A renowned Investment Bank based in the US, which offers research, advisory, corporate finance, trading and other financial services was facing a bandwidth constraint for increasing their equity research idea origination and coverage.
JMI was engaged by the firm to prepare three initiation coverage reports and financial models with detailed assumptions on companies from three different sectors (consumer, autos and chemicals).
JMI Implementation
Public Data: The initiation coverage reports included scanning the company websites, SEC filings, investor presentations, press releases and conference call transcripts, with an aim to gain deeper insights about background of companies, products and services, business strengths, etc.
Financial Model: JMI prepared plug & play financial models for a period of ten years (including projections for five years) which enabled us to capture the effects of various industry cycles and seasonality of the company’s businesses.
Strategy: JMI mapped the companies competitive positioning, growth strategies and forecast capital/operating expenditure.
Other Aspects: JMI also prepared other aspects of the reports like industry analysis, impact on sustainability, risk assessment, financial overview and company outlook.
Analysis: JMI prepared driver-based financial forecasts, industry-specific valuation, and scenario and sensitivity analysis.
Investment Recommendation: JMI worked on the thesis for the investment opportunity.
Value Delivered
Delivered three 30+ pages initiation coverage reports, detailed financial models, slides and one-pagers on three companies from different sectors.
JMI helped firm scale up research coverage quickly and initiate new investment opportunities and provided greater flexibility to the client along with the ability to scale quickly on demand and get more face-time with clients and focus on corporate access initiative.
