Dr. P.V. Viswanath

pviswanath@pace.edu

New!

• Template used by Winning Team from last year for the NYSSA IRC
• Report by Last Year's Winning Team for the NYSSA IRC
  Important Note for students from Haroon Chaudrey of the Winning Team:
  Don't take this model as a generic model. It was developed for SYM at some particular time. It was never updated after the competition so all the assumptions are based on notes of then latest filings. Just look at the design and develop you own model as per the requirements of your assumptions and how things are specified in SEC filings.

The Global Portfolio Analysis Center (G-PACT) announces

PERC 2005 -- Pace Equity Research Competition

The Competition

The Pace Equity Research Competition (PERC) is designed to encourage students to develop their equity research report writing skills. The winning team in the competition will receive a prize of $200, along with a plaque. In addition, the performance of the winning team members will be taken into account for selection in the Pace team representing the University in the NYSSA Investment Research Challenge (IRC). The IRC is an area-wide competition, judged by a panel of high-profile experts.

Teams should consist of 3-5 graduate or undergraduate Pace students, who are currently registered. To register your team for the PERC competition, contact Prof. P.V. Viswanath at pviswanath@pace.edu. The deadline for registration is November 1. (Note the original deadline of Oct. 15 has been extended.) If you are interested, but do not have enough people to form a team, contact Prof. P.V. Viswanath or the Graduate Finance Club (President, Siddhartha Bhattacharya) for information about other individuals interested in participating. Check back regularly at this page for updated information on PERC.

The Details

Your team must analyze the KMG Chemicals Corporation trading under the ticker symbol KMGB on the NASDAQ SmallCap Market, and produce an Initiating Coverage Research Report.

According to the description on Yahoo, KMG Chemicals, Inc. engages in the manufacture and sale of specialty chemicals primarily in the United States. Its products include industrial wood treating chemicals, animal health pesticides, and agricultural herbicides

Produce a research report consisting of no more than five pages of textual analysis plus supporting documents. Supporting documents, such as tables may include no more than five more pages. The research report itself should have the following components, or other subheadings that include similar information: (You may include a cover page in addition to the page limits described above.)

• Investment Summary
• Valuation (including Relative Valuation and Discounted Cash Flow Valuation)
• Business Description
• Other Headings, Relative to Company
• Industry Overview and Competitive Positioning
• Financial Analysis
• Investment risks

Following these sections, you should have an Income Statement and a Balance Sheet for the company, as well as any other relevant statements or exhibits. The Income Statement and Balance Sheet, containing forecast estimates for the coming year(s) should be prepared in accordance with the NYSSA Report Model Template. The report must also contain a Market Profile, prepared according to the NYSSA Market Profile Template.

A copy of the NYSSA template is included here for your guidance.

Note: Indicate where your data came from. There are many sources of information about companies, and you are free to use any of them as long as you properly indicate what you have used. You are also free to consult with any member of the Pace community, both faculty members and students. However, passing off the work of others as your own is plagiarism and is unacceptable in this competition – you are expected to do your own analysis.

You must also be ready to make a fifteen minute oral presentation ready with PowerPoint Slides. The last date for submission of the report and the PowerPoint slides will be November 15 (This deadline has been extended as well from the originally posted Nov. 1 date).

For an example of the research report that won the NYSSA IRC award in 2003, click here.

There will be several workshops offered both at Pace and at NYSSA to help PERC participants. Click here for more information.

Note: All currently registered students may participate in PERC 2005. However, only students who plan to be registered during Spring 2006 will be considered for inclusion in the Pace team participating in the NYSSA Investment Research Challenge.