Session 3 (Val MBA): Setting the Table (Contd.) and First Steps on Intrinsic Value
ฝัง
- เผยแพร่เมื่อ 4 ก.พ. 2024
- This class started with a look at a major investment banking valuation of a target company in an acquisition and why having a big name on a valuation does not always mean that a valuation follows first principles, with the first principle being We began our intrinsic value discussion by talking about the weapons of mass distraction. If you want to read the blog post I have on the topic, try this link:
aswathdamodaran.blogspot.com/2...
After setting the table for the key inputs that drive value - cash flows, growth, risk, we looked at the different ways of approaching valuation (Dividend Discount model, FCFE model, firm valuation) and the roots that they share, and how they result in different estimation processes. Next session, we will continue with a discussion of risk free rate, a foundational number that will drive the rest of our calculations. I have attached a post class test for today, with the solution.
Start of the class test: pages.stern.nyu.edu/~adamodar...
Valuation Introduction: www.stern.nyu.edu/~adamodar/p...
Slides: pages.stern.nyu.edu/~adamodar...
Post class test:
pages.stern.nyu.edu/~adamodar...
Post class test solution: pages.stern.nyu.edu/~adamodar...
Very informative video Shweta. God bless you. I watch your videos to know about the internship or courses infomation for my students at school level as I am a commerce teacher in cbse school.
Thank you very much for posting these videos
Can you do a post, video or short blog/tweet discussing your disagreements & differences with Humans's current market valuation assessment? he currently sees extreme valuations vs. yours being far more moderately guess-timated?
These sessions are mostly theoretical? any upcoming sessions on how to actually jot these valuations down in a financial model as how it is actually done?
You have to complement the lessons with lectures and other resourses on the site. Take a look and start doing a valuation.
Hi there, thank you for the lesson. Could someone tell me how the values of 1603 and 2363.008 are calculated at 1:17:45? :)
hi there, those are the terminal value of cash flows that the company would theoretically get in the future. you can search for "terminal value in dcf" for the derivation and the logic behind the calculation
thank you
Hello Sir,
The slides pdf is not opening...
14:30 the denominator should reflect the risk in the numerator
OMG I PICKED PALANTIR TOO :O What are the chances
I am so curious whoever picked Palantir, if they are still with Palantir or chose a different company. If any of you picked Palantir, let me know :P
Shouldnt value of the firm be based on assets. Here it is calculated based on Cost of capital which are liabilities