When you look at a business, glance at the financial summary to gain a feel for the financial characteristics of the business, then go to the balance sheet. Or you can start with the balance sheet. Wall Street analysts often spend too much time on the income statement without looking at quantity and QUALITY of the assets that generate the income and cash flow.
Below is the link to the 1997 10-K of Hudson General Company. Try to value this business and show your work.
http://www.scribd.com/doc/66990171/HUDSONGENERALCO10K405-1997
If you struggle, you can go to the book: Value Investing from Graham to Buffett and Beyond by Bruce C. N. Greenwald and read Chapter 4 starting on page 51.
The complete analysis will be posted in a few days.
June 4, 2012: Here is the analysis. (DON’T CHEAT. Try on your own first)
Hudson General Case Study_Read this Second
Valuing Hudson General and Analysis
Good luck