A fleuriet assessment of brazilian companies from the household goods subsector

Abstract

Based on companies' financial concerns, especially those regarding solvency, the purpose of this article is to use the dynamic Fleuriet model, a trend in accounting and management, and the statistical method of multiple regression for the financial analysis and liquidity thermometer of the companies listed in the Brazilian Stock market, raw materials and futures (BM&F BOVESPA), classified as belonging to the household goods sector from 2015 to 2017. Through the Fleuriet method of dynamic analysis of working capital, it was possible to verify this subsector's performance by analyzing seven companies. The results identified show three companies in solid or excellent positions within the scale of the model used. In 2017, the results of the companies, Magazine Luiza and Whirlpool, improved compared to 2015/2016, due to short-term financing. The exception was Via Varejo, which was initially in a stronger financial position and weakened by using its cash balance as a source of funding, which deteriorated its situation. Besides, the sector's average shows excellent results in 2017, as the companies analyzed reported a positive balance of cash and working capital. Keywords: Fleuriet; Dynamic evaluation; BM&FBovespa