Business Valuation Amid Crisis with Aswath Damodaran

About this Event

World is facing one of the most difficult times ever. Markets have tanked and major economies have slipped into recession. Due to Covid19, economies were forced to lock down and almost all the sectors were severely affected across the world. There has been a major markdown in Valuations of companies from the pre covid era. This 4 day workshop will focus on impact on Valuation due to Covid 19. Although basic never changes but situations do, with help of case studies and data we try to understand the impact.Further, we hope to emphasize the shared foundations of valuation approaches and how to bridge differences among them. We will also 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. Workshop will also focus on what we term the loose ends in valuation and follow up by looking at “difficult – to – value” companies across the spectrum (life cycle, sectors). The last part of the workshop will examine relative valuation, i.e., the valuation of assets/businesses by looking at how similar assets/businesses are priced by the market.

WHO SHOULD ATTEND:

• The mix of basic valuation techniques & applications provided in this seminar will appeal to a widely diverse audience.
• Equity research analysts, who are interested in examining alternatives to the multiples that they use or the linkage to discounted cash flow models.
• Corporate financial officers, who want to understand the details of valuation, either because they are planning acquisitions or are interested in value enhancement strategies for their firms.
• Analysts involved in mergers and acquisitions, who would like to acquire a wider repertoire of valuation skills.
• Portfolio Managers who are interested in the effects of corporate restructuring on firm value, and the implications for portfolio management.
• Anyone interested in valuation

WHY YOU SHOULD ATTEND:

• Value any kind of firm in any market, using discounted cash flow models (small and large, private and public)
• Value a firm using multiples and comparable firms.
• Analyze and critique the use of multiples in valuation.
• Value “problem” firms, such as financially troubled firms and start – up firms.
• Estimate the effect on value of restructuring a firm.

MEET OUR EXPERT

Aswath Damodaran is the Kerschner Family Chair Professor of Finance at the Stern School of Business at New York University. He teaches the corporate finance and valuation courses in the MBA program. He received his MBA and Ph.D from the University of California at Los Angeles. His research interests lie in valuation, portfolio management and applied corporate finance. He has published in the Journal of Financial and Quantitative Analysis, the Journal of Finance, the Journal of Financial Economics and the Review of Financial Studies.

Agenda

Day 1

• Categorizing and Responding to uncertainty
• Estimation versus Economic Uncertainty
• Micro versus Macro Uncertainty
• Discrete versus Continuous Uncertainty
• The Evolution of Uncertainty
• Forecasting in the face of uncertainty
• Payoff is greatest where there is the most uncertainty
• A COVID Break: Market Overview
• Valuing the Market: COVID effect
• Valuing Individual Stocks: A Post-Corona Version
• Value of Company in Unstable environment

Day 2

• The Discounted Cash Flow Model
• Setting up the Model
• The Big Picture of DCF Valuation
• The Discount Rate Question
• Risk premiums and Betas
• 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

Day 3

• Risk: The Cost of Capital - Global
• Your choice on cost of capital & the failure rate
• A Crisis hits.. Damage assessment on March 20, 2020
• A Come back or False Security?
• A Flight to Safety? Treasuries
• Divergent Stories: Oil and Copper
• Crisis Asset: Gold and Bitcoin
• The price of risk: Determinants
• Bond Market Default Spreads: The COVID crisis
• An Equity Market Price of Risk
• The 2008 Crisis
• The Price of Risk: Equities
• Equities: Most & least damaged Industries
• Valuation after COVID

Day 4

• The Bermuda Triangle of Valuation
• Investment Regrets and Disagreement
• Estimating Cash Flows, Growth Rates and Growth Patterns
• The Terminal Value
• Valuing declining and distressed companies
• Valuing cyclical, commodity, financial service and private companies
• Relative and Comparable company valuation
• Deconstructing multiples

For details and registration, please visit our website https://bit.ly/2AKxhvG

In case of queries, please email us at [email protected] or Call / Whatsapp on +91 9953285105