Dell Corporation
Madison Holler
Ryan Sulek
Clark Rowekamp
Steve Hartwig
Managerial Finance
November 28, 2005
Professor Bill Nalepka
Table of Contents
Introduction ? Madison Holler
Horizontal Analysis ? Clark Rowekamp
Ratio Analysis for 5 Years ? Ryan Sulek
Analysis of Previous Two Years Income Statements and Cash Flow Statements ? Madison Holler
Analysis of Balance Sheet ? Steve Hartwig
Competition ? Clark Rowekamp
Future ? Ryan Sulek
Summary ? Steve Hartwig
Conclusion ? Steve Hartwig
Introduction
The purpose of this report is the thorough examination of the financial strengths and weaknesses of Dell Corporation. This company generates sales by designing computers for the specific needs of each consumer. Dell, a just-in-time manufacturer, is leading the industry in sales and profits.
Much research was conducted using online databases such as EDGAR, InfoTrac, and Lexis-Nexis Academic. Articles about Dell Corporation and its competitors were found in Business News and other magazines through the use of Lexis-Nexis and InfoTrac. Dun & Bradstreet was also utilized for industry-wide information. All numbers listed within this report are in billions unless otherwise stated.
Horizontal Analysis
Dell's year-over-year unit shipments increased 21% while industry shipments declined 1% (excluding Dell). Sales outside the U.S. accounted for approximately 34% of Dell's net revenue in fiscal 2003 (Sec.gov).
During fiscal years 2001 and 2002, Dell took on two separate actions to reduce its workforce and exit certain activities ...