Financial Analysis of an Australian Department Company Based on 3 Financial Models

Abstract

In the modern economic market, it is necessary for investors and decision makers to evaluate the financial situation of enterprises. For the managers, the analysis of financial statements can help to judge the development prospects of enterprises, so as to manage and make decisions on the future development direction. And investors can get the accurate business results of the enterprise this year, which has important reference significance for whether to invest in the enterprise. The purpose of this report is to analyze the Australian department store, Myer, its financial status and provide investment advice to potential investors and operating suggestions to its managers. Three financial models were used to analyze the value of Myer, which are comparable analysis (COMPS), dividend discount model (DDM) and discount cash flow (DCF) models respectively.