Session 22: Pricing Closure and Asset-based Valuation/Pricing
1:17:37Session 21 (UG) and Session 19 (MBA): Pricing Analytics and Peer Groups
1:16:15Session 20: Tariff Talk
46:44Session 19: Pricing Continued
1:17:10Session 18: Intrinsic Value Closure and Pricing Beginnings
1:27:59Session 17: Valuing Declining, Emerging Market and Financial Service companies
1:34:58Session 16: Valuing the market and companies across the life cycle
1:17:09Session 15: More Storytelling and First Company Valuations (FINC-UB)
1:16:58Session 14: Last Loose Ends + First Steps on Storytelling (FINC-UB)
1:17:17Session 13: Loose Ends in Valuation (FINC-UB)
1:20:42Session 12: The Terminal Value (FINC-UB)
44:54Session 11: Closure on Growth and First Steps on Terminal Value (FINC-UB)
1:33:01Session 10: FCFE Closure and First Steps on Growth (FINC-UB)
1:49:10Session 9: Tax Rates, Cap Ex and Working Capital (FINC-UB)
1:18:35Session 8: Cost of Capital Closure + First Steps on Cash Flows (FINC-UB)
1:19:56Session 7: Betas, Relative Risk and First Steps on Cost of Debt (FINC-UB)
1:17:16Session 6: Implied Equity Risk Premiums (FINC-UB)
1:18:22Session 5: Finishing up Riskfree Rates and Moving on to Risk Premiums (FINC-UB)
1:17:02Session 4: The DCF Big Picture and First Steps on Risk-Free Rates (FINC-UB)
1:17:38Session 3: Valuation Approaches (Continued) and First Steps on Intrinsic Value (FINC-UB)
1:17:50Session 2: The Bermuda Triangle of Valuation (FINC-UB)
1:17:16Session 1: Class Logistics and Structure (FINC-UB)
1:15:51Session 21 (UG) and Session 19 (MBA): Pricing Analytics and Peer Groups
Kerschner Family Chair in Finance Education
During thisclass, we started by continuing to examine how to deconstruct multiples to determine what drives each multiple, using an intrinsic value model as a starting point and employing algebra for two reasons:.
1. It yields a construct for creating your perfect cheap company (low PE, high growth, low risk, high payout etc.) that you can then use as a basis for screening fo cheap stocks. In fact, I have a generic post on screening built around this:
2. It gives you questions you can ask, when presented with a stock to buy or sell, based upon a pricing. (This company is cheap because it trades at 4 times EBITDA, for example…)
3. It yields insight into each multiple’s companion variable, the one number you need to know to use a multiple well. (PE (growth), PBV (ROE), EV/Sales (Operating margin)
While the examples that I used in class are dated, they were meant to illustrate this process, and how statistics can be used as a tool.
Session 22: Pricing Closure and Asset-based Valuation/Pricing
Next · Lecture 3Session 20: Tariff Talk