HY Credit Research Pitch - Final Stage Interview

Hi,

I've recently finished university and have reached the final interview stage for a junior credit analyst role at a small research house. For the interview I have been tasked to prepare a 1 page memo for a HY Corporate Bond which hasn't been issued yet. It's basically a 10 minute pitch followed by 10 minutes Q&A.

I have some experience doing equity research reports but I was wondering if anyone could link me to any credit research reports out there. I would also appreciate any advice you may have on the contents (financials/ratios) and the presenting of the report.

Thanks in advance!

 
 

Do you know what company you are doing at least?

As far as metrics, I would focus on leverage ratio (Debt/EBITDA), coverage ratio (EBITDA/Interest), and FCF (multiple ways to calculate this; cash flow is king in credit). I guess since they said it is for a bond that hasn't been issued yet, you might not need to check covenants, but that is usually very important for HY bonds. I would look into specific negative covenants (eg. leverage cannot go above 5x) if possible--might be hard to fit in one page, but maybe you can at least bring it up during the presentation.

 
Most Helpful

Quasi hic sunt similique qui. Quod inventore ea tempora facilis explicabo. Odit est nihil consectetur natus. Hic sed voluptates rerum corporis ratione enim.

Magni distinctio sint quo. Aut occaecati tempora suscipit voluptas nihil id. Est eligendi magnam distinctio commodi fugiat adipisci voluptas.

Qui et ex recusandae ad porro ex. Voluptates soluta dolores perspiciatis error libero repellendus. Dolorum provident qui quaerat voluptatibus quod autem quibusdam.

Quasi minima ipsum voluptatem. Rerum quae minus dolorem omnis vero numquam. Pariatur deleniti accusantium ex vitae. Et similique eveniet et repellendus earum voluptas.

Career Advancement Opportunities

April 2024 Investment Banking

  • Jefferies & Company 02 99.4%
  • Goldman Sachs 19 98.8%
  • Harris Williams & Co. New 98.3%
  • Lazard Freres 02 97.7%
  • JPMorgan Chase 03 97.1%

Overall Employee Satisfaction

April 2024 Investment Banking

  • Harris Williams & Co. 18 99.4%
  • JPMorgan Chase 10 98.8%
  • Lazard Freres 05 98.3%
  • Morgan Stanley 07 97.7%
  • William Blair 03 97.1%

Professional Growth Opportunities

April 2024 Investment Banking

  • Lazard Freres 01 99.4%
  • Jefferies & Company 02 98.8%
  • Goldman Sachs 17 98.3%
  • Moelis & Company 07 97.7%
  • JPMorgan Chase 05 97.1%

Total Avg Compensation

April 2024 Investment Banking

  • Director/MD (5) $648
  • Vice President (19) $385
  • Associates (87) $260
  • 3rd+ Year Analyst (14) $181
  • Intern/Summer Associate (33) $170
  • 2nd Year Analyst (66) $168
  • 1st Year Analyst (205) $159
  • Intern/Summer Analyst (146) $101
notes
16 IB Interviews Notes

“... there’s no excuse to not take advantage of the resources out there available to you. Best value for your $ are the...”

Leaderboard

1
redever's picture
redever
99.2
2
Secyh62's picture
Secyh62
99.0
3
Betsy Massar's picture
Betsy Massar
99.0
4
BankonBanking's picture
BankonBanking
99.0
5
kanon's picture
kanon
98.9
6
CompBanker's picture
CompBanker
98.9
7
dosk17's picture
dosk17
98.9
8
GameTheory's picture
GameTheory
98.9
9
Jamoldo's picture
Jamoldo
98.8
10
bolo up's picture
bolo up
98.8
success
From 10 rejections to 1 dream investment banking internship

“... I believe it was the single biggest reason why I ended up with an offer...”