Financial Modeling And Evaluation Seminar

The course extends the core theory introduced in the Principles of Finance by emphasizing its practical application to strategic financial decisions and potential problems.

COURSE OBJECTIVES

• Understanding and analyzing income statements
• Understanding and analyzing balance sheets
• Understanding and analyzing cash flow
• Understanding financial modeling usage in financial reporting
• Use of Discounted Cash Flow (DCF) and Weighted Average Cost of Capital
• Use of Excel in financial modeling

DURATION

5 Days

WHO SHOULD ATTEND

The course targets financial analysts, Business entrepreneurs, accountants, bookkeepers, business managers, investment officers, and managing directors.

COURSE OUTLINE

Introduction to evaluation

• Importance of evaluation
• Enterprise value and equity value

Comparable Company Analysis

• Selection of companies that are comparable
• Spreading of comparable companies
• Analyzing the valuation multiples
• Understanding value and making conclusions

Precedent Transaction Analysis

• selection of transactions that are comparable
• Spreading comparable transactions

Analysis of Discounted Cash Flows (DCF)

• Unlevered free cash flow
• Free cash flow forecasting
• Terminal value forecasting
• Presentation of value and discounting
• Stub periods
• Sensitivity analysis

Weighted Average Cost of Capital (WACC)

• Estimating equity cost using CAPM
• Estimating debt cost
• Analysis of WACC

Building and Integrated Cash Flow Model

• Introduction to financial modeling
• Financial statement links
• Understanding circularity
• Set up and formation of the model
• Selection of model drivers and assumptions

Modeling and Projecting the Financial Statements

• Income statement projection
• Balance sheet projection
• Cash flow statement projection
• Debt and interest schedule creation
• Revolver modeling

Utilizing and Concluding the Model

• Output analysis
• Stress testing of the model
• Fixing of modeling errors
• Techniques of advanced modeling
• Creating a Discounted Cash Flow (DCF) Analysis using the model

GENERAL NOTES

• This course is delivered by our seasoned trainers who have vast experience as expert professionals in the respective fields of practice. The course is taught through a mix of practical activities, theory, group works and case studies.
• Training manuals and additional reference materials are provided to the participants.
• Upon successful completion of this course, participants will be issued with a certificate.