Posts by: WST Expert 1
RE: AFM Enhancements: Football Field PDF
Please see updated template file with the conditional formatting filled in for the credit ratios. You can view the conditional formatting statement for each cell by going to FORMAT=>CONDITIONAL FORMATTING. For more information on the basics of Conditional Formatting, see our Advanced Excel for D... Read More
Please see updated template file with the conditional formatting filled in for the credit ratios. You can view the conditional formatting statement for each cell by going to FORMAT=>CONDITIONAL FORMATTING. For more information on the basics of Conditional Formatting, see our Advanced Excel for D... Read More
Re: LBO of a public company
The #1 most common reason why models don't balance: Items on the BS that change from year to year aren't properly reflected on the CFS. TASK: confirm that EVERY BS account is correctly linked to the CFS TIP: confirm that you shouldn't be accidentally subtracting or adding the wrong way (i.e. dividen... Read More
The #1 most common reason why models don't balance: Items on the BS that change from year to year aren't properly reflected on the CFS. TASK: confirm that EVERY BS account is correctly linked to the CFS TIP: confirm that you shouldn't be accidentally subtracting or adding the wrong way (i.e. dividen... Read More
Re: Distressed Credit Overview - Valuation questions
1) Capital Structure a) Bank debt usually falls on the top box, Senior Debt (Revolver and Term Loans) b) Senior Debt can be secured OR unsecured. Nothing to do with SPV at all. Correct, Senior Debt usually does include bank debt and not usually bonds, especially the way we are listing it here. 2) V... Read More
1) Capital Structure a) Bank debt usually falls on the top box, Senior Debt (Revolver and Term Loans) b) Senior Debt can be secured OR unsecured. Nothing to do with SPV at all. Correct, Senior Debt usually does include bank debt and not usually bonds, especially the way we are listing it here. 2) V... Read More
Re: Urgent: Automating Scorecard Metrics grading
Do feel free to spread the word and we'll even hook you and your friends with discount codes.
Email us at: info@wallst-training.com
Do feel free to spread the word and we'll even hook you and your friends with discount codes.
Email us at: info@wallst-training.com
RE: Complex Trading Comps Analysis Treatment of gross profit
No we have not incorrectly stated TGT's Gross Profit. The traditional accounting definition of Gross Profit is Total Revenue less COGS. But forgetting about accounting definition for a second, intuitively, COGS is a raw material. The raw materials for Credit Card Revenues is Interest Expense; hence,... Read More
No we have not incorrectly stated TGT's Gross Profit. The traditional accounting definition of Gross Profit is Total Revenue less COGS. But forgetting about accounting definition for a second, intuitively, COGS is a raw material. The raw materials for Credit Card Revenues is Interest Expense; hence,... Read More
Re: Questions on basic Accretion/Dilution model
We think Hamilton's explanation in the M&A Deal Structuring video is easier - if you understand Stock PE breakeven (which you do), then just understand that opportunity cost can be expressed as either a ratio or a funding cost.
We think Hamilton's explanation in the M&A Deal Structuring video is easier - if you understand Stock PE breakeven (which you do), then just understand that opportunity cost can be expressed as either a ratio or a funding cost.
Re: Dividend decision before debt amortization
yes, normally, a cash flow sweep would be built to determine %age of excess cash goes to paying down debt first (i.e. discretionary payments on term loan and revolver) and then to equity dividends.
yes, normally, a cash flow sweep would be built to determine %age of excess cash goes to paying down debt first (i.e. discretionary payments on term loan and revolver) and then to equity dividends.
Re: Growth Initiatives Bolt On
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We apologize for the inconvenience. Please re-login or hit refresh and the chapter called "Future Growth" should now be visible.
We have corrected an error on the system that temporarily disabled viewing of that section of the course.
Thank you.
Re: M&A Cash Purchase Question
If the company is using cash from its balance sheet, then the accounting procedure would be simple in the M&A model by adjusting the cash with assets being purchased (depending upon which method of acquisition accounting is being used - equity method or consolidated method)....If the company is ... Read More
If the company is using cash from its balance sheet, then the accounting procedure would be simple in the M&A model by adjusting the cash with assets being purchased (depending upon which method of acquisition accounting is being used - equity method or consolidated method)....If the company is ... Read More
Hi, Thanks for submitting your question. Generally speaking, it's more useful and practical to know how things work, not just their names! That said, the various types of models you'll encounter in finance are usually aptly named, and all are just that: models. Like you said, a valuation model can... Hi,
Thanks for submitting your question. Generally speaking, it's more useful and practical to know how things work, not just their names!
That said, the various types of models you'll encounter in finance are usually aptly named, and all are just that: models. Like you said, a valuation model can show much much a company is worth. Similarly, an LBO model represents a specific LBO deal, and can vary in complexity depending on the acquisition itself.
There is no official list that we know of that definitively determines which types of models exist or don't exist. For example, let's say you need to value an oil & gas company, which might involve various caveats that aren't applicable in, say, the pharmaceuticals industry. To do so, you calculate the company's value using the discounted cash flow method. Would you call that a DCF model, a valuation model, or an oil & gas company model? All three would be correct, though the third is probably the most effective at communicating its purpose.
One of our goals at WST is to be as comprehensive as possible in making sure firms on Wall Street know how to correctly build their financial models and analyze everything from the inputs to the outputs. You can find more information on the different industries and types of deals that we cover on our [url=http://wallst-training.com/self-study/courses.html:3idz0t5k]Self-Study Courses list[/url:3idz0t5k]. We hope that helps clarify things a bit! Read More