overall research.
• Integrate detailed sections on company analysis, industry trends, and your financial model, discussing how each component affects the investment thesis.
• Provide a critical evaluation of risks and opportunities associated with the investment, with well-supported recommendations.
• Ensure clarity in communication by using data visualizations, tables, and graphs where necessary to bolster your analysis.

Evaluation Criteria: Your final report will be judged on the thoroughness and integration of previous work, clarity and persuasiveness of the investment recommendation, professional presentation, and the quality of your written analysis and data visualizations. You are expected to spend approximately 30-35 hours perfecting this final submission to convincingly demonstrate your competency as an Equity Research Analyst Intern.