Financial ratios, Market liquidity, Return on equity
This report is aimed at analyzing Billabong International Limited (BBG)дЫЄs performance of last three years. The report covers analysis of six important factors which an investor needs to take into consideration before investing in a company. Firstly, profitability was considered where earnings were analyzed. CompanyдЫЄs liquidity was also analyzed to determine the risk of insolvency. CompanyдЫЄs efficiency was a point of question as well. Long term debt was also analyzed in relation to equity to identify riskiness of the firm. Lastly, investorдЫЄs return on capital investment was closely taken into account. The report also provides sufficient grounds for investing in Billabong International Limited, and reasons for its dampened growth from prior years.