CORPFIN 2503 – Business Data Analytics
2021 S2, Workshop 1: Introduction to data analytics
£ius
1 Introduction to Re�nitiv Eikon
Re�nitiv Eikon is a very rich source of �nancial information. Let’s consider Com-
monwealth Bank. Enter CBA.AX in the top left corner of EIKON window. What
information can be found about CBA on EIKON?
Next, we will download cross-sectional data about �rms listed on ASX to Excel
using Screener application ( tab in Excel). For Task 5, you will
need the following variables:
� dividend yield
� leverage (Total Debt to Total Equity, Percent)
� beta
� pro�t (Net Income After Taxes)
� ROA (ROA Total Assets, percent)
� current ratio
� net pro�t margin (Net Pro�t Margin, (%))
� historic P/E ratio
� revenue growth (revenue – SmartEstimate growth (this year vs last year)).
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2 Introduction to SAS
Example of data statement:
DATA work.car_data;
SET SAShelp.Cars;
RUN;
Example of procedure:
PROC MEANS DATA=work.car_data;
VAR discount;
RUN;
Let’s identify SUVs made in the USA with a discount greater than average using
a data�le provided by SAS:
/* Creating data file: */
DATA work.car_data;
SET SAShelp.Cars;
RUN;
/* Creating a new variable: */
DATA work.car_data;
SET work.car_data;
discount=MSRP/Invoice-1;
RUN;
/* Statistical properties of `discount’: */
PROC MEANS DATA=work.car_data;
VAR discount;
RUN;
PROC UNIVARIATE DATA=work.car_data;
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VAR discount;
RUN;
/* Dropping a variable: */
DATA work.car_data;
SET work.car_data;
DROP Wheelbase;
RUN;
/* or */
DATA work.car_data;
SET work.car_data (DROP = Wheelbase);
RUN;
/* Let’s create another data file (work.car_data2) with only SUVs
made in the USA with a discount greater than average: */
DATA work.car_data2;
SET work.car_data;
IF type=”SUV”;
IF Origin=”USA”;
IF discount>0.0882416;
RUN;
PROC PRINT DATA=work.car_data2;
RUN;
The code above is available on MyUni as ‘SAS_code_for_Workshop_1.sas’.
3 Get access to SAS OnDemand for Academics (at
home)
Follow instructions available on MyUni course website (under `SAS Software’).
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4 Familiarize yourself with 5 main windows (at home
and in the Lab)
Follow Chapter 2 of the textbook and familiarize yourself with 5 main windows:
Results, Explore, Output, Log, and Editor.
5 Identify `value’ stocks traded on ASX (at home)
Suppose you are a portfolio manager and you have been asked by your client to
identify `value’ stocks traded on ASX. `Value’ stocks have stable cash �ows, low
growth, and less risk. `Growth’ stocks feature volatile cash �ows, high earnings
or sales growth and are riskier. Historically, `value’ stocks outperformed `growth’
stocks. You will learn more about `value’ and `growth’ investments in CORPFIN
3501 Portfolio Theory and Management II course. In the analysis, use the data
downloaded from Re�nitiv (Task 1).
To identify growth stocks, you decided to follow a methodology somewhat similar
to one in Piotroski (2000) `The Use of Historical Financial Statement Information
to Separate Winners from Losers’ (https://www.jstor.org/stable/2672906). To
keep things simple, assume that `value’ stocks should have:
� non-zero dividends
� leverage (debt-to-equity ratio) smaller than average
� beta below average
� positive net income after taxes
� ROA above median
� current ratio above median
� net pro�t margin above median
� historic P/E ratio below average
� non-negative revenue growth but smaller than median.
Suggested steps:
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https://www.jstor.org/stable/2672906
1. Copy/paste (values only) the table (generated in Task 1) to a new Excel �le
(to the top left corner).
2. Delete the third column as its values are the same (ASX – ALL MARKETS).
3. Change the column names to:
� ticker
� company_name
� dividend_yield
� leverage
� beta
� pro�t
� roa
� current_ratio
� pro�t_margin
� p_e
� revenue_growth.
4. Replace NULL and NaN with dots using Excel Replace function (CTRL+H).
5. Save the �le as ASX.csv.
6. Import ASX.csv into SAS:
(a) In the Financial Markets Lab (using SAS):
PROC IMPORT OUT= WORK.ASX
DATAFILE= “
/* E.g., DATAFILE= “D:\Documents\Workshop_1\ASX.csv” */
DBMS=CSV REPLACE;
GETNAMES=YES;
DATAROW=2;
RUN;
(b) At home (using SAS OnDemand for Academics): �rst, upload ASX.csv
�le to the SAS server (see uploading-accessing-local-data.pdf �le which
has been posted on MyUni), then
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PROC IMPORT OUT= WORK.ASX
DATAFILE= “/home/
/* In my case, DATAFILE= “/home/sigitaskarpavic0/ASX.csv” */
DBMS=CSV REPLACE;
GETNAMES=YES;
DATAROW=2;
RUN;
7. Compute mean and median values for relevant variables.
8. Remove �rms with missing values for �nancial variables. For example:
DATA work.ASX;
SET work.ASX;
IF dividend_yield ne .;
RUN;
`ne’ means not equal.
9. Eliminate �rms with zero dividends.
10. Retain �rms with:
� leverage below mean
� beta below mean
� positive pro�t
� ROA above median
� current ratio above median
� pro�t margin above median
� P/E ratio below mean
� non-negative revenue growth but below median.
11. `Print’ the remaining �rms.
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Introduction to
Introduction to SAS
Get access to SAS OnDemand for Academics (at home)
Familiarize yourself with 5 main windows (at home and in the Lab)
Identify `value’ stocks traded on ASX (at home)