This course introduces different tools of financial analysis to value businesses using both intrinsic and relative methods. The specific methods of analysis include discounted cash flow, comparable market multiples, comparable transaction multiples, and terminal value. Additional topics include financial statement analysis, industry competitive analysis, discount rate, and capital asset pricing. The course explores the strengths and weaknesses of each method of valuation, as well as when to apply each. The objective of the course is to cover methods for utilizing financial data and applying valuation techniques to make strategic and capital budgeting decisions.

You'll walk away with

• Familiarity with the strengths and limitations of different valuation techniques
• The ability to analyze financial statements to better understand the main drivers of free cash flows
• The skills to value a business using a discounted cash flow (DCF) valuation model
• Knowledge of how to calculate the cost of equity, the cost of debt, and the weighted average cost of capital
• The know-how to calculate and analyze valuation multiples
• An understanding of when it is most appropriate to emphasize one type of valuation multiple over another
• The ability to value a business using comparable company analysis and comparable acquisition transactions

Ideal for

• Students with some knowledge of finance
• Students interested in a career in finance