We are a group of students, recent graduates and/or full time executives who get together to conduct a thorough financial analysis on one or two companies at a time. We allocate a few hours each week to our research effort and conclude with a cohesive company report.
Members in this group are assumed to have a medium to advance level background in financial statement analysis. We will do a deep dive into one or two companies in small groups and will be advised (NOT taught) by a business school accounting professor.
To be approved to join this group:
1. Resumes and/or college transcripts are required prior to being approved in this group. Group members are all expected to have high academic or professional achievement. This is meant to make sure that only very serious and qualified members join this group.
2. Also prior to approval you will need to meet the group moderator for a small face to face conversation to determine potential fit. Since we will be a small group, it is essential that we get along and do not have any friction.
Members are expected to abide to the following terms: 1. All group members will need to spend a few hours each week on his or her own in analyzing the financial statements of the company and informally presenting the analysis to fellow group members. 2. Each member is expected to maintain decorum in group meetings and treat fellow members with mutual respect. The moderator of this group will be responsible for leading the group discussions and initiating meetings. 3. A high amount of self initiative is required to learn accounting concepts that are used in fundamental analysis. Please do not expect group members to be your tutors. You must undertake the initial learning yourself if you are not familiar with concepts. Members can guide you.
MEETUP VENUE WILL BE DETERMINED LATER. WE WILL NEED TO MEET AT A QUIET PLACE PREFERABLY A LIBRARY OR OFFICE SPACE. NO COFFEE SHOP OR RESTAURANT MEETINGS.
Some of the topics that our analysis will cover:
1. Executive Compensation
2. Quality of Earnings (GAAP vs non-GAAP earnings adjustments)
3. Revenue recognition policies
4. Disclosures regarding each line item
5. Insider trading
6. Industry Analysis
7. Business Model investigations- maybe talking to customers, suppliers etc.
8. Identifying major risk factors pertaining to accounting policies, business models and executive compensation.
This meetup is really about investigating the SEC filings and earnings call transcripts.
Its NOT about conducting valuations as done in M&A- no DCF, no comps, no M&A modeling.