Financial Modeling & Valuation

Financial Modeling & Valuation

Course Description

This course offers an in-depth exploration of financial modeling and valuation techniques used in a wide range of corporate finance, investment banking, and private equity scenarios. Participants will learn to build models that are robust, accurate, and useful for making financial decisions.

Course Objectives

• Master the principles of financial modeling and valuation.
• Develop complex financial models from scratch using Excel and other tools.
• Learn valuation techniques such as Discounted Cash Flow (DCF), Leveraged Buyout (LBO), and Comparable Company Analysis.
• Apply models to real-world case studies involving merger and acquisition (M&A) scenarios, corporate restructuring, and investment analysis.

Course Modules

1. Introduction to Financial Modeling
   • Overview of financial modeling.
   • Best practices in financial model design and construction.
   • Introduction to Excel functions critical for financial modeling.
2. Financial Statement Modeling
   • Techniques for constructing detailed financial statement models, including income statements, balance sheets, and cash flow statements.
   • Integration of financial statements into a cohesive model.
3. Valuation Techniques
   • Fundamental valuation concepts: DCF, LBO, and Comparable Company Analysis.
   • Case studies on valuation in different industries.
4. Advanced Valuation Models
   • M&A and corporate restructuring models.
   • Developing models for evaluating private equity investments.
   • Real options valuation for project analysis.
5. Modeling for Decision Making
   • Scenario and sensitivity analysis to understand the impact of key variables.
   • Using Monte Carlo simulations for risk assessment.
6. Capstone Project
   • Participants will choose a company or project, conduct a thorough financial analysis, build a comprehensive model, and present their valuation.
   • Peer review and critique to refine models and valuation techniques.

Assessment Methods

• Regular assignments involving building and adjusting financial models.
• Group projects and case studies to foster collaborative learning and practical application.
• Final capstone project involving a full financial model and valuation report.

This course outline ensures participants not only understand the theoretical underpinnings of financial modeling and valuation but also gain hands-on experience applying these skills to real-world financial decisions.