Estimate the per-share value of Eli Lilly (LLY) common stock. Obtain all necessary data from the information below.

(MULTI PART QUESTION, PLEASE ANSWER EVERYTHING)

a. Justify your choice of valuation model and discuss any judgment calls involved in choosing inputs. (8 pts)

b. Implement the valuation model. (10 pts)

c. Interpret the output of the model and evaluate its reliability. (7 pts)

Eli Lilly and Company (LLY) $149.45 Next Rpt Date: 23 Apr 20 Report as of 14 Apr 20 Price $149.18 1 +4.76 (3.3%) Price as of 14 Apr 20 11:42AM ET LLY-US SP50-SPX (Indexed to LLY-US) Volume 953,226 Open 147.28 VWAP 147.65 Previous Close 144.42 Shares Out (M) 957.0 Intraday Range Market Value (B) 142.8 144.05 149.38 P/E 30.1% 1.2% Volume (Millions) 149.18 52 Week Range 101.36 Price AN Short Int (% of Float) 149.38 Trading Since 18 Jul 72 149.18 Return Analysis vs. S&P 500 May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Volume 7.54 Average Trading Volume Shares Values Millions, USD) Today's Volume as % of Avg Today 953,226 142.2 5 Day 3,754,405 540.5 25.4 30 Day 6,036,344 816.4 15.8 90 Day 4,443,544 600.0 21.5 6.62 Today Week To Date Month To Date Quarter To Date Year To Date 1 Month 3 Month 6 Month 9 Month 1 Year 2 Year CAGR 3 Year CAGR 5 Year CAGR 10 Year CAGR 20 Year CAGR 30 Year CAGR From IPO CAGR Price Change (%) LLY SP50-SPX 3.30 0.00 2.37 - 1.01 7.54 6.85 7.54 6.85 13.51 -14.52 7.04 1.87 6.06 -15.88 38.26 -6.90 37.76 -8.37 21.23 -5.01 36.80 1.96 2021 5.84 15.22 5.67 15.09 8.60 4.05 3.62 7.48 7.19 Total Retum (%) LLY SP50-SPX 3.30 0.00 2.37 -1.01 7.54 6.93 6.93 14.10 -14.03 7.04 2.02 -15.46 39.78 -5.97 40.10 -6.99 23.96 3.11 39.92 4.02 23.11 7.96 18.11 7.86 19.08 10.88 7.37 5.66 10.73 9.47 Dividends Amt SP50-SPX 58 88 2.0% 5.7% LLY-US 2.96 2.0% 14.7% 30.5% 35.8% 5 54.0% 1.9x Indicated Ann Dividend Dividend Yield 1 Yr Div Growth 3 Yr Div Growth 5 Yr Div Growth Div Increases in 5 Yrs Payout Ratio Coverage Ex-Dato 13-Feb-2020 14-Nov-2019 14-Aug-2019 16-May-2019 14-Feb-2019 14-Nov-2018 14-Aug-2018 16-May-2018 0.740 0.645 0.645 0.645 0.645 0.563 0.563 0.563 37.3% Volatility Beta Raw) Special Dividends Description None Bota (Adjusted) Beta (Unlevered) Alpha R-squared Average Price Change Standard Deviation 90 Day 0.79 0.86 0.74 0.28 0.64 0.12% 57.71% 52 Wks 0.78 0.85 0.73 0.08 0.51 0.08% 33.67% 3 Yrs 0.76 0.84 0.71 0.06 0.40 0.08% 25.06% 5 Yrs 0.78 0.85 0.74 0.04 0.33 0.06% 24.93% Data uses Daily Prices Splits Cumulative Split Factor: 0.062 16-Oct-1997 (2 For 1) 21-Dec-1995 (2 For 1) 01-May-1989 (2 For 1) 30-Jan-1986 2 For 1) Pre-Split Price (LOCAL) 127.69 102.50 108.00 106.38 Reported Shares 5Y Chg -153.1 10Y Cho -191.5 DEC '19 957. 5 DEC '18 1 .057.0 DEC '17 1.100.0 DEC 16 1,100.9 DEC 15 1,105.3 DEC 14 1,110. 6 DEC '13 1 ,116.8 DEC '12 1,143.6 DEC '11 1,157.8 DEC '10 1.152.3 Shs Outstanding Basic Shares (weighted) Common Stock Equiv Diluted Shares (weighted) -148.8 10.2 -138.7 -166.1 3.1 - 163.0 932.3 3.1 935.4 1,038,9 1.9 1,040.8 1,066 2 1.2 1,0674 1,069.0 2.2 1,071.2 1,073.1 2.6 1,075.8 1,081 2 -7.1 1,074.1 1,091.3 -6.5 1,084.8 1,124.7 -7.4 1,117.3 1,113.9 0.0 1,113.9 1,105.4 0.0 1,105.4 All figures in milions. All shares are as reported by the company. Change (%) 5Y Chg 10Y Chg -13.8 -16.7 DEC '19 -9.4 DEC '18 -3.9 DEC 17 -0.1 DEC 16 -0.4 DEC 15 -0.5 DEC 14 -0.6 DEC 13 -2.3 DEC '12 -1.2 DEC '11 0.5 DEC '10 0.3 Shs Outstanding -0.7 Basic Shares (weighted) Common Stock Equiv Diluted Shares (weighted) -13.8 19.0 -12.9 -15.1 -28,827.8 -14.8 -10.3 62.3 -10.1 -2.6 63.8 -2.5 -0.3 -46.0 -0.4 -0.4 - 17.1 -0.4 -0.9 -8.5 - 1.0 -3.0 1.0 12.6 -21,824.8 -2.9 0.3 0.8 448.0 0.8 0.6 -80.3 0.6 0.2 Shares Buyback Shares Repurchased Net Shares Issued Change in Diluted shares 5Y Sum -105.1 33.6 -138.7 10Y Sum 165.0 2.1 -163.0 DEC 19 37.6 -67.8 -105.4 DEC '18 45.9 19.4 -26.5 DEC 17 4.4 0.5 -3.9 DEC 16 -7.3 2.8 5 4. DEC 15 -9.9 11.5 1 .7 DEC 14DEC '13 -12.6 -30.4 1.9 -2.1 -10.7 -32.5 DEC '12 -16.9 20.3 3.4 DEC '11 DEC '10 -0.0 -0.0 8.5 7.1 8.5 7.0 All figures in milions Total Value Market Capitalization Common Stock Equiv Equity (Shs Out + CSE) 5Y Chg 49,226 828 50,123 10Y Chg 84,816 377 85,225 DEC '19 DEC '18 125.848 122.320 378 186 126,258122,543 DEC 17 92,907 99 93,006 DEC 16 80,969 166 81,129 DEC '15 93,130 213 93,351 DEC 14 76,622 450 76,135 DEC '13 56,957 -337 -337 5 6,625 DEC '12 56,404 335 56,037 DEC '11 48,118 1 48,119 DEC '10 40,376 0 40,376 All figures in milions of U.S. Dolar. Return 5Y Sum 10Y Sum Stock Price Price Change Dividend DEC '19 131.43 15.71 2.58 DEC '18 115.72 31.26 2.25 DEC 17 84.46 10.91 2.08 DEC 16 73.55 -10.71 2.04 DEC 15 84.26 15.27 2.00 DEC '14 68.99 17.99 1.96 DEC '13 51.00 1.68 1.96 DEC '12 49.32 7.76 1.96 DEC '11 DEC '10 41.56 35.04 6.52 -0.67 1.96 1.96 10.95 20.75 All figures in U.S. Dollar. Return (%) 10Y 5Y CAGR CAGR DEC '18 DEC 15 DEC 13 4.0 Dividend Return Stock Price Market Capitalization Share Reduction Total Retum 37.0 13.8 10.4 3.0 16.4 DEC '19 22 13.6 2.9 10.4 15.8 13.9 11.9 1.8 17.6 DEC '17 2.8 14.8 14.7 0.1 17.7 DEC 16 2.4 -12.7 -13.1 0.4 -10.3 DEC '10 5.5 -1.9 -1.6 DEC 14 3.8 35.3 34.5 0.6 39.1 22.1 21.5 0.5 25.0 DEC '12 4.7 18.7 17.2 1.2 23.4 3.4 1.0 2.4 7.4 DEC '11 5.6 18.6 19.2 -0.5 -0.3 4.1 39.7 3.6 FACTSETO 2020 FactSet Research Systems, Inc. Source: FactSet Fundamentals Ratios (x) DEC '10 365 DAYS DEC 19 365 DAYS 5.5 26.5 48.3 DEC '18 365 DAYS 4.9 37.0 12.4 62.4 21.7 27.7 Price / Sales Price / Earnings Price/Book Value Price / Tangible Book Value Price/Cash Flow Price / Free Cash Flow 7.7 DEC '17 365 DAYS 3.9 -444.5 8.0 29.1 15.8 19.6 DEC '16 366 DAYS 3.7 28.5 5.8 14.3 16.1 20.5 DEC '15 365 DAYS 4.5 37.3 6.4 16.9 32.4 52.6 DEC '14 365 DAYS 3.8 30.9 5.0 7.1 17.0 23.1 DEC '13 365 DAYS 2.4 11.8 3.2 4.3 9.6 DEC '11 365 DAYS 1.9 10.7 3.6 DEC '12 366 DAYS 2.4 13.5 3.8 5.6 10.4 12.5 25.4 32.3 11.7 Dividend Yield (%) Enterprise Value / EBIT Enterprise Value / EBITDA Enterprise Value / Sales EBIT/Interest Expense (Int. Coverage) 24.1 19.9 1.9 20.7 16.4 5.2 22.7 2.5 20.0 15.2 4.3 17.5 2.8 22.0 15.9 4.0 16.6 2.4 26.9 19.3 4.8 16.6 2.8 24.0 17.0 4.1 17.8 3.8 10.2 8.1 2.5 30.1 4.0 11.2 8.7 2.5 25.2 4.7 7.6 6.3 14.5 29.8 32.0 Income Statement DEC 19 365 DAYS 22,320 DEC '18 365 DAYS 24,556 DEC '17 365 DAYS 22,871 DEC '16 366 DAYS 21,222 6.3 15,567 DEC 15 365 DAYS 19,959 DEC '13 365 DAYS 23,113 DEC 12 366 DAYS 22,603 DEC '10 365 DAYS 23,076 DEC '14 365 DAYS 19,616 - 15.1 14,683 -193 DEC '11 365 DAYS 24,287 5.2 19,219 2.7 14,922 18,205 17,598 -2.9 17,807 -7.3 18,710 6.4 81.1 6,772 78.8 74.8 74.9 78.8 791 5,790 Sales Growth (%) Gross Income Growth (%) Gross Margin (%) EBIT Growth (%) EBIT Margin (%) EBITDA Growth (%) EBITDA Margin (%) Net Income Growth (%) Net Margin (%) 18.126 7.9 73.8 6,187 25.5 25.2 7,796 20.0 31.7 3,232 16,801 7.9 73.5 4,931 27.4 21.6 6,499 21.1 28.4 -204 -107.5 -0.9 3,871 7.8 18.2 5,368 25.9 7,022 3,592 7.9 18.0 5,020 6.6 252 2.408 0.7 12.1 3,329 -40.0 17.0 4,708 327 24.0 2.391 6,318 -6.7 26.0 7,692 78.8 5,548 10.6 24.0 6,994 80 30.3 4,685 14.6 5,015 -206 222 6,478 -15.8 28.7 4,089 -6.0 18.1 31.7 4,348 31.5 4,638 43.5 20.8 25.3 2,738 13.7 12.9 29.3 8,100 5.6 35.1 5,070 17.1 22.0 13.2 122 20.3 17.9 All figures in milions of U.S. Dollar Balance Sheet DEC 15 365 DAYS 4,452 DEC 19 365 DAYS 2.439 -69.8 6.2 39.286 -10.5 Cash & Short-Term Investments Growth (%) Cash & ST Investments/Total Assets (%) Total Assets Growth (%) DEC '18 365 DAYS 8,086 07 18.4 43,908 DEC '17 365 DAYS 8,034 33.0 17.9 44,981 9 15. DEC '16 366 DAYS 6,039 35.6 15.6 38,806 9 .1 DEC '14 365 DAYS 4,827 -10.6 DEC '13 365 DAYS 5,397 -5.0 15.3 35,249 2.5 DEC 12 366 DAYS 5,684 -17.6 16.5 34,399 DEC '11 365 DAYS 6,897 25 20.5 33,660 8.6 DEC '10 365 DAYS 6,727 49.6 21.7 31,001 129 12.5 35,569 -4.3 37,178 5.5 0.6 0.5 0.5 0.8 73 0.5 -0.5 13,647 173 12,771 7,979 6.927 4.0 29.1 10,305 29.2 26.6 73.6 4.267 224 54.8 3,527 8,056 54.5 21.7 52.4 3.229 Asset Turnover (x) Return on Assels (%) Total Debt Growth (%) Total Debt / Total Assets (%) Total Debt / Total Equity (%) Net Debt Growth (%) Net Debt/Total Equity (%) Total Liabilities Growth (%) Total Shareholders' Equity Growth (%) Total Shareholders' Equity/Total Assets (%) Return on Equity (%) 223 55.8 0.5 11.1 15,926 27 40.5 6109 13,487 1879 517.4 36,587 10.9 2,607 -73.5 6.6 74.6 0.7 12.0 5,531 -20.8 16.1 37.5 -153 -270.2 -1.0 19,625 129.9 4,685 -16.5 47.7 32,999 0.7 13.5 5,213 -5.8 14.8 29.6 -184 -20.5 -1.0 17,608 -103 17,631 19.4 50.0 28.9 6,987 0.9 20.8 51.6 90 -54.9 0.7 20,124 8.3 13,542 303 117.7 5,613 31.6 48.4 33,313 34.7 11,592 -172 25.8 200 -90.8 21.0 1.6 24.2 20,979 18,589 30.5 24,725 17.9 14,008 9.829 21.0 21,790 23.8 15,373 -128 41.4 14.5 14,765 12,420 30.4 90 14,571 -52 41.0 16.1 90 40.1 302 36.1 19.2 42.9 28.9 40.2 33.5 46.2 All figures in mlions of U.S. Dollar. Cash Flow DEC '18 365 DAYS 5,525 DEC '13 365 DAYS 5,735 DEC 19 365 DAYS 4,837 - 12.5 252 -1,354 55.2 -8.083 -524.1 -2.325 DEC 15 365 DAYS 2,773 -36.5 12.8 -1.626 DEC '17 365 DAYS 5,616 15.8 25.6 -2,164 -98.1 -3,784 -20.5 143 DEC '11 365 DAYS 7,235 5.5 37.9 -1,693 DEC '10 365 DAYS 6,857 58.2 38.8 -1,187 Net Operating Cash Flow Growth (%) Cash Flow Return on invested Capital (%) Capital Expenditures Growth (%) Net Investing Cash Flow Growth (%) Net Financing Cash Flow Growth (%) Free Cash Flow Growth (%) Free Cash Flow Yield (%) 257 -3,018 -39.5 1,906 272 -1,093 DEC '16 366 DAYS 4,851 74.9 21.6 -1,092 32.8 -3,139 - 11,813.1 -560 80.8 3,814 123.5 DEC '14 365 DAYS 4,367 -23.9 20.5 -1.566 -43.2 -3,909 -88.6 -75 98.0 3,205 -32.1 DEC 12 365 DAYS 5,305 -26.7 27.0 -1,044 38.3 -2.833 41.3 -4,420 -86.5 4,399 -33.0 8.0 60.6 -2,073 26.8 -3,829 13.4 4,723 7.4 8.5 -5,905 -4.240.9 4,314 -5.0 3.6 -4,824 -52.7 -2.370 -172 6,563 6.5 14.2 -3,160 -2,3127 -2,022 63.5 6,163 -2,919 -3.787.1 1,707 -46.7 1.9 3,803 - 11.9 3.1 4,539 19.0 5.1 726 15.9 All figures in milions of U.S. Dollar Per Share DEC '15 365 DAYS 18.73 DEC '14 365 DAYS 18.26 DEC '12 366 DAYS 20.23 DEC '18 365 DAYS 23.76 9.3 4.86 182.0 3.13 2.6 - 14.3 DEC '19 365 DAYS 23.85 0.4 5.72 17.6 4.96 58.4 2.58 DEC '10 365 DAYS 20.87 5.0 4.74 -7.2 2.66 2.97 11.8 DEC '11 365 DAYS 21.80 4.5 4.35 -8.1 3.90 - 14.8 DEC '17 365 DAYS 21.74 8.8 1.73 -41.9 -0.19 - 107.4 2.08 2.0 10.54 -17.2 2.90 DEC '13 365 DAYS 21.31 5.3 4.13 22.5 4.32 18.0 1.96 Sales per Share Growth (%) EPS (recurring) Growth (%) EPS (diluted) Growth (%) Dividends per Share Growth (%) Book Value per Share Growth (%) Tangible Book Value per Share DEC '16 366 DAYS 19.99 6.7 2.97 -0.1 2.58 14.2 2.04 2.0 12.72 -3.5 5.16 6.4 3.37 -22.6 3.66 2.26 -35.7 2.23 -48.4 1.96 -6.2 1.3 2.00 14.7 2.0 0.0 0.0 2.25 8.2 9.30 - 11.8 1.85 2.72 -70.7 -8.03 4.58 16.2 1.96 0.0 10.78 30.0 6.60 13.18 -4.8 4.97 13.84 - 12.3 9.66 1.96 0.0 12.91 10.4 8.75 15.79 22.3 11.91 1.96 0.0 11.70 8.5 7.27 -43.7 - 18.9 -533.1 5.17 -36.1 5.34 36.0 5.29 11.4 20.5 4.75 4.07 -3.3 0.1 Growth (%) Cash Flow per Share Growth (%) Free Cash Flow per Share Growth (%) Diluted Shares Outstanding (M) Basic Shares Outstanding (M) Total Shares Outstanding (M) 4.06 -2.6 935.68 931.06 957.53 3333333 5.34 16.8 4.31 20.1 1,052.02 1,052.02 1,100.01 4.17 -3.3 1,033.67 1,027.72 1,057.04 3.7 4.57 75.6 3.59 124.3 1,061.83 1,058.32 1,100.88 4.35 10.6 -48.5 2.60 -36.0 1.60 -46.3 1,065.72 1,061.91 1,105.27 -26.9 3.94 -33.2 -23.1 2.98 -31.5 1,074.29 1,069.93 1,110.63 10.2 6.49 4.7 5.89 5.7 1,113.97 1,113.92 1,157.79 30.2 6.20 57.1 5.57 71.4 1,105.81 1,105.79 1,152.29 1,084.77 1,080.87 1,116.80 1,117.29 1,113.18 1,143.64 All figures in U.S. Dollar except labeled items. Eli Lilly and Company (LLY) $149.45 Next Rpt Date: 23 Apr 20 Report as of 14 Apr 20 Price $149.18 1 +4.76 (3.3%) Price as of 14 Apr 20 11:42AM ET LLY-US SP50-SPX (Indexed to LLY-US) Volume 953,226 Open 147.28 VWAP 147.65 Previous Close 144.42 Shares Out (M) 957.0 Intraday Range Market Value (B) 142.8 144.05 149.38 P/E 30.1% 1.2% Volume (Millions) 149.18 52 Week Range 101.36 Price AN Short Int (% of Float) 149.38 Trading Since 18 Jul 72 149.18 Return Analysis vs. S&P 500 May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Volume 7.54 Average Trading Volume Shares Values Millions, USD) Today's Volume as % of Avg Today 953,226 142.2 5 Day 3,754,405 540.5 25.4 30 Day 6,036,344 816.4 15.8 90 Day 4,443,544 600.0 21.5 6.62 Today Week To Date Month To Date Quarter To Date Year To Date 1 Month 3 Month 6 Month 9 Month 1 Year 2 Year CAGR 3 Year CAGR 5 Year CAGR 10 Year CAGR 20 Year CAGR 30 Year CAGR From IPO CAGR Price Change (%) LLY SP50-SPX 3.30 0.00 2.37 - 1.01 7.54 6.85 7.54 6.85 13.51 -14.52 7.04 1.87 6.06 -15.88 38.26 -6.90 37.76 -8.37 21.23 -5.01 36.80 1.96 2021 5.84 15.22 5.67 15.09 8.60 4.05 3.62 7.48 7.19 Total Retum (%) LLY SP50-SPX 3.30 0.00 2.37 -1.01 7.54 6.93 6.93 14.10 -14.03 7.04 2.02 -15.46 39.78 -5.97 40.10 -6.99 23.96 3.11 39.92 4.02 23.11 7.96 18.11 7.86 19.08 10.88 7.37 5.66 10.73 9.47 Dividends Amt SP50-SPX 58 88 2.0% 5.7% LLY-US 2.96 2.0% 14.7% 30.5% 35.8% 5 54.0% 1.9x Indicated Ann Dividend Dividend Yield 1 Yr Div Growth 3 Yr Div Growth 5 Yr Div Growth Div Increases in 5 Yrs Payout Ratio Coverage Ex-Dato 13-Feb-2020 14-Nov-2019 14-Aug-2019 16-May-2019 14-Feb-2019 14-Nov-2018 14-Aug-2018 16-May-2018 0.740 0.645 0.645 0.645 0.645 0.563 0.563 0.563 37.3% Volatility Beta Raw) Special Dividends Description None Bota (Adjusted) Beta (Unlevered) Alpha R-squared Average Price Change Standard Deviation 90 Day 0.79 0.86 0.74 0.28 0.64 0.12% 57.71% 52 Wks 0.78 0.85 0.73 0.08 0.51 0.08% 33.67% 3 Yrs 0.76 0.84 0.71 0.06 0.40 0.08% 25.06% 5 Yrs 0.78 0.85 0.74 0.04 0.33 0.06% 24.93% Data uses Daily Prices Splits Cumulative Split Factor: 0.062 16-Oct-1997 (2 For 1) 21-Dec-1995 (2 For 1) 01-May-1989 (2 For 1) 30-Jan-1986 2 For 1) Pre-Split Price (LOCAL) 127.69 102.50 108.00 106.38 Reported Shares 5Y Chg -153.1 10Y Cho -191.5 DEC '19 957. 5 DEC '18 1 .057.0 DEC '17 1.100.0 DEC 16 1,100.9 DEC 15 1,105.3 DEC 14 1,110. 6 DEC '13 1 ,116.8 DEC '12 1,143.6 DEC '11 1,157.8 DEC '10 1.152.3 Shs Outstanding Basic Shares (weighted) Common Stock Equiv Diluted Shares (weighted) -148.8 10.2 -138.7 -166.1 3.1 - 163.0 932.3 3.1 935.4 1,038,9 1.9 1,040.8 1,066 2 1.2 1,0674 1,069.0 2.2 1,071.2 1,073.1 2.6 1,075.8 1,081 2 -7.1 1,074.1 1,091.3 -6.5 1,084.8 1,124.7 -7.4 1,117.3 1,113.9 0.0 1,113.9 1,105.4 0.0 1,105.4 All figures in milions. All shares are as reported by the company. Change (%) 5Y Chg 10Y Chg -13.8 -16.7 DEC '19 -9.4 DEC '18 -3.9 DEC 17 -0.1 DEC 16 -0.4 DEC 15 -0.5 DEC 14 -0.6 DEC 13 -2.3 DEC '12 -1.2 DEC '11 0.5 DEC '10 0.3 Shs Outstanding -0.7 Basic Shares (weighted) Common Stock Equiv Diluted Shares (weighted) -13.8 19.0 -12.9 -15.1 -28,827.8 -14.8 -10.3 62.3 -10.1 -2.6 63.8 -2.5 -0.3 -46.0 -0.4 -0.4 - 17.1 -0.4 -0.9 -8.5 - 1.0 -3.0 1.0 12.6 -21,824.8 -2.9 0.3 0.8 448.0 0.8 0.6 -80.3 0.6 0.2 Shares Buyback Shares Repurchased Net Shares Issued Change in Diluted shares 5Y Sum -105.1 33.6 -138.7 10Y Sum 165.0 2.1 -163.0 DEC 19 37.6 -67.8 -105.4 DEC '18 45.9 19.4 -26.5 DEC 17 4.4 0.5 -3.9 DEC 16 -7.3 2.8 5 4. DEC 15 -9.9 11.5 1 .7 DEC 14DEC '13 -12.6 -30.4 1.9 -2.1 -10.7 -32.5 DEC '12 -16.9 20.3 3.4 DEC '11 DEC '10 -0.0 -0.0 8.5 7.1 8.5 7.0 All figures in milions Total Value Market Capitalization Common Stock Equiv Equity (Shs Out + CSE) 5Y Chg 49,226 828 50,123 10Y Chg 84,816 377 85,225 DEC '19 DEC '18 125.848 122.320 378 186 126,258122,543 DEC 17 92,907 99 93,006 DEC 16 80,969 166 81,129 DEC '15 93,130 213 93,351 DEC 14 76,622 450 76,135 DEC '13 56,957 -337 -337 5 6,625 DEC '12 56,404 335 56,037 DEC '11 48,118 1 48,119 DEC '10 40,376 0 40,376 All figures in milions of U.S. Dolar. Return 5Y Sum 10Y Sum Stock Price Price Change Dividend DEC '19 131.43 15.71 2.58 DEC '18 115.72 31.26 2.25 DEC 17 84.46 10.91 2.08 DEC 16 73.55 -10.71 2.04 DEC 15 84.26 15.27 2.00 DEC '14 68.99 17.99 1.96 DEC '13 51.00 1.68 1.96 DEC '12 49.32 7.76 1.96 DEC '11 DEC '10 41.56 35.04 6.52 -0.67 1.96 1.96 10.95 20.75 All figures in U.S. Dollar. Return (%) 10Y 5Y CAGR CAGR DEC '18 DEC 15 DEC 13 4.0 Dividend Return Stock Price Market Capitalization Share Reduction Total Retum 37.0 13.8 10.4 3.0 16.4 DEC '19 22 13.6 2.9 10.4 15.8 13.9 11.9 1.8 17.6 DEC '17 2.8 14.8 14.7 0.1 17.7 DEC 16 2.4 -12.7 -13.1 0.4 -10.3 DEC '10 5.5 -1.9 -1.6 DEC 14 3.8 35.3 34.5 0.6 39.1 22.1 21.5 0.5 25.0 DEC '12 4.7 18.7 17.2 1.2 23.4 3.4 1.0 2.4 7.4 DEC '11 5.6 18.6 19.2 -0.5 -0.3 4.1 39.7 3.6 FACTSETO 2020 FactSet Research Systems, Inc. Source: FactSet Fundamentals Ratios (x) DEC '10 365 DAYS DEC 19 365 DAYS 5.5 26.5 48.3 DEC '18 365 DAYS 4.9 37.0 12.4 62.4 21.7 27.7 Price / Sales Price / Earnings Price/Book Value Price / Tangible Book Value Price/Cash Flow Price / Free Cash Flow 7.7 DEC '17 365 DAYS 3.9 -444.5 8.0 29.1 15.8 19.6 DEC '16 366 DAYS 3.7 28.5 5.8 14.3 16.1 20.5 DEC '15 365 DAYS 4.5 37.3 6.4 16.9 32.4 52.6 DEC '14 365 DAYS 3.8 30.9 5.0 7.1 17.0 23.1 DEC '13 365 DAYS 2.4 11.8 3.2 4.3 9.6 DEC '11 365 DAYS 1.9 10.7 3.6 DEC '12 366 DAYS 2.4 13.5 3.8 5.6 10.4 12.5 25.4 32.3 11.7 Dividend Yield (%) Enterprise Value / EBIT Enterprise Value / EBITDA Enterprise Value / Sales EBIT/Interest Expense (Int. Coverage) 24.1 19.9 1.9 20.7 16.4 5.2 22.7 2.5 20.0 15.2 4.3 17.5 2.8 22.0 15.9 4.0 16.6 2.4 26.9 19.3 4.8 16.6 2.8 24.0 17.0 4.1 17.8 3.8 10.2 8.1 2.5 30.1 4.0 11.2 8.7 2.5 25.2 4.7 7.6 6.3 14.5 29.8 32.0 Income Statement DEC 19 365 DAYS 22,320 DEC '18 365 DAYS 24,556 DEC '17 365 DAYS 22,871 DEC '16 366 DAYS 21,222 6.3 15,567 DEC 15 365 DAYS 19,959 DEC '13 365 DAYS 23,113 DEC 12 366 DAYS 22,603 DEC '10 365 DAYS 23,076 DEC '14 365 DAYS 19,616 - 15.1 14,683 -193 DEC '11 365 DAYS 24,287 5.2 19,219 2.7 14,922 18,205 17,598 -2.9 17,807 -7.3 18,710 6.4 81.1 6,772 78.8 74.8 74.9 78.8 791 5,790 Sales Growth (%) Gross Income Growth (%) Gross Margin (%) EBIT Growth (%) EBIT Margin (%) EBITDA Growth (%) EBITDA Margin (%) Net Income Growth (%) Net Margin (%) 18.126 7.9 73.8 6,187 25.5 25.2 7,796 20.0 31.7 3,232 16,801 7.9 73.5 4,931 27.4 21.6 6,499 21.1 28.4 -204 -107.5 -0.9 3,871 7.8 18.2 5,368 25.9 7,022 3,592 7.9 18.0 5,020 6.6 252 2.408 0.7 12.1 3,329 -40.0 17.0 4,708 327 24.0 2.391 6,318 -6.7 26.0 7,692 78.8 5,548 10.6 24.0 6,994 80 30.3 4,685 14.6 5,015 -206 222 6,478 -15.8 28.7 4,089 -6.0 18.1 31.7 4,348 31.5 4,638 43.5 20.8 25.3 2,738 13.7 12.9 29.3 8,100 5.6 35.1 5,070 17.1 22.0 13.2 122 20.3 17.9 All figures in milions of U.S. Dollar Balance Sheet DEC 15 365 DAYS 4,452 DEC 19 365 DAYS 2.439 -69.8 6.2 39.286 -10.5 Cash & Short-Term Investments Growth (%) Cash & ST Investments/Total Assets (%) Total Assets Growth (%) DEC '18 365 DAYS 8,086 07 18.4 43,908 DEC '17 365 DAYS 8,034 33.0 17.9 44,981 9 15. DEC '16 366 DAYS 6,039 35.6 15.6 38,806 9 .1 DEC '14 365 DAYS 4,827 -10.6 DEC '13 365 DAYS 5,397 -5.0 15.3 35,249 2.5 DEC 12 366 DAYS 5,684 -17.6 16.5 34,399 DEC '11 365 DAYS 6,897 25 20.5 33,660 8.6 DEC '10 365 DAYS 6,727 49.6 21.7 31,001 129 12.5 35,569 -4.3 37,178 5.5 0.6 0.5 0.5 0.8 73 0.5 -0.5 13,647 173 12,771 7,979 6.927 4.0 29.1 10,305 29.2 26.6 73.6 4.267 224 54.8 3,527 8,056 54.5 21.7 52.4 3.229 Asset Turnover (x) Return on Assels (%) Total Debt Growth (%) Total Debt / Total Assets (%) Total Debt / Total Equity (%) Net Debt Growth (%) Net Debt/Total Equity (%) Total Liabilities Growth (%) Total Shareholders' Equity Growth (%) Total Shareholders' Equity/Total Assets (%) Return on Equity (%) 223 55.8 0.5 11.1 15,926 27 40.5 6109 13,487 1879 517.4 36,587 10.9 2,607 -73.5 6.6 74.6 0.7 12.0 5,531 -20.8 16.1 37.5 -153 -270.2 -1.0 19,625 129.9 4,685 -16.5 47.7 32,999 0.7 13.5 5,213 -5.8 14.8 29.6 -184 -20.5 -1.0 17,608 -103 17,631 19.4 50.0 28.9 6,987 0.9 20.8 51.6 90 -54.9 0.7 20,124 8.3 13,542 303 117.7 5,613 31.6 48.4 33,313 34.7 11,592 -172 25.8 200 -90.8 21.0 1.6 24.2 20,979 18,589 30.5 24,725 17.9 14,008 9.829 21.0 21,790 23.8 15,373 -128 41.4 14.5 14,765 12,420 30.4 90 14,571 -52 41.0 16.1 90 40.1 302 36.1 19.2 42.9 28.9 40.2 33.5 46.2 All figures in mlions of U.S. Dollar. Cash Flow DEC '18 365 DAYS 5,525 DEC '13 365 DAYS 5,735 DEC 19 365 DAYS 4,837 - 12.5 252 -1,354 55.2 -8.083 -524.1 -2.325 DEC 15 365 DAYS 2,773 -36.5 12.8 -1.626 DEC '17 365 DAYS 5,616 15.8 25.6 -2,164 -98.1 -3,784 -20.5 143 DEC '11 365 DAYS 7,235 5.5 37.9 -1,693 DEC '10 365 DAYS 6,857 58.2 38.8 -1,187 Net Operating Cash Flow Growth (%) Cash Flow Return on invested Capital (%) Capital Expenditures Growth (%) Net Investing Cash Flow Growth (%) Net Financing Cash Flow Growth (%) Free Cash Flow Growth (%) Free Cash Flow Yield (%) 257 -3,018 -39.5 1,906 272 -1,093 DEC '16 366 DAYS 4,851 74.9 21.6 -1,092 32.8 -3,139 - 11,813.1 -560 80.8 3,814 123.5 DEC '14 365 DAYS 4,367 -23.9 20.5 -1.566 -43.2 -3,909 -88.6 -75 98.0 3,205 -32.1 DEC 12 365 DAYS 5,305 -26.7 27.0 -1,044 38.3 -2.833 41.3 -4,420 -86.5 4,399 -33.0 8.0 60.6 -2,073 26.8 -3,829 13.4 4,723 7.4 8.5 -5,905 -4.240.9 4,314 -5.0 3.6 -4,824 -52.7 -2.370 -172 6,563 6.5 14.2 -3,160 -2,3127 -2,022 63.5 6,163 -2,919 -3.787.1 1,707 -46.7 1.9 3,803 - 11.9 3.1 4,539 19.0 5.1 726 15.9 All figures in milions of U.S. Dollar Per Share DEC '15 365 DAYS 18.73 DEC '14 365 DAYS 18.26 DEC '12 366 DAYS 20.23 DEC '18 365 DAYS 23.76 9.3 4.86 182.0 3.13 2.6 - 14.3 DEC '19 365 DAYS 23.85 0.4 5.72 17.6 4.96 58.4 2.58 DEC '10 365 DAYS 20.87 5.0 4.74 -7.2 2.66 2.97 11.8 DEC '11 365 DAYS 21.80 4.5 4.35 -8.1 3.90 - 14.8 DEC '17 365 DAYS 21.74 8.8 1.73 -41.9 -0.19 - 107.4 2.08 2.0 10.54 -17.2 2.90 DEC '13 365 DAYS 21.31 5.3 4.13 22.5 4.32 18.0 1.96 Sales per Share Growth (%) EPS (recurring) Growth (%) EPS (diluted) Growth (%) Dividends per Share Growth (%) Book Value per Share Growth (%) Tangible Book Value per Share DEC '16 366 DAYS 19.99 6.7 2.97 -0.1 2.58 14.2 2.04 2.0 12.72 -3.5 5.16 6.4 3.37 -22.6 3.66 2.26 -35.7 2.23 -48.4 1.96 -6.2 1.3 2.00 14.7 2.0 0.0 0.0 2.25 8.2 9.30 - 11.8 1.85 2.72 -70.7 -8.03 4.58 16.2 1.96 0.0 10.78 30.0 6.60 13.18 -4.8 4.97 13.84 - 12.3 9.66 1.96 0.0 12.91 10.4 8.75 15.79 22.3 11.91 1.96 0.0 11.70 8.5 7.27 -43.7 - 18.9 -533.1 5.17 -36.1 5.34 36.0 5.29 11.4 20.5 4.75 4.07 -3.3 0.1 Growth (%) Cash Flow per Share Growth (%) Free Cash Flow per Share Growth (%) Diluted Shares Outstanding (M) Basic Shares Outstanding (M) Total Shares Outstanding (M) 4.06 -2.6 935.68 931.06 957.53 3333333 5.34 16.8 4.31 20.1 1,052.02 1,052.02 1,100.01 4.17 -3.3 1,033.67 1,027.72 1,057.04 3.7 4.57 75.6 3.59 124.3 1,061.83 1,058.32 1,100.88 4.35 10.6 -48.5 2.60 -36.0 1.60 -46.3 1,065.72 1,061.91 1,105.27 -26.9 3.94 -33.2 -23.1 2.98 -31.5 1,074.29 1,069.93 1,110.63 10.2 6.49 4.7 5.89 5.7 1,113.97 1,113.92 1,157.79 30.2 6.20 57.1 5.57 71.4 1,105.81 1,105.79 1,152.29 1,084.77 1,080.87 1,116.80 1,117.29 1,113.18 1,143.64 All figures in U.S. Dollar except labeled items