Posts by: Elvina J
Questions on the slide (various aspects) - 6 questions
1. pro forma vs reported numbers: Why take pro forma instead of reported numbers? When you are projecting the consolidated company post M&A, which financials to use? 2. organic vs inorganic growth: When you are trying to project organic vs inorganic growth and % of growth in the combined company... Read More
1. pro forma vs reported numbers: Why take pro forma instead of reported numbers? When you are projecting the consolidated company post M&A, which financials to use? 2. organic vs inorganic growth: When you are trying to project organic vs inorganic growth and % of growth in the combined company... Read More
Questions on the slides (8 questions)
1. Do you always have to include cost of preferred equity in WACC? In which case you MUST include cost of preferred equity? 2. Since preferred equity is closer to debt, does that mean cost of debt < cost of preferred equity < cost of equity? How do you calculate the returns and valuation multiple... Read More
1. Do you always have to include cost of preferred equity in WACC? In which case you MUST include cost of preferred equity? 2. Since preferred equity is closer to debt, does that mean cost of debt < cost of preferred equity < cost of equity? How do you calculate the returns and valuation multiple... Read More
Relationship between P/E and inverse of P/E (2 questions)
Hi! First, awesome videos! Follow up questions on multiples, esp for listed companies valuation when analysing a stock in a long short fund context: 1. Is inverse of P/E = earnings yield = cost of equity? I was looking through this link and it states that this statement is wrong ie inverse o... Read More
Hi! First, awesome videos! Follow up questions on multiples, esp for listed companies valuation when analysing a stock in a long short fund context: 1. Is inverse of P/E = earnings yield = cost of equity? I was looking through this link and it states that this statement is wrong ie inverse o... Read More
Adjustments for non-recurring items to calculate adjusted EV/FCFF or other cashflow ratios
i. Does this mean you have to adjust for cashflow statement and balance sheets? Can you give an example for such adjustments for items that affects both cashflow statements and balance sheets? e.g. deferred tax impairments etc
i. Does this mean you have to adjust for cashflow statement and balance sheets? Can you give an example for such adjustments for items that affects both cashflow statements and balance sheets? e.g. deferred tax impairments etc
Re: Projection of FX translation
Hi there! I have a follow up question based on your prior reply and I did finish the video on the segment build up as per your other comment as well: "The final numbers that would be reflected on the IS would also be NET of the FX impact. As such, it would flow through the BS and CF as normal, ... Read More
Hi there! I have a follow up question based on your prior reply and I did finish the video on the segment build up as per your other comment as well: "The final numbers that would be reflected on the IS would also be NET of the FX impact. As such, it would flow through the BS and CF as normal, ... Read More
gordon growth number
Hi for the gordon growth number g say using global GDP growth rate of 2%, 1. has this already included inflation? 2. if yes, then you just add the global inflation rate? 3. If you were to include inflation, then does that mean you need to adjust your whole model (projection of 3 financial stat... Read More
Hi for the gordon growth number g say using global GDP growth rate of 2%, 1. has this already included inflation? 2. if yes, then you just add the global inflation rate? 3. If you were to include inflation, then does that mean you need to adjust your whole model (projection of 3 financial stat... Read More
including inflation in the model
Hi, when projecting a listed company for long short funds so I guess you won't have access to management unless through participating in earnings call, 1. How do you include inflation in the model? Is this at both the revenue and costs side? Is it necessary to do that? Not sure if listed companies... Read More
Hi, when projecting a listed company for long short funds so I guess you won't have access to management unless through participating in earnings call, 1. How do you include inflation in the model? Is this at both the revenue and costs side? Is it necessary to do that? Not sure if listed companies... Read More
Re: DCF - can you project with a change in capital structure
thank you! very helpful
I don't see distressed course under self-study module, would you be able to make that available? It will be very helpful! :) thank you!
thank you! very helpful
I don't see distressed course under self-study module, would you be able to make that available? It will be very helpful! :) thank you!
Re: Negative EVA
Hi
What if EVA yields negative numbers but discounted FCFF does not? How will that affect your recommendation whether or not to invest in the company?
Hi
What if EVA yields negative numbers but discounted FCFF does not? How will that affect your recommendation whether or not to invest in the company?
Cell F87 of diluted normalized EPS $0.94 is after adjusting for pre-opening expense of $15,999. Since this not a one-off item and it was added back on the pre tax adjustment in cell F78, then the normalized diluted EPS is not $0.94 right? It should be: $0.94 + 15.999*0.6/491.717 = $0.95 (using dilu... Cell F87 of diluted normalized EPS $0.94 is after adjusting for pre-opening expense of $15,999. Since this not a one-off item and it was added back on the pre tax adjustment in cell F78, then the normalized diluted EPS is not $0.94 right? It should be: $0.94 + 15.999*0.6/491.717 = $0.95 (using diluted share count in 2005 Q2 and post tax) Read More