Attached is a word document that includes information about how to research the beta of the publicly-traded company Mc D

[answerhappygod]

Attached is a word document that includes information about how
to research the beta of the publicly-traded company Mc Donalds.
Once you have completed your research, please submit your company's
beta and a brief interpretation of that beta (that is, does it
indicate that your selected stock is more or less risky than the
market in general) in this DB forum. Suggest some reasons to
support your conclusion.
Researching Your Company’s Beta
This discussion board question relates to the stock selections
you have already made. Remember, your selections are of publicly
held companies, which means they are owned by their shareholders
who have bought these shares in the open market (New York Stock
Exchange). These shares, as we know, have a market price/value that
changes daily depending on how many buyers and sellers of the stock
there are on any given day.
Keep in mind that a company has a certain, fixed number of
common shares outstanding. This is based on the capital structure
of the company which began at the time of the company’s Initial
Public Offering (IPO or “going public”). However, once a company
has established the number of shares that will be sold, that number
remains fixed at least in the short run. Additional shares may be
issued, but this is a significant change in the company’s capital
structure and doesn’t happen generally unless the company has
unusual expansion plans or an acquisition for which they need
financing.
Thus, back to the point. All publicly traded stocks have a
“beta” which measures that stock’s movement around the “market” in
general. This is material that is covered in your textbook and on
which I have provided lecture notes.
What is required for this week’s Discussion Board is to research
the beta of the publicly traded stock that you have selected. Now,
we know the market in general (as we define as all publicly traded
securities) has a beta of 1. We also know that the market is risky
and the market is volatile. So, if you have a stock with a beta
greater than 1, you interpret that stock to be more risky than the
market as defined. If you have a stock with a beta less than 1,
that stock is considered less risky than the market.
Let’s take the example of JP Morgan Chase (which no student
chose.) A good place to look for your company’s beta is on Yahoo
Finance which is I like as the best “free” source of market
information.
Once you are on the site, in the upper lefthand area where it
asks “Enter Symbol”. If you are not certain of the symbol (ticker)
– same thing – you begin by typing the name JP Morgan Chase and it
will appear below and you will see that the symbol or ticker is
JPM. Click on that and a screen will appear with not only the day’s
trading information for JPM but also some additional high-level
information and this includes the beta. Here you will see that
JPM’s beta is 1.11x. That’s interpreted as being somewhat risky and
we know that JPM Chase, as a large financial institution that was
impacted by the financial crisis and also had a very large
trading-related loss about three years ago, and therefore continues
to be considered a rather risky investment today.
So, your assignment will be to research the beta of your
selected stock and submit the beta and a brief interpretation of
the resulting number.