Equity Research case studies, worked step by step

Cases
100
Traced to a firm
30
Topics
12
Hard
30
Topic
All topicsStock pitch15Earnings and results9Forecasting and modelling10DCF and intrinsic value9Relative valuation7Financials6Sector economics9Forensic accounting9Industry structure and moats7Macro and commodity sensitivity7Capital allocation and corporate actions7Buy-side portfolio judgement5
Level
AnyWarm upCoreHard
Source
AnyReported at a firmStandard
Showing 81–90 of 100
  1. 081An NBFC with Rs 20,000 crore of loans sees gross NPAs rise from 2% to 4.5% and keeps provision cover at 55%. What does that do to credit cost and ROE this year?FinancialsHardSell-side equity researchIndian brokerage research
  2. 082An IT services company with USD 500 million of revenue wins a USD 300 million five-year deal that ramps over 12 months at a margin 6 points below its average. What does it do to growth and margin next year?Sector economicsCoreSell-side equity researchIndian brokerage research
  3. 083A software company capitalises 45% of its R&D while peers capitalise 10%. Restate its EBITDA margin and free cash flow on a peer basis.Forensic accountingHardHedge fund long/shortSell-side equity research
  4. 084In a three-player food delivery market, who is poised to win and who is doomed to fail, given each player's share of orders, contribution per order and cash?Industry structure and moatsHardCoatue ManagementNew York · 2014
  5. 085An Indian IT exporter earns 80% of its revenue in dollars. The rupee strengthens from 84 to 80 and half the exposure is hedged at 83. What happens to rupee revenue and margin?Macro and commodity sensitivityCoreState StreetBoston · 2020
  6. 086A group is demerging its consumer arm, which peers value at 30x EBITDA, from its chemicals arm, valued at 12x. The group trades at 14x. How much value could the split unlock?Capital allocation and corporate actionsHardSell-side equity researchIndian brokerage research
  7. 087A retailer that is a 3% position falls 18% in a day on one quarter's same-store sales miss, 2% against 7% expected. Do you add, hold or cut, and what evidence decides it?Buy-side portfolio judgementCoreMulti-manager podHedge fund long/short
  8. 088Pitch a hotel company in three minutes, using revenue per available room as the spine: room rate up 5%, occupancy from 70% to 74%, and 60% of costs fixed.Stock pitchCoreWellington ManagementHong Kong · 2022
  9. 089A pharma company cuts growth guidance from 12% to 7%. Your EPS estimate falls from Rs 48 to Rs 43 and the stock drops 15% from Rs 960 to Rs 816. How much of the cut is already priced in?Earnings and resultsCoreSell-side equity researchHedge fund long/short
  10. 090Build bear, base and bull EBITDA for a diagnostics chain where test volumes grow 5%, 10% or 15%, 55% of costs are fixed and today's margin is 24%. Which scenario does the price reflect?Forecasting and modellingCoreSell-side equity researchResearch KPO and GCC

Company names and figures are illustrative.