New York City (NYC)

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Venue and transport links

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  • 112 W. 34th Street, 18th floor
    Manhattan, New York, NY 10120
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"Our trainer made lessons very enjoyable and shared a wide breadth of practical case studies. I really enjoyed learning from him, and I hope to learn from him again." ~ Analyst, private equity firm

Who should attend the course?

Undergraduates, Interns and Graduates

Securing a graduate scheme at a top financial organisation without work experience can be challenging. Ideally, they would like you to have intern experience and to be passionate about finance. They will often select only the best prepared candidates to be fast tracked into their graduate scheme.

 

If you aspire to work corporate finance, M&A, private equity, asset management, private banking, global markets or sales and trading, you will need to be numerate and excel at analyzing financial and market information. By attending an AMT public course, you will learn about financial statement analysis, financial modeling and valuation. Providing you with the knowledge and skills to best prepare yourself for those all important interviews.

 

Experienced Finance Professionals

Working for a leading financial institution means you will be working in a highly competitive environment. In order to stay ahead you will need to keep pace with your colleagues. AMT’s public courses ensure that you maintain and enhance the knowledge and skills you need to continuously deliver a professional level of service to your clients. Hence becoming more effective in the workplace and helping advance your career. Learn or refresh your skills in financial statement analysis, financial modeling and valuation, and stay ahead of the curve.

What courses complement this one?

To get a comprehensive understanding of our Core Skills program, study over 5 days:

 

 

Book all 5 courses

Course details

Valuation Fundamentals

The session lays the foundations to build a solid understanding of corporate valuation in the context of investment banking. The most common valuation methodologies are introduced, explaining the difference between a company's fundamental value, and how much an acquirer would pay for the business. The concepts of enterprise value and equity value are explained, using simple but rigorous exercises. Finally, the basics of multiple valuation and discounted cash flow valuation are introduced. Exercises are used throughout the session.

 

What will you learn?

  • The importance of valuation in the investment banking industry
  • Fundamental value versus how much an acquirer will pay
  • Overview of the major valuation methods
    • Trading comparables analysis
    • Discounted cash flow analysis
    • Transaction comparables analysis
    • LBO analysis
  • Enterprise versus equity value
  • Book values versus market values
  • Derivation of enterprise value using market values
  • Derivation of enterprise value using a fundamental valuation approach

Discounted Cash Flow Valuation

Delegates learn how to build a discounted cash flow valuation model. The session starts with an overview of the valuation methodology, and the steps required in setting up a valuation model. We then focus on the calculation of free cash flow. A detailed ratio analysis is used to establish the reasonableness of the forecasts and to identify when the target company reaches steady state. We analyze the weighted average cost of capital, breaking it down into its components.

 

We complete the valuation model by calculating terminal values, using both the exit multiple method and the perpetuity growth method. The free cash flows are discounted to arrive at enterprise values and the implied share price. Once the valuation is complete delegates perform several checks on the analysis using key ratios, and sensitivity and scenario analysis.

 

What will you learn?

  • Calculating unlevered free cash flows
    • Drivers of cash flow
    • Ratio analysis
  • Weighted average cost of capital
    • Optimal capital structure using peer analysis
    • Establishing the company’s forward looking cost of debt
    • Cost of equity: understanding the risk free rate, the equity risk premium and beta
    • Unlevering and re-levering the beta
    • Calculating WACC for the case company
  • Calculating the terminal value
    • Perpetuity growth (Gordon Growth model) method
    • Exit multiple method
  • Building a discounting model
    • Mid-year adjustments
  • Calculating enterprise and equity values
  • Sanity checks
    • Reinvestment rate and ROIC
    • Implied multiples and growth rates
    • Percentage of value in the terminal period

What will you receive on the course?

Study Materials

While this is a face to face training course, a blended learning approach is taken and delegates will get access to AMT Online. Our study materials contain both the knowledge and practice materials required to assist with the learning process and help you in your job role.

 

Course materials