2-Day Intensive Masterclass on Business Valuation with Aswath Damodaran

There are as many models for valuing stocks and businesses as there as analyst doing

valuations. While we often talk about the differences across valuation models, we seldom

talk about what they share in common. In this seminar, we hope to emphasize the shared

foundations of valuation apporaches and how to bridges among them. The first part of the

seminar will cover the discounted cash flow valuation, and the estimation issues that come

up when estimating discount rates, cash flows and expected growth. In addition, it will look

at value enhancement through the prism of discounted cash flow models. The second part

of the seminar will focus on what we term the loose ends in valuation and follow up by

looking at “difficult-to-value” compa- nies across the spectrum (life cycle, sectors). The third

part of the seminar will examine relative valuations, i.e., the valuation of assets/businesses

by looking at how similar assets/businesses are priced by the market.

AGENDA

DAY 1

The Discounted Cash Flow Model

Setting up the Model

The Big Picture of DCF Valuation

Valuation Examples

The Discount Rate Question

Risk premiums and Betas

The Cost of Debt

Estimating Cash Flows

Estimating Growth Rates

Estimating Growth Patterns

The Terminal Value

Closing Thoughts on DCF

Valuation

DAY 2

Cash, Cross holdings and other assets

The Value of Control, Synergy and Transparency

The Liquidity Discount

Employee Stock Options Challenges in Valuation

Valuing young, growth companies

Valuing mature companies in transition

Valuing declining and distressed companies

Valuing cyclical companies

Valuing commodity companies

Valuing financial service companies

Valuing private businesses

Relative Valuation

Deconstructing multiples

Comparable company valuation