Posts by: Guest 1
CAPM alpha risk
Should we include alpha risk in calculating CAPM? If, yes, what should be included?
Should we include alpha risk in calculating CAPM? If, yes, what should be included?
Inventory Days semi-annual calculation
just want to check if i'm to calculate the inventory day for 1H, do I average the inventory YE 2010 and Jun 2011 in the balance sheet, or use Jun 2010 and Jun 2011 inventory level?
just want to check if i'm to calculate the inventory day for 1H, do I average the inventory YE 2010 and Jun 2011 in the balance sheet, or use Jun 2010 and Jun 2011 inventory level?
Re: Other Income and Expense
ah I see. in my case, other income is sizable enough that if I placed it above the line, it would materially affect margins. But your explanation helps a lot. Thank you.
ah I see. in my case, other income is sizable enough that if I placed it above the line, it would materially affect margins. But your explanation helps a lot. Thank you.
Correct Net Debt for TEV
First of all I would like to thank for a great website for learning. I have problem in defining net debt thereby getting a true value of TEV. I have found and heard many definitions of net debt, these are some of them: a) interest-bearing debt less cash & cash eq b) LTL + short... Read More
First of all I would like to thank for a great website for learning. I have problem in defining net debt thereby getting a true value of TEV. I have found and heard many definitions of net debt, these are some of them: a) interest-bearing debt less cash & cash eq b) LTL + short... Read More
Pref stock included in debt for target M&A?
Hello, I was wondering why on the merger summary type of the advanced financial model, particularly cell F20 where we are calculating the total existing debt for the target company, why is that we are adding preferred stock? Is this b/c preferred stock is a hybrid of debt and equity? Can someone ... Read More
Hello, I was wondering why on the merger summary type of the advanced financial model, particularly cell F20 where we are calculating the total existing debt for the target company, why is that we are adding preferred stock? Is this b/c preferred stock is a hybrid of debt and equity? Can someone ... Read More
Adjusting historical financials for non-recurring/XO items
I have a technical question related to the impact on taxes when adjusting historical financials for non-recurring/extraordinary items that you may be able to help me with. Let’s take a generic example: EBIT => $ 300 Interest => ($ 1000) Pre-Tax income => ($ 700) Taxes => $ 200 ... Read More
I have a technical question related to the impact on taxes when adjusting historical financials for non-recurring/extraordinary items that you may be able to help me with. Let’s take a generic example: EBIT => $ 300 Interest => ($ 1000) Pre-Tax income => ($ 700) Taxes => $ 200 ... Read More
DCF EBITDA multiple approach
I am a little confused with the DCF EBITDA multiple approach. The confusion is from applying EBITDA multiple times the last projected year's EBITDA which, according to your presentation, yields the[u:11soywht] "terminal value" but not the enterprise value[/u:11soywht]. In the other word, I would h... Read More
I am a little confused with the DCF EBITDA multiple approach. The confusion is from applying EBITDA multiple times the last projected year's EBITDA which, according to your presentation, yields the[u:11soywht] "terminal value" but not the enterprise value[/u:11soywht]. In the other word, I would h... Read More
Re: Reference Range: Valuation of other industries
Hello,
I was wondering what other industry models are available, I may be interested in the Technology Media Telecommunication or Energy Sector. Are these models available? Thanks
Hello,
I was wondering what other industry models are available, I may be interested in the Technology Media Telecommunication or Energy Sector. Are these models available? Thanks
WMT model question
Hi I've just attended the Advanced Financial Modeling - Core Model workshop. After going over the WMT model today I'm unsure about the following. Please can you clarify for me. In the WMT B/S you have "Minority Interest", in cell G36 =397+1794, under Liabilities. However in the actual ... Read More
Hi I've just attended the Advanced Financial Modeling - Core Model workshop. After going over the WMT model today I'm unsure about the following. Please can you clarify for me. In the WMT B/S you have "Minority Interest", in cell G36 =397+1794, under Liabilities. However in the actual ... Read More
We're calculating the multiples of the public companies (in 1986) so that we can select a multiple for our subject company (private). In that case, I've been told that the multiple to use is the Tangible BV. In other words, BV minus intangible assets minus DPAC. However, this DPAC is such a large... We're calculating the multiples of the public companies (in 1986) so that we can select a multiple for our subject company (private). In that case, I've been told that the multiple to use is the Tangible BV. In other words, BV minus intangible assets minus DPAC. However, this DPAC is such a large item on the balance sheet for some (like AFLAC, Torchmark, Washington National) that the residual BV is meaningless (often negative), and inflates the multiple. This guy at Deloitte is telling me that the TBV should only be BV minus intangibles: forget the DPAC. But all the Web definitions of an insurance company's TBV says, I should subtract DPAC? Read More