Equity Research Quiz by GROUP 6 BLOCK 3
Equity Research Quiz by GROUP 6 BLOCK 3
Equity Research Quiz by GROUP 6 BLOCK 3
EQUITY RESEARCH
1. This is the most important section of the report and an analyst spends most of his time
drafting this part.
A. Risk and Disclaimers
B. Financial Information and Valuation
C. Investment Thesis
D. Company Update
Answer: C
2. It is communicated by an analyst to investor in a form of a written documents.
A. Equity Research
B. Equity Valuation
C. Stock Data
D. Equity Report
Answer: A
3. This is the different ways to perform equity Valuation, except?
A. Discounted Cash Flow
B. Asset Based Valuation
C. Precedent Transaction
D. Compatible Approach
Answer: D
4. All the techniques and tools used by investor to get an estimate about the companies
value.
A. Target Price
B. Equity Valuation
C. Recommendation
D. Equity Research Report
Answer: B
5. This section gives an idea of what analyst thinks about the stock.
A. Investment Thesis
B. Financial Information and Valuation
C. Recommendation
D. Company Update
Answer: C
6. The total value of a business that is attributable to the shareholders.
A. Enterprise value
B. Equity value
C. Share price
D. Market value
Answer: B
7. An equity research should be supported by
A. Opinion
B. Judgement
C. Financial statements
D. Article
Answer: C
8. The following are popular sell side firms except:
A. Citibank
B. JP Morgan
C. Goldman Sachs
D. BlackRock
Answer: D
9. Which of the following is considered a buy side?
A. Retail
B. Stock brokers
C. Market makers
D. Commercial banks
Answer: A
10. Statement 1: Equity research positions the company to domestic and international
investors in both the retail and institutional segments.
Statement 2: Equity research generates awareness among investors and positions the
company as a short-term prospect during fund-raising programs.
A. Statement 1 is correct
B. Statement 2 is correct
C. Both statements are correct
D. Both statements are incorrect
Answer: A
11. Below is a list of the most common recommendations or rating analysts issue except:
A. Buy, Outperform, Overweight
B. Hold, Neutral, Market weight
C. Underweight, Buy, Neutral
D Sell, Underperform, Underweight
Answer: C
12. Why do banks publish equity research reports?
A. It is because to earn higher commissions from trading activity
B. It is because to generate fees, both directly and indirectly.
C. Both A and B
D. None of the above
Answer: C
13. Statement 1: Initiating Coverage is long report often 50-100+ pages.
Statement 2: Quarterly Results is a report that is often 2-3 pages.
A. Both statements are correct
B. Statement 2 is correct
C. Statement 1 is correct
D. Both statements are incorrect
Answer: A
14. It is a type of report which a list and summary of a firm’s top stock picks and their
targeted returns is reflected to it.
A. Industry Report
B. Top Picks
C. Initiating Coverage
D. Flash Reports
Answer: B
15. Type of report that is focuses on the company’s quarterly earnings release and any
updated guidance.
A. Quarterly Results
B. Top Picks
C. Initiating Coverage
D. Flash Reports
Answer: A