Equity Valuation Training

This programme is only available on in-company basis. Please, contact us for more information

Course Description

This intensive 2 day course will equip you with the skills required to evaluate companies and assets. The programme is conducted by a former City analyst and chartered accountant with many years of training experience and voted the Best Speaker for 6 years when conducting training for FT Knowledge.

The course starts with an overview of different equity valuation methods and fundamental analysis. Working through models and case studies based on real companies you will have a chance to go through various techniques including multiples, DCF and changing capital structure. We’ll also consider the practical applications and limitations of the different valuation models. 

All participants are required to bring a laptop to the course. If needed, we can provide one for an additional fee. 

Because of the nature of this training the number of places is limited and filled on first come first served basis. Register early to avoid disappointment!

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What Will You Learn

 By the end of this course you will be able to:

  • Differentiate and apply the main types of equity valuation 
  • Evaluate balance sheet as well as profit and loss accounts and cash flow statements
  • Use comparative company valuation and calculate multiples in practice
  • Have an understanding of the DCF model structure and how it is used to value a company in practice
  • Learn the fundamentals of future cash flow valuation
  • Calculate the cost of capital 
  • Understand the basics of discount rates and periods
  • Build the bridge between enterprise and equity valuation

Main Topics Covered During This Training

  • The core valuation approaches:enterprise and equity value
  • Calculating key multiples: EBITDA; EBIT; P/E; P/E/G
  • Calculating operating and credit ratios
  • Analysing trading and transaction comparables
  • Corporate analysis and financial statements review
  • Calculation and interpretation of key ratios
  • DCF valuation
  • WACC and terminal value calculation
  • Case studies and exercises throughout the programme

Who Should Attend

From Corporates, Banks and Financial Institutions, Investment Funds, Accounting, Consulting and Legal companies

  • Equity Research, Analysts and Sales
  • Equity Capital Markets
  • Investment Managers
  • Members of M&As Departments
  • Corporate Financial Managers
  • Corporate Development
  • Corporate Finance Lawyers
  • CFOs and Finance Directors and Managers
  • Accountants
  • Analysts 

In-Company, call us for more information

Equity Valualtion & Analysis - A 2 Day Course 

Day 1

Valuation fundamentals

The session intends to explain how to build a solid understanding of corporate valuation. The most common valuation methodologies are introduced, exercises are used throughout the session.

Key topics:

  • The importance of valuation
  • Overview of the major valuation methods 

           - Trading comparables analysis

           - Discounted cash flow analysis

           - Transaction comparables analysis

  • Enterprise versus equity value
  • Book values versus market values
  • Derivation of enterprise values using market values
  • Case Study: Valuation of a company based on different methodologies


Trading comparables

Participants are introduced to preparing multiples using real company data and a case study including a range of international companies. We focus on how to select comparables, where to find data in published financials and equity research reports, how to clean the raw data, and how to document and check the output.


Key topics:

  • Screening companies to identify a suitable comparable set
  • Calculating the company’s value

            - Number of shares and value of share options 

            - Equity value

            - Net debt calculations

            - Enterprise value

  • Calculating the earnings numbers

            - Cleaning non-recurring items from earnings and resulting tax adjustment

  • Calculating a range of forward looking and historical earnings multiples

            - Revenue; EBITDA; EBIT; P/E; P/ E/G 

            - Industry-specific multiples

  • Calculating and using operating and credit ratios
  • Troubleshooting and checking the output
  • Applying the results
  • Case Study: Valuation of a retail company


Deeper into equity analysis and forecasting

Participants look closely at income statements, balance sheets and cash flows to understand the key drivers of fundamental analysis. 

Key Topics

  • Difference between trading multiples and multiples from precedent transactions
  • Selection of transactions and information gathering
  • Control premium and synergies
  • Practical issues with transaction

            - Decomposition of results

            - Return on equity

            - Return on assets

            - Du pont analysis

            - Gross, net and EBIT margins

            - Weighted average assets

            - Margin and ratio analysis

We finish Day 1 with a practical exercise on long term forecasting


Day Two

DCF valuation

Participants 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. We analyze the weighted average cost of capital, calculate terminal values, using both the exit multiple method and the perpetuity growth method. We discount the free cash flows to arrive at enterprise values and calculate the implied share price. Once the valuation is complete participants perform several checks on the analysis using key ratios, and sensitivity and scenario analysis.

Key topics:

  • 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 relevering 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 calculation


Higher Skills

Participants are introduced to ways to refine valuation models and avoid typical problems. Amongst the topics we’ll consider are:

  • Sector analysis
  • The economic cycle
  • Valuing growth
  • Indications of insolvency
  • Window dressing and financial shenanigans
  • Hoe the presentation of financial statements influences interpretation


We finish with writing an equity analysis note. You will learn how analysts use their valuation inputs to arrive at an opinion on a company. 

Andreas designs and delivers courses in finance around the world. He has led programmes on valuation and equity analysis at CSFB, Barclays, the London Stock Exchange, Reuters, HSBC and IBM. 

Andreas also provides individual coaching on communications and technical areas to a FTSE100 company board director and senior partners at ‘magic circle’ law firms. He’s also written eighty modules on corporate finance and company valuation for Intuition. 

Andreas was a director of training at FT Knowledge and was voted Best Speaker at the internationally-renowned Financial Times Intro to the City Programme for six years running. Andreas began his career working for PWC in London where he qualified as a Chartered Accountant. He then worked as an equity analyst in the banking sector at Goldman Sachs. At BNP Paribas he was responsible for editing and signing off equity research.

The Financial Times published Andreas’ book The Devil’s Deal. It’s a thriller that teaches readers how the financial markets work. FT Prentice Hall selected The Devil's Deal as one of its six key books for 2012 and it featured in the WHSmiths Top 20 Business Books. Translation rights have been sold in nine territories, including China, Korea and Japan. 

Andreas has a first in English from Leeds and a Master of Studies from St Catherine’s College, Cambridge. He regularly trains in Spanish. 

Equity Valuation Training <p>This intensive 2 day course will equip you with the skills required to evaluate companies and assets. The programme is conducted by a former City analyst and chartered accountant with many years of training experience and voted the Best Speaker for 6 years when conducting training for FT Knowledge.</p> <p>The course starts with an overview of different equity valuation methods and fundamental a ... In-Company