You are working as a financial analyst for Apple Inc. Apple Inc. is one of the most innovative companies worldwide. For example, in November 2012 Apple sold three million ipads in 3 days after the launch of the new ipad mini and the 4th generation ipad.
Required:
1) Perform horizontal financial analysis; Using at least 5 financial ratios, having both Balance Sheet and Income Statement ratios, discuss the financial performance of Apple Inc. from 2009, 2010, and 2011. Select the ratios that you think are the most useful for analyzing Apple Inc., making sure to address profitability, liquidity and solvency.
2) Conclude on whether you could invest today in Apple Inc. and give rationale as to why or why not. Discuss at least three points which support your conclusion, and 1 of these points must relate to a competitor's financial performance.