Comparable Valuation Fundamentals Overview
CFI’s “Comparable Valuation Fundamentals” course will help you understand the best way to value companies using comparable trading analysis and precedent transaction analysis.
This course will teach you how to use comparable trading analysis and precedent transaction analysis to value a target company.
- Learn how to select an appropriate peer group of companies that are similar to the target company to be valued.
- Review the enterprise value equation that is appropriate to use for comparable valuation analysis.
- Calculate the last twelve months’ (LTM) results so companies can get a recent measure of their profitability.
Comparable Valuation Fundamentals Learning Objectives
Upon completing this course, you will be able to:
- Understand how to review companies to select an appropriate peer group to compare against the target company.
- Review group of peer companies with the goal of discarding those that have attributes that are not similar to the target company.
- Use metrics like EV/EBITDA to scale peer companies for the size and value of the target company.
Who Should Take This Course?
This course is perfect for those interested in completing their FMVA. This course is a part of the FMVA curriculum.
Recommended Prerequisites
There are no prerequisites for this course.