Thoughts after going through package3 (advanced modeling)
Hello i just finished package 3 and I have following thoughts: 1) In the third case of segment build-up session, I notice your projection puts depreciation aside of COGS and SG&A. Actually in accounting, depreciation is partly included in COGS and partly in SG&A. Hence it's not very much cl... Hello i just finished package 3 and I have following thoughts:

1) In the third case of segment build-up session, I notice your projection puts depreciation aside of COGS and SG&A. Actually in accounting, depreciation is partly included in COGS and partly in SG&A. Hence it's not very much close to actual practice.

2) Overall the package is of good quality and fairly comprehensive. However, I am also looking for advanced modeling which is close to real practices, as we do comprehensive models for stock offering deals. The content in this package is based on simplified assumption about COGS/expense % or growth rate, while in actual deals we have to breakdown revenue, COGS, SG&A and predict each one by one. In addition we also have to look at other items such as investment in associate, minority interest, construction in progress. I am wondering if your advanced course (or in other advanced session) would go through a more robust and precise case/model which is comparable to what those bulge banks' practical standards. Hamilton has worked in big names such as Goldman Sachs and Bank of America, would he bring some of those models and thoughts in this training?

Thank you so much, and I still want to see robust models based on the street's practices. Read More

Re: Automatically Importing Formatted Data
This is good advice. Thanks for helping me figure out what Excel can and cannot do absent macros.

Advanced Valuation Modeling: Share repurchase
Hi, I'm not understanding this small thing: When the company buys back shares, what happens to them - does the company just "destroy" them so that the s/out decreases, or does the new owner get the dividends now? If the latter, why would dividend payout decrease? Basically, what happens to sh... Hi,

I'm not understanding this small thing:
When the company buys back shares, what happens to them - does the company just "destroy" them so that the s/out decreases, or does the new owner get the dividends now? If the latter, why would dividend payout decrease?

Basically, what happens to shares that are bought back from the public market and the dividends they were originally paying? Read More

CLOSING aDJUSTMENT
Hello, I had done a valuation for a buy-side transaction based on discounting free cash flows to firm. Now, five months later we are trying to close the transaction. However, many things have changed in the company including cash balance, debt level, and working capital. Also, during this period o... Hello,

I had done a valuation for a buy-side transaction based on discounting free cash flows to firm. Now, five months later we are trying to close the transaction.
However, many things have changed in the company including cash balance, debt level, and working capital. Also, during this period of time, the company paid substantial amount of dividends to its shareholders.
I am not sure how to make the closing adjustment especially that we didn’t discuss these issues from the start Read More

What do I do for beta of a company if there is no beta?
Full Question:
If there is no beta for a company, then can I regress the company's excess return (to its sector market index) to the sector market return? Should I use 1 year or 5 year (1 whole business cycle) data? I know that Beta instability can be a problem.