Team Assignment 1 France HRT 6040 Due: 02/11/2019 Question#/ Topic Topic Rank/size/Other Source – Please make sure you include the links for your country’s information th 1. Geographical 551, 500 44 by size in https://www.cia.gov/library/publications/the-worldArea sq km the world & factbook/geos/fr.html four times bigger than the size of Georgia and smaller than the size of Texas. 2. Population 62,814, 21th by https://www.cia.gov/library/publications/the-world233 (July population in factbook/geos/fr.html 2018 est.) the world & US population is https://www.mylifeelsewhere.com/country-sizeabout 18 times comparison/united-states/france bigger than France population 3. GDP 44, 100 Per 2.856 trillion https://www.cia.gov/library/publications/the-worldCapita (2017 est.) factbook/geos/fr.html (2017 est.) 4. Tourism 77.7 billion Visiting to the https://en.wikipedia.org/wiki/Tourism_in_France Spending museums and attractions such as Eiffel Tower is the main part of travel. 5. Languages French Other https://www.cia.gov/library/publications/the-world100% languages are factbook/geos/fr.html Provencal, Breton, Alsatian, Corsican, Catalan, basque. 6. Ease of Ranked Paying Taxes http://www.doingbusiness.org/en/data/exploreeconomies/france doing 32nd out of ranked 55th out business 190 of 190 counries http://www.doingbusiness.org/en/rankings countries in 2019 in 2018 7. Index of Economic Ranked 71st out https://www.heritage.org/index/ranking Economic Category – of 180 countries Freedom Moderately free 8. Currency Euro $1 U.S. dollar https://www.bloomberg.com/markets/currencies buys 0.88 Euro 9. Major fStock Exchange 10. Cities € 75.698m https://derivatives.euronext.com/en/products/stock-options/TO1-DPAR Euronext market data https://www.euronext.com/en/marketrevenues data/documentation?quicktabs_118=3#quicktabs-118 2017 Capital – Paris Population of 2.2 million Three largest cities -Paris (2,138,551) -Marseille (1,603,434) -Lyon (472,317) http://worldpopulationreview.com/countries/francepopulation/cities/ Spring 2019 – HRT 6040 – Team Assignment #2 – Due Feb. 11 at the beginning of class– page 1 of 9 Team Assignment #2 Assignment #2 – Due at the beginning of class on Monday, February 11, 2019 – Expansion in Your Chosen Country This is a Team assignment. Each team will turn in one copy and post on the Assignment #2 Discussion Board with the following heading: Your Country – Expansion. Purpose: This is why you are doing this assignment 1. This assignment will help you personalize this class for yourself and provide a future reference tool. 2. This assignment will also provide useful information about the expansion options in a major city of your chosen country. Process: This is how you will complete this assignment 1. In Assignment #1, your team provided executives at your organization with a summary chart of Ten Things to know about your chosen country. Your team listed the three largest cities in your chosen country. a. If you have 3, 4, or 5 members of your team, select one of the three largest cities in your chosen country. i. Which city did you select and why? We selected Paris city, a capital of France, because it is one of the world’s most famous cities and also has the world best attraction such as Eiffel Tower, Louvre Museum. ii. Every city has at least three “must see” places that attract travelers to that particular city. Guidebooks and web sites may provide pages of descriptions for each ‘must see” place in your chosen city. iii. (8 points) Please complete the following chart: City Selected & Why? (1 pt.) We selected Paris city, a capital of France, because it is one of the world’s most famous cities and also has the world best attraction such as Eiffel Tower, Louvre Museum. Must See Places-Names (1.5 pts.) #1 Eiffel Tower #2 Louvre Museum Country Selected (1 pt.) France Sources – one web site to find out more about country & one web site to find out more about the city – (1.5 pts.) https://www.cia.gov/library/publications/the-worldfactbook/geos/fr.html https://en.parisinfo.com/ In one brief sentence why? (1.5pts.) Sources – web sites to find out more 1.5 pts.) It is a symbol of France and also part of national heritage. The Louvre painting collection is one of the richest and includes https://www.pariscityvision.com/en/paris/landmarks/eiffel -tower/history https://www.britannica.com/topic/Louvre-Museum Spring 2019 – HRT 6040 – Team Assignment #2 – Due Feb. 11 at the beginning of class– page 2 of 9 Leonardo da Vinci’s Mona Lisa. Impressive https://www.cometoparis.com/paris-guide/what-to-do-in-paris#3 Champs sculptures adorn s938 Elysées / Arc of its pillars. Triumph b. What American based lodging products are represented in your chosen city? i. (5 points) Please complete the following chart: Company Marriott Hilton Number of Locations in your chosen city (2.5 pts.) 34 2 IHG 23 Hyatt Four Seasons 10 1 Sources (2.5 pts.) https://www.marriott.com/search/findHotels.mi https://www3.hilton.com/en/hotellocations/fr/paris/index.html https://www.ihg.com/destinations/us/en/france/paris -hotels https://www.hyatt.com/destinations/paris https://www.fourseasons.com/paris/ ii. Hint: If the lodging company has no locations in your chosen city, please type N.A. and indicate the source. Spring 2019 – HRT 6040 – Team Assignment #2 – Due Feb. 11 at the beginning of class– page 3 of 9 c. What American based restaurant companies are represented in your chosen city? i. (5 points) Please complete the following chart for your chosen city. Company (2 pts.) 1. Mc Donald’s Number of Locations 1.5 pts.) More than 1,380 2. Hard Rock Café’ 1 3. Five Guys 4. Burger King 5. Steak and Shake 4 38 10 Sources (1.5 pts.) Mc Donald's in France https://www.hardrock.com/location s http://www.fiveguys.com/Locations https://www.burgerking.fr/restaurants https://www.loc8nearme.com/steak-nshake/index.php#results ii. Hint: You may pick any American based restaurant company. Please remember that some companies have several brands and indicate this on the chart in the company column: for example, KFC (Yum), Pizza Hut (Yum). If there are, no American based restaurant companies or if you cannot find all five companies in your chosen city, please type N.A. and indicate the source. Your mentor provides you with reading regarding expansion into new markets. Your mentor has arranged the readings in a particular order and she strongly encourages you to read them in order. Review the PowerPoint slides for five chapters from the textbook Financial Management for the Hospitality Industry by Andrew, Damitio, & Schmidgall. These slides are located in the Financial Management for the Hospitality Industry folder under the Course Documents tab. Based on your reading and your experiences, please answer questions 2 through 6. Hint: You should answer each question in approximately 50 to 80 words and the total number of words used to answer questions 2 through 6 should be at least 250 words and no more than 500 words. Your team will not be penalized if your answers are longer, but your team will lose points if your answers are shorter than the minimum or if your answers to do not answer the questions. Please use the spelling and grammar tools in Word. You may also find it useful to visit the Grammarist web site. 2. (9 points) Chapter 18 Feasibility Studies a. Visit HVS International, which was listed, on slide #6. What was the most interesting topic on the web site for HVS International and why? The most interesting topic on the HVS website is their services which are brand selection and hotel management. HVS will be very helpful for the first time hotel owner or who wants to improve their hotel value since HVS has a very strong database to help the customers identify the brand and an aggressive management team to deal with legal issues. b. Visit STR Global and briefly describe how the information provided by this organization can assist in the feasibility study process and daily operations. The purpose of feasibility study is to understand the analysis of cost and benefit. There are some major elements of a lodging feasible study which are demand analysis, estimated occupancy and average room rates and so on. By using STR Global, the hotel owners can see their performance compared to their competitors so that they can find out if they should raise or lower the price or if they need additional services or amenities to compete in the market, and so on. 3. (9 points) Chapter 17 Valuation of Hospitality Real Estate a. Visit the web site for Sunstone Hotel Investors Spring 2019 – HRT 6040 – Team Assignment #2 – Due Feb. 11 at the beginning of class– page 4 of 9 One interesting topic is the investor relations that shows all their annual report, financial statements, stock information and security exchange commission filings. By showing that on the website, it provides reliable and trustworthy information and shows how their company is doing. b. Visit the web site for Lowe Enterprises i. What is the most interesting topic on the Lowe Enterprises website and why? One interesting topic is that their hospitality management. They have been in the industry for about forty-five years and are starting hotel and resort operations with CoralTree Hospitality, led by veteran executives of Lowe, provide property management to seventeen properties across the US and Puerto Rico. c. Please review the following materials and answer the question in iii: i. Read the information on the Income Capitalization Approach which was presented on slides #18, #9, and #20 of Chapter 17 Valuation of Hospitality Real Estate from the Power Point slides Financial Management for the Hospitality Industry. ii. Read the HVS article by Suzanne R. Mellen entitled “Hotel Capital Rates and The Impact of CAP Ex” A copy of this article is also posted on Blackboard under Assignment #2. iii. How does the information on the Income Capitalization Approach and Hotel Cap Rates relate to Chapter 5 Discounted Cash Flow Valuation from the Essentials of Corporate Finance textbook? The information on the Income Capitalization Approach and Hotel Cap Rates relate to the Chapter as they all aim to view the future income stream for the property. Capital improvements are needed in order to receive the value of return of investment. In order to approach income capitalization, we must use recent sales of comparable properties: Annual income stream / sale price of property. Spring 2019 – HRT 6040 – Team Assignment #2 – Due Feb. 11 at the beginning of class– page 5 of 9 4. (9 points) Chapter 14 Asset Management in the Hospitality Industry a. Visit the website for Jones Lang LaSalle Hotels i. What is the most interesting topic on the Jones Lang LaSalle website and why? The most interesting topic on the website is that they will be able to help you in achieving your ambition in business. JLL helps their clients transform their current state, by aligning business strategy, enterprise technology and operational excellence. b. Why would your team recommend or not recommend hiring an Asset Management company to oversee the company owned lodging facilities in your chosen city? We would recommend to hire an Asset Management. An asset manager is there to preserve and protect ownership rights, mitigate risks and implement strategies to enhance performance and optimize investment returns. Surrounding yourself with an asset manager with the right expertise, at the right time, can help mitigate risk and establish a proven path for long-term success. 5. (9 points) Chapter 16 Expansion via Franchising a. Visit the International Franchise Association website and search for one foodservice franchisor or one lodging franchisor. Briefly describe what you learned from this process? We saw a list of companies that provides franchising not only in lodging and food service but also in other areas too such as tax service, delivery service. One foodservice franchisor we searched is Jack In the Box. It is interesting to learn their qualifications and requirements to be their franchisee. We also learned that this website provides useful information about franchising especially for future franchisee. b. If a company is going to expand its franchise network internationally, there are additional considerations. Please identify one additional consideration of expanding internationally and describe its importance. One consideration to identify is trademarks. In other countries, registering the company’s trademark is the first important thing to do to avoid situation that other companies register our company’s mark and offer to sell it back to us. Many companies are also hiring firms that make sure and monitor that there are no conflicts with the companies’ trademarks. There is an exception to the first to file if the company’s mark is already established in other countries. 6. (6 points) Chapter 19 Management Contracts a. Visit the web site for Destination Hotels & Resorts What is the most interesting topic on the Destination Hotels & Resorts website and why? Upon visiting the website for Destination Hotels & Resorts I was interested in the many destinations they have properties in. Different packaged destinations such as “Destination Luxury, Destination Golf, & Destination Spa” all resemble the nicest parts of the destinations one selects. It is interesting to know that there are many wonderful destinations to travel to while exploring these hotels & resorts. b. Review the information presented on slide #20 Advantages to Management Contracts to Lodging Management Companies and the information presented on slide #21 Disadvantages to Management Contracts to Lodging Management Companies. i. Please provide one reason why you would or would not choose to expand a lodging management company into your chosen country via management contracts. We would not choose to expand a lodging management company into France due to the many disadvantages management contracts could be presented in the future. For example, a prime reason would be lower expected profits. We are aware that expanding a lodging company in France would greatly benefit the company in maximizing profits, yet we would also lose property appreciation. 7. (6 points) Now that you have reviewed the information related to expansion, you realize you need to review a few items related to a company’s annual report. The research team has chosen two leading hospitality Spring 2019 – HRT 6040 – Team Assignment #2 – Due Feb. 11 at the beginning of class– page 6 of 9 companies as examples: Darden Restaurants, Inc. and Marriott International. Although it was discussed in HRT 374, you are not sure if you remember how to read a company’s annual report. Consequently, you visit the Moneychimp web site for a few helpful hints. Now, that you have renewed your knowledge of annual reports, visit the Investor Relations Information web pages: a. Describe one thing (in 50 to 80 words) that you learned from reading the most recent Annual Report on the Investor Relations pages of Darden Restaurants, Inc.? Darden Restaurants Investor Relations Page One thing we learned from the investor relation pages of Darden Restaurants, Inc is their annual report. The annual report in 2018 shows that they had the highest operating income and sales in 2018 compared to the previous four years. However, their net earnings in 2015 was the highest year because of the huge amount of earnings from discontinued operations in 2015. b. Describe one thing (in 50 to 80 words) that you learned reading the most recent Annual Report on the Investor Relations pages of Marriott International? Marriot International Investor Relations Page We learned that throughout the fiscal ten years, Marriott was making profit except in 2009 according to its financial data. They had operating and net income loss in 2009. They had the highest operating income in 2015 and the lowest income in 2011. Also, they were in the process of planning to combine with Starwood and were still determining the effect of Starwood combination on relationship with hotel owners, franchisees, suppliers and customers. 8. (6 points) Again, visit Information the Investor Relations web pages for Darden and Marriott: a. Describe one additional thing (in 50 to 80 words) that you learned from the Investor Relations pages of Darden Restaurants, Inc.? We learned about Darden Restaurants, Inc.’s corporate governance guidelines. The responsibilities and qualifications of a director is mentioned in their guidelines. The guidelines also mention the size of the broad committee, the selection process of a director and so on. The directors are requested to submit their annual performance report which will be discussed with the Board and committees. b. Describe one additional thing (in 50 to 80 words) that you learned from the Investor Relations pages of Marriott International? We learned that Marriott and its franchise partners are planning to provide personal alert devices for housekeepers and other hotel associates. The device will be able to traced rapidly when the alert is issued. Being able to pinpoint the device quickly is effective in situations where the rapid response is critical. Since some of the hotels can be larger than a million square feet in size. 9. (6 points) Visit the Career/Employment web pages: a. Describe one thing (in 50 to 80 words) that you learned from the Career/Employment pages of Darden Restaurants, Inc.? One thing we learned from the career page of Darden Restaurants, Inc is that they create a lot of opportunities from the entry levels to corporate levels in different kind of department in the restaurant industry. They are behind-the-scene supporting updated technologies, marketing to drive the guest to the restaurants, quality products to make dishes and anything that people who are working in the restaurants need to provide the best services to their guests. b. Describe one thing (in 50 to 80 words) that you learned from the Career/Employment pages of Marriott International? Spring 2019 – HRT 6040 – Team Assignment #2 – Due Feb. 11 at the beginning of class– page 7 of 9 One thing we learned from the page is their internship program. They have an internship program for graduate and undergraduate students in hotel and culinary in the US, Canada and other countries. They also have corporate internship program in the US and international to learn about the business through corporate. Also, they have a leadership development program to receive hands-on experiences about hotel operations. 10. (5 points) Now that you have a better understanding of two major hospitality companies in the United States: Darden Restaurants, Inc. and Marriott International, let’s learn a little more about the companies in your Chosen Country. What are two largest companies in your chosen country? For example, Banco Commercial do Ecuador and Banco del Pichincha are two of the largest companies in Ecuador and are shown on the following web site: You can click here.(please note: the largest companies in your chosen country may not be hospitality companies) a. List two major companies in Your Chosen Country and briefly describe them (in 50 to 80 words). The largest company in France is AXA, which is a multinational insurance company that specializes in global insurance, investment management, and other financial services. The headquarter is located in Paris, but the company has also branched out other regions including Western Europe, Asia Pacific, North America, Middle Eastern, and Africa. The second largest company is Total S.A., which is a multinational integrated oil and gas company headquartered in Paris. Other than oil and gas, Total S.A.’s businesses also covers solar power, bioenergies, chemicals, transportation, etc. b. Include a web site address as the reference for your information. https://us.axa.com/home.html https://www.total.com/en 11. (5 points) Your team will select one publicly traded hospitality company (lodging, foodservice, airlines) and provide information regarding bonds and stocks for your chosen company. No two teams can select the same company. Please note that no team can select Darden or Marriott. Your chosen company will be listed on Yahoo Finance as a publicly traded company. Please double check with me on the selection of your chosen company. a. Please note that it is not required that your chosen company currently has locations in your chosen country or two chosen cities. b. Which publicly traded hospitality company did your team select? AccorHotels i. Why was this company selected? AccorHotels group is the largest hospitality company in France and the fourth largest international hotel group in the world. The location of its properties spreads over five continents. The company’s good reputation and powerful economic strength account for the selection of our team. ii. What is the stock ticker-trading symbol of your chosen company? Where is this stock traded (NYSE or NASDAQ)? ACRFF in NASDAQ iii. Please provide a link to the website for your chosen company. https://www.accorhotels.group/en c. Your team will present an analysis of your chosen company in team assignment #3. d. Please post your company selection on the Discussion Board entitled Company Selection. Include a web site link to the Yahoo Finance site for your chosen company in your posting. Spring 2019 – HRT 6040 – Team Assignment #2 – Due Feb. 11 at the beginning of class– page 8 of 9 12. (5 points) Based on the information you have learned from Assignment #1 and Assignment #2, why would you recommend or not recommend expanding into your chosen country and into your chosen city or cities? Please include at least three reasons (from the information that you have learned from Assignment #1 and Assignment #2) to support your recommendation. Hints: Are there opportunities for the expansion of hospitality properties in your chosen country and/or your chosen city? As a reminder, do not discuss your chosen company in this section. (in 150 to 300 words) i. We would recommend expansion into France as company may be able to benefit from the high number of tourists in France who have visited France to enjoy the many attraction sites in the country. ii. We would also recommend expansion into France as it is a member of the European Union thus many European citizens can access the country hence a high number of possible customers. This is enabled by a common visa among citizens of states party to the European Union. iii. We would also recommend expansion into France as with the high level of the competition in the country by various multi-national companies, a company will become more innovative to survive in the market thereby can be able to reach its full potential. iv. We would not recommend an expansion into France as with the many major global companies having already established themselves in the country, it is hard for a new company to enter the market and even cope with the fierce competition posed by the well-established and wealthy companies. - Please post the completed Team Assignment #2 on the Assignment #2 Discussion Board Your Country – Expansion At the beginning of class on Monday, February 11, 2019 – Turn in a hard copy Spring 2019 – HRT 6040 – Team Assignment #2 – Due Feb. 11 at the beginning of class– page 9 of 9 Evaluation: This is how the assignment will be graded (general essay guidelines: font size – Arial 12, double spaced, .75 inch margins) 1. ( 1 point) Was there a cover page? Did it include: a. List of the full names of the team members in alphabetical order by last name, b. The name of your chosen country, c. The name of your chosen city, and d. The course/section number and Assignment #? e. Due Date 2. 3. 4. 5. 6. 7. 8. (18 points) Did the charts for question #1 include an answer to each of the questions? (45 points) Were questions 2 through 6 answered? (18 points) Were questions 7 through 9 answered? ( 5 points) Was question 10 answered? ( 5 points) Was question 11 answered? ( 5 points) Was question 12 answered? ( 3 points) Were there any typographical errors? Team Planning Chart – This Team Planning Chart is worth 1 point of your total score. Please include on the hard copy that is turned in at the beginning of class on Monday, Feb. 11, 2019 First Name Date Draft submitted to other team members 02/09/19 Time invested in review and revisions by team member Completion Date/ Who Completed it Jason Task Assigned 1- 12 Plus Final Copy # 1, 2, 3 3 hours Jason Mingyu 4, 5, 02/09/19 3 hours Mingyu Sara 6, 8, 02/09/19 3 hours Sara Ted 7, 9 02/09/19 3 hours Ted Will 10, 11, 12 02/09/19 3 hours Will File name: SP19Assignment2r.doc Spring 2019 – HRT 6040 – Team Assignment #3 – Due March 18th at the end of class – page 1 of 5 Assignment #3 – Due at the end of class on Monday, March 18, 2019 This is a Team assignment. Each team will turn in one copy and post on the Assignment #3 Discussion Board with the following heading: Your Country/Company – Financial Performance Purpose: This is why you are doing this assignment 1. This assignment will help you personalize this class for yourself and provide a future reference tool. 2. This assignment will also provide useful information about the expansion options in a major city of your chosen country. 3. This assignment will also provide useful information regarding the stock performance and capital structure of your chosen company. 4. Team assignment #3 is worth 2.5% of your course grade. Each team will turn in one printed copy and post on the appropriate threads on Assignment #3 Your Country-Your Company Blog. Replace the term “Your Chosen Company” with your company name throughout this document. Replace the term “Your Chosen Country” with your country name throughout this document. Process: This is how you will complete this assignment 1. In Assignment #1, your team provided executives at your organization with a summary chart of Ten Things to know about your chosen country. Your team listed the capital of your chosen country and the three largest cities in your chosen country. In Assignment #1, your team provided executives at your organization with a summary chart of Ten Things to know about your chosen country. In Assignment #2, your team looked at expansion and briefly reviewed the materials related to financial performance chosen country. 2. (29 points) Now that you have selected a publicly traded hospitality company, your mentor asks you to compare the financial figures for your chosen company to the financial figures that you gathered in Team Assignment #2. Please enter this information on the appropriate Excel worksheet in the Assign3Fig Excel workbook. Print out the sheets and include in the hard copy of this report. a. Overview (13 points) b. Trading Information and Beta (7 points) c. Comparisons (5 points) d. Comparisons Big (4 points) 3. (13 points) Competitors - Please ask me which competitors can be used. a. (7 points) Please complete the Competitors7 Excel worksheet in the Assign3Fig Excel workbook. b. (6 points) Based on the information that your team has included on the Competitors7 Excel worksheet: i. Did DRI outperform its competitors? 1. Please include a 50 to 80-word discussion of why or why not you believe DRI outperformed its competitors. ii. Did Your Chosen Company outperform its competitors? 1. Please include a 50 to 80-word discussion of why or why not you believe Your Chosen Company outperformed its competitors. iii. Did MAR outperform its competitors? 1. Please include a 50 to 80-word discussion of why or why not you believe MAR outperformed its competitors Spring 2019 – HRT 6040 – Team Assignment #3 – Due March 18th at the end of class – page 2 of 5 4. (32 points) To learn about Beta and the Dow Jones Industrial Average: Date you looked up Beta a. Read pages that discuss Beta in Chapter 11 of our Essentials textbook. b. Visit Investopedia: “Understanding Beta” c. Read this article which discusses the advantages and disadvantages of using the Beta Coefficient Investopedia: “Beta: Know the Risk” d. (6 points) Now that you have read about Beta in the textbook and online, please discuss the following in 50 to 80 words for each company: Darden, Your Chosen Company and Marriott. Please discuss potential returns and potential losses for Darden, Your Chosen Company, and Marriott. Please refer to the TradingBeta7 worksheet i. How does the Beta for Darden compare to the Beta for the Market? 1. What does this mean to a potential investor? ii. How does the Beta for Marriott compare to the Beta for the Market? 1. What does this mean to a potential investor? iii. How does the Beta for Your Chosen Company compare to the Market? 1. What does this mean to a potential investor? e. (8 points) Read the information on the Dow Jones Industrial Average (DJIA) on the Wikipedia web site - Wikipedia: "Dow Jones Industrial Average" Investopedia: "Dow Jones Industrial Average - DJIA" i. (2 points) – From an investor’s viewpoint briefly discuss one advantage of following the Dow Jones Industrial Average (DJIA) (in 50 to 80 words) ii. (2 points) – From an investor’s viewpoint briefly discuss one disadvantage of following the Dow Jones Industrial Average (DJIA) (in 50 to 80 words) iii. (2 points) – From an investor’s viewpoint briefly discuss why the upward movement of the Dow Jones Industrial Average (DJIA) may be viewed as a positive (in 50 to 80 words) iv. (2 points) – From an investor’s viewpoint briefly discuss why the downward movement of the Dow Jones Industrial Average (DJIA) may be viewed as a negative (in 50 to 80 words) Spring 2019 – HRT 6040 – Team Assignment #3 – Due March 18th at the end of class – page 3 of 5 f. (18 points) Analysis – Please refer to the TradingBeta7, Comparisons5, and CompBig4 worksheets of the Excel worksheet in the Assign3Fig Excel workbook. i. (3 points) What does the difference in the percentage change in the stock price for Darden as compared to the percentage changes for the Dow Jones Industrial Average, NASDAQ, and S&P 500 for the same time period indicate to you? (In 50 to 80 words) 1. (3 points) Is this percentage change reflective of the Beta for Darden? Why or Why not? (In 50 to 80 words) ii. (3 points) What does the difference in the percentage change in the stock price for Marriott as compared to the percentage changes for the Dow Jones Industrial Average, NASDAQ, and S&P 500 for the same time period indicate to you? (In 50 to 80 words) 1. (3 points) Is this percentage change reflective of the Beta for Marriott? Why or Why not? (In 50 to 80 words) iii. (3 points) What does the difference in the percentage change in the stock price for Your Chosen Company as compared to the percentage changes for the Dow Jones Industrial Average, NASDAQ, and S&P 500 for the same time period indicate to you? (In 50 to 80 words) 1. (3 points) Is this percentage change reflective of the Beta for Your Chosen Company? Why or Why not? (In 50 to 80 words) 5. (16 points) Visit the following web site, type in your company name or stock ticker symbol, and use the pulldown menu to the right to indicate that you are looking for Bond information, then click on Go a. (8 points) Corporate Bonds (hint: if the price is less than 100, the bond is selling at a Discount, if the price = 100, the bond is selling at Face Value, and if the price is greater than 100, the bond is selling at a Premium) FINRA: Market Data or FINRA: Bonds i. (2 points) Does Darden issue Bonds? Yes or No (circle one), If Yes, how many? 1. Are the Darden Bonds selling at a Premium, Face Value, Discount, or Does Not Have Bonds Outstanding? (Circle one) ii. (2 points) Does Marriott issue Bonds? Yes or No (Circle one), If Yes, how many? 1. Are the Marriott Bonds selling at a Premium, Face Value, Discount, or Does Not Have Bonds Outstanding? (Circle one) iii. You may find it helpful to review the definition of Yield To Maturity on the following web page Investopedia: "Yield to Maturity (YTM)" before you look up the Bond information on Your Chosen Company. iv. You may also want to visit the investors’ section of the web site for Your Chosen Company. Typically, corporate bonds are discussed in the footnotes under outstanding liabilities or debt. v. (2 points) Does Your Chosen Company issue Bonds? Yes or No (Circle one) 1. If Your Chosen Company does issue Bonds, how many? 2. Is each Bond for Your Chosen Company selling at a Premium, Face Value, Discount, or Does Not Have Bonds Outstanding? (Circle one) vi. (2 points) Three questions about corporate bonds: (in 50 to 80 words) – 1. What does it mean to an investor when a bond sells at a Premium? 2. Please review the information in Chapter 6 on Bond Ratings. On the bond website, you will notice that Moody, S&P, and Fitch have rated the bonds. Overall, which company had the higher bond ratings? Darden or Marriott? (Circle one) 3. What surprised you about this information? Spring 2019 – HRT 6040 – Team Assignment #3 – Due March 18th at the end of class – page 4 of 5 b. 6. (8 points) Government Bonds - Visit the following web sites i. TreasuryDirect: Individual 1. Briefly in two or three sentences describe one thing that you learned about Government Bonds for Individual use. (In 50 to 80 words) 2. Briefly in two or three sentences describe one thing that surprised you about bonds. (In 50 to 80 words) ii. TreasuryDirect 1. Briefly in two or three sentences describe one thing you learned about Treasury Securities for Financial Institutions from this web site. (In 50 to 80 words) 2. Briefly in two or three sentences describe one thing that surprised you on this web site. (In 50 to 80 words) (5 points) - Summary a. (5 points) A potential investor has come to your team and indicated that she would like to invest in either a hospitality foodservice company (Darden or Your Chosen Company) or a hospitality lodging/services company (Marriott or Your Chosen Company). If your team has selected a hospitality foodservice company you will base your recommendations on Darden or Your Chosen Company. If your team has selected a hospitality lodging/services company you will base your recommendations on Marriott or Your Chosen Company. Based on the information that you have collected, your analysis and team discussions, please discuss why the potential investor should or should not invest. (Required: Please include a comparison table of the financial figures: Profit Margin, Operating Margin, ROA, ROE as a part of your discussion) Please include at least two reasons to support your recommendation. (In 150 to 300 words) - Please post the completed Team Assignment #3 on the Assignment #3 Discussion Board Your Country/Company – Financial Performance At the end of class on Monday, March 18, 2019– Turn in a hard copy Spring 2019 – HRT 6040 – Team Assignment #3 – Due March 18th at the end of class – page 5 of 5 Evaluation: This is how the assignment will be graded 1. (1 point) Was there a cover page? Did it include: a. List of the full names of the team members in alphabetical order by last name, b. The name of your chosen country, c. The name of your chosen city, d. The name of your chosen company, and, e. The course/section number? 2. (29 points) Were the questions for question #2 of the Financial Overview Summary Chart completed? 3. (13 points) Were the questions for question #3 (Competitors) answered? 4. (32 points) Were the questions for question #4 (Beta & DJIA) answered? 5. (16 points) Were the questions for question #5 (Bonds) answered? 6. (5 points) Were the questions for question #6 (Summary) answered? 7. (4 points) Were there any typographical errors? Team Planning Chart – This Team Planning Chart is worth 1 point of your total score. Please include on the hard copy that is turned in at the beginning of class on Monday, March 18, 2019 First Name Task Assigned 1- 6 Plus Final Copy Date Draft submitted to other team members Time invested in review and revisions by team member Completion Date/ Who Completed it File name: SP19assignment3r.doc TradingBeta7 A 1 2 3 4 5 6 7 8 HRT 6040 Spring Country? Section Name Stock Symbol Traded on B C D Team Assignment #3 Financial Trading Information 2019 Section 4:00 PM 5:30 PM Darden DRI NYSE Chosen Co. Marriott AC.PA MAR NASDAQ Trading Information (4 9 pts) Darden Chosen Co. Marriott 10 52 Week Change 16.17% -21.24% -14.66% 11 12 S&P 500 52 Week 13 Change 14 Shares Outstanding 123.51M 276.08M 339.67M 15 % Held by Institutions 16 Beta Information (3 17 pts) Darden Chosen Co. Marriott 18 Beta 19 20 Date you looked up Beta TradingBeta7 E Financial Trading 1 Information 2 Highlight the time of your section 3 4 5 Sources 6 https://investor.darden.com/investors/investor-relations/default.aspx 7 https://finance.yahoo.com/quote/ac.pa/key-statistics?p=ac.pa 8 https://marriott.gcs-web.com 9 10 11 12 You will continue to work with the Statistics pages for each company https://finance.yahoo.com/quote/DRI/key-statistics?p=DRI https://finance.yahoo.com/quote/ac.pa/key-statistics?p=ac.pa https://finance.yahoo.com/quote/MAR/key-statistics?p=MAR The S&P 500 52 Week Change represents the change in the value of 13 the S&P 500.This will be the same number for all three companies. 14 15 16 17 18 19 20 Look at the Summary page https://finance.yahoo.com/quote/DRI?p=DRI Chosen company web site https://finance.yahoo.com/quote/MAR/?p=MAR Overview13 A 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 HRT 6040 Spring Country? Section Name Stock Symbol Traded on Overview ( 5 pts) Employees Properties Revenues Fiscal Year Ends Profitability & Management Effectiveness (4 pts) Profit Margin % Operating Margin % Return on Assets % Return on Equity % Valuation Measures (4 pts) Market Cap Classification (small, mid, or large) Forward P/E (fyefiscal year end) B C D Team Assignment #3 Financial Overview Information 2019 Section 4:00 PM 5:30 PM Darden DRI NYSE Chosen Co. Marriott AC.PA MAR NASDAQ Darden Chosen Co. Marriott 22,935 4,800 £3610 Darden Chosen Co. Marriott 61.86% 15.26% 2.76% 0.70% Darden Chosen Co. Marriott 9.88B M N/A Overview13 A PEG Ratio (5 year 25 expected) B C D Overview13 E Financial Overview 1 Information 2 Highlight the time of your section 3 4 5 Sources 6 https://investor.darden.com/investors/investor-relations/default.aspx 7 Chosen company web site 8 https://marriott.gcs-web.com 9 10 https://finance.yahoo.com/quote/DRI/profile?p=DRI 11 Chosen company information on Yahoo Finance 12 https://finance.yahoo.com/quote/MAR/profile?ltr=1 13 14 15 16 https://finance.yahoo.com/quote/DRI/key-statistics?p=DRI 17 Chosen company information on Yahoo Finance 18 https://finance.yahoo.com/quote/MAR/key-statistics?p=MAR 19 20 21 You will continue to work with the Statistics pages for each company 22 23 https://www.investopedia.com/terms/s/small-cap.asp 24 Overview13 E https://finance.yahoo.com/news/beware-peg-ratio204532456.html;_ylt=AwrXnCDB2bBWEg0AMZOTmYlQ;_ylu=X3oDMTE zYThhM21qBGNvbG8DZ3ExBHBvcwMyBHZ0aWQDVklEUFJEXzEEc2VjA3 25 Nj 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 A HRT 6040 Spring Country? Comparisons5 B C D E F G Team Assignment #3 Financial Comparisons Information 2019 Section Highlight the time of your section 4:00 PM 5:30 PM H I J K DJIA https://finance.yahoo.com/quote/%5EDJI/history?period1=1519891200&period2=1551427200&interval=1d&filter=history&frequency=1d 3/1/2018 $ 24,608.98 3/1/2019 $ 26,026.32 $ change $ 1,417.34 % change 5.76% NASDAQ 3/1/2018 3/1/2019 $ change % change https://finance.yahoo.com/quote/%5EIXIC/history?period1=1519891200&period2=1551427200&interval=1d&filter=history&frequency=1d $ 7,180.56 $ 7,595.35 $ 414.79 5.78% S&P 500 3/1/2018 3/1/2019 $ change % change https://finance.yahoo.com/quote/%5EGSPC/history?period1=1519891200&period2=1551427200&interval=1d&filter=history&frequency=1d $ 2,677.67 $ 2,803.69 $ 126.02 4.71% DRI https://finance.yahoo.com/quote/DRI/history?period1=1519891200&period2=1551427200&interval=1d&filter=history&frequency=1d 3/1/2018 $ 89.93 3/1/2019 $ 111.65 $ change $ 21.72 % change 24.15% MAR https://finance.yahoo.com/quote/MAR/history?period1=1519891200&period2=1551427200&interval=1d&filter=history&frequency=1d 3/1/2018 $ 135.77 3/1/2019 $ 124.45 $ change -$ 11.32 % change -8.34% Your Company - Please complete and include link to the appropriate web page - 5 points Sample Brinker International - Ticker Symbol -EAT 1 point for the link plus one point for each of the four figures below: EAT https://finance.yahoo.com/quote/EAT/history?period1=1519891200&period2=1551427200&interval=1d&filter=history&frequency=1d 3/1/2018 $ 33.34 sample 3/1/2019 $ 45.47 sample $ change $ 12.13 sample % change 36.38% sample CompBig4 A 1 2 3 4 5 6 7 8 9 10 11 12 13 HRT 6040 Spring Country? B C D E F Team Assignment #3 Financial Comparisons Big Picture 2019 Section Highlight the time of your section 4:00 PM 5:30 PM Dow Jones Nasdaq S & P 500 Did DRI Outperform? Did Your Chosen Company Outperform? Did MAR Outperform? Visit the Chart page and compare results for DRI, Your Company, and MAR for a 5Y period https://finance.yahoo.com/quote/MAR?p=MAR Describe in one sentence or two sentences what you liked about using the interactive chart? Yes or No Yes or No Yes or No Competitors7 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 A B C D E F G H HRT 6040 Team Assignment #3 Competitors Information Spring 2019 Section Highlight the time of your section Country? 4:00 PM 5:30 PM Description (2 pts) Darden (DRI) Brinker (EAT) Cheesecake(CAKE) Please use the information from the Statistics page Profit Margin https://finance.yahoo.com/quote/DRI/key-statistics?p=DRI Operating Margin Chosen competitor company web site Statistics page Return on Assets (ttm) Chosen competitor company web site Statistics page Return on Equity (ttm) Quarterly Revenue Growth (yoy) Quarterly Earnings Growth (yoy) Description (3 pts) Your Company Competitor1 Competitor2 Profit Margin Operating Margin Return on Assets (ttm) Return on Equity (ttm) Quarterly Revenue Growth (yoy) Quarterly Earnings Growth (yoy) Please use the information from the Statistics page Chosen company web site Statistics page Chosen competitor company web site Statistics page Chosen competitor company web site Statistics page Description (2 pts) Marriott (MAR) Competitor1 Competitor2 Profit Margin Operating Margin Return on Assets (ttm) Return on Equity (ttm) Quarterly Revenue Growth (yoy) Quarterly Earnings Growth (yoy) Please use the information from the Key Statistics page https://finance.yahoo.com/quote/MAR/key-statistics?p=MAR Chosen company web site HRT 6040 - Sample Financial Statistics layout - Foodservice Statistics Profit Margin Operating Margin (ttm) DRI 5.73% 9.32% Measures Profitability Profitability N/A N/A 7.80% 18.45% Management Effectiveness Management Effectiveness Qtly Revenue Growth(yoy) Qtly Earnings Growth(yoy) 6.30% 32.10% 3.20% N/A Growth rate Growth rate Forward P/E PEG Ratio (5 yr expected) Price/Sales (ttm) 17.36 1.55 1.11 14.56 1.13 1.11 Valuation Valuation Valuation Return on Assets Return on Equity CAKE 6.11% 8.76% Comp1 Comp2 date of info. 10/30/2016 10/30/2016 You will need to update the figures and change the date. Source Yahoo Finance - Statistics page Name Web Link CAKE http://finance.yahoo.com/quote/CAKE/key-statistics?p=CAKE Comp1 Chosen competitor company web site Statistics page Comp2 Chosen competitor company web site Statistics page DRI http://finance.yahoo.com/quote/DRI/key-statistics?p=DRI As a reminder, if Yahoo Finance provides with you a figure of "N/A", please double check the other financial money sites: https://www.msn.com/en-us/money https://www.google.com/finance If all three sites (Yahoo, MSN, and Google provide you with the figure of N/A, please indicate that you checked each site and the dates of your review of each web site. HRT 6040 - Sample Financial Statistics layout - Lodging Statistics Profit Margin Operating Margin Accor 61.86% 0.00% Hyatt 30.79% 13.29% Hilton 20.83% 39.29% MAR 36.57% 48.34% Measures Profitability Profitability Return on Assets Return on Equity 2.76% 0.70% 2.73% 20.42% 6.38% 68.39% 6.63% 65.68% Management Effectiveness Management Effectiveness Qtly Revenue Growth(yoy) Qtly Earnings Growth(yoy) 111.90% -85.20% -4.30% -79.30% 11.50% -69.30% 1.20% 264.90% Growth rate Growth rate Forward P/E PEG Ratio (5 yr expected) Price/Sales (ttm) N/A N/A N/A 35.56 -18.19 3.07 19.55 1.2 6.68 17.15 1.08 7.83 Valuation Valuation Valuation date of info. 3/13/2019 3/13/2019 You will need to update the figures and change the date. Source Yahoo Finance - Key Statistics page Name Web Link IHG http://finance.yahoo.com/quote/IHG/key-statistics?p=IHG Hyatt Chosen competitor company web site Statistics page Hilton Chosen competitor company web site Statistics page MAR https://finance.yahoo.com/quote/MAR/key-statistics?p=MAR As a reminder, if Yahoo Finance provides with you a figure of "N/A", please double check the other financial money sites: https://www.msn.com/en-us/money https://www.google.com/finance If all three sites (Yahoo, MSN, and Google provide you with the figure of N/A, please indicate that you checked each site and the dates of your review of each web site. 
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