Dick's Sporting Goods: Financial Analysis

As the need for relevant information regarding a company’s financial position continues to escalate and business analysis becomes more complex, the requirement for organizations to produce both timely and accurate data is essential (Subramanyam, 2014). More specifically, analysts, investors, and creditors alike rely on figures from statements such as balance sheets, income statements, and statement of cash flows in an attempt to conduct both accounting and financial analysis (Subramanyam, 2014). Additionally, analysts also must take into account their evaluations regarding economic, sector, and industry trends in order to formulate accurate current and future assessments (Subramanyam, 2014). As such, the comparison of two predominant sporting goods retailers should cast light on the success patterns needed to survive in a highly volatile industry fixated on sales growth (Zucchi, 2015). …show more content…
Initially, a company overview is provided for each company as well as similar economic and industry trends that are affecting each company’s internal competencies and strategies. Furthermore, each retailer’s credit, profitability, and cash flow analysis are evaluated through the calculations of numerous ratios along with market measure ratios derived from each company’s historical stock values for the last three years