No. of Recommendations: 2
This is my first attempt at a Rule Maker analysis. I pit GE v. MMM since they are both conglomerates. The analysis is for the FY 2000 of both GE and MMM.
Please tell me if anything is incorrect, this is my first try :-)
Thanks!
The Motley Fool's Rule Maker Ranker
Version 3 -- Updated June 2000
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(Please read all three of these competitor comments.)
Financial AnalysiCompany Being Evaluated Competitor #1 Competitor #2 Competitor #3
General Electric 3M <Fill in Name> <Fill in Name>
Current Period Year-ago PeriodYear-over-Year Current Period Current Period Current Period
Dec. 2000 Dec. 1999 Growth Dec. 2000 <Date> <Date>
Income Statement
Sales 129,417 110,832 16.8% 16,724
Cost of Goods S 39,312 34,554 13.8% 8,787
Net Income 12,735 10,717 18.8% 1,782
Shares Outstand 9,932,006 9,854,528 0.8%
Balance Sheet
Cash & Equivale 8,195 8,554 -4.2% 302
Current Assets 295,663 273,187 8.2% 6,379
Short-term Debt 119,180 130,346 -8.6% 1,866
Current Liabili 156,112 161,216 -3.2% 4,754
Long-term Debt 82,132 71,427 15.0% 971
Cash Flow Statement
Operating Cash 22,690 24,593 -7.7% 2,326
Capital Expendi 13,967 15,502 -9.9% 1,115
1 0 0
Margins & Ratios . . . Competitors' Average
Gross Margins 69.6% 68.8% 0.8 47.5% 47.5%
Net Margins 9.8% 9.7% 0.2 10.7% 10.7%
Cash-to-Debt 0.04 0.04 -4.0% 0.11 0.11
Net Cash -193117.0 -193219.0 N/A -2535.0 -2535.0
Fool Flow Ratio 7.78 8.57 -9.2% 2.10 2.10
Cash King Margi 6.7% 8.2% -1.5 7.2% 7.2%
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Ranking Rule Makers
1) Brand Points (0-1) 3) Financial Dire Points (0-3)
Familiarity 1 Sales Growth 3
Openness 1 Gross Margins 3
Optimism 1 Net Margins 3
Legitimacy 1 Shares Outstandin 2
Inevitability 1 Cash-to-Debt 1
Solitariness 1 Fool Flow Ratio 2
Humor 1 Expansion Potenti 3
Subtotal 7 Subtotal 17
2) Financial Loca Points (0-2) 4) Monopoly Statu Points (0-4)
Mass Market Habit 2 Gross Margins 4
Gross Margins 2 Net Margins 0
Net Margins 1 Net Cash 0
Cash-to-Debt 0 Fool Flow Ratio 0
Fool Flow Ratio 0 Convenience 4
Your Interest 2 Subtotal 8
Subtotal 7
5) Your Enjoymen 1
Total Score 40 Second Tier
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