GLG Life TechFinancial Statement Analysis Lynn Lin Thomas Hrica Aaron Bui Chia-Han Chiang
GLG Description • GLG specializes in the production and distribution of Stevia. • Stevia is a zero-calorie, natural sweetener. • GLG is based in Vancouver.
Ratio Analysis • Market Price Per Share (Started in stock market since 2007)
Ratio Analysis • Earnings per share (EPS)
Profitability Ratios • Profit Margin
Profitability Ratios • Return on Assets
Profitability Ratios • Return on Equity
Investment • Purchasing the stock 4 years ago. Stock price: $12.00
Investment • Purchasing the stock 1 years ago. Stock price: $7.25
March 31, 2011 The stock price on Mar. 31, 2011 was $10.53
Conclusions • GLG is new company that produces stevia • Entered the stock market in 2007 with a $12 per share • As of March 31st , 2011 the stock price is 10.53 • Expansion in china • Significant growth in market price from 2009 up to today • Through the financial analysis, it showed there's potential growth
Recommendations • Managing inventory should be dealt with carefully since overstocked inventory will effect company financially. • Look at financial support options for business expansion, in the long and short term financing. • Monitor foreign exchange rates carefully • Relationship with foreign suppliers such as China.