Report

Methodologies of the Study

The report is prepared by collecting the secondary data. Here all the information’s are collected from Dhaka Stock Exchange to collect the data from the organizations. The whole system of data collection and analysis is described below:

Techniques of Data Analysis

We used some techniques to choose the organizations .we have to find out two organizations from five industries. Among them one is relatively strong and one is relatively weak. For this demand sometimes we select organizations which possesses A and Z category shares. But sometimes we choose same categorized organization on the basis of their Asset and capital structure.

We have collected the information’s of the ten originations of five industries. They are:

Pharmaceutical:

IBN SINA-A category

Beximco - A category

Food:

Gulf Food-Z category

Tulip dairy food - Z category

Engineering:

Singer BD- A category

Wonderland toys- Z category

Insurance:

Progoti- A category

Shondhani- Z category

There is no doubt about relative strong and weakness where there is A categorized and Z categorized share.

But the question comes for the same category organizations. For this the comparative statement of total Asset is:

As the main objective of the report is to find out the value of equity, we used the method of Free Cash Flow to Equity Method and sometimes Dividend Discount method to find out the value of the stock. And also find out the value of the bond .And thus add the value of the bond with the value of the stock and thus get the firm value. And also used the free cash Flow to the Firm method to find out the Value of the firm as a whole.

Value of Equity:

For finding out the value of equity we used either Free Cash Flow to Equity Method or sometimes Dividend Discount method on the basis of need.

When the dividend payout ratio is very high then we use dividend discount Model to find ou the value of equity.We used dividend discount method for...