'Levered beta' diaporamas de présentation

FIN449 Valuation

FIN449 Valuation. Michael Dimond. Beta. What is beta? What does it measure? How do we find it? Is it important? Is it accurate?. Estimating Beta ( ? ). The standard procedure for estimating beta is to regress stock returns ( R j ) against market returns ( R m ) - R j = a + b R m

976 views • 77 slides

FIN449 Valuation

FIN449 Valuation. Michael Dimond. Cost of Capital. Ke Kd WACC. Estimating Inputs: Discount Rates. Critical ingredient in discounted cashflow valuation. Errors in estimating the discount rate or mismatching cashflows and discount rates can lead to serious errors in valuation.

585 views • 47 slides

Capital Structure Valuation and Capital Budgeting with Debt

Capital Structure Valuation and Capital Budgeting with Debt. Valuation. So far, we have valued investment projects (or firms) as if they were purely equity financed Under the Modigliani and Miller assumptions, this approach is valid

1.14k views • 36 slides

Capital Structure Valuation and Capital Budgeting with Debt

Capital Structure Valuation and Capital Budgeting with Debt. Valuation. So far, we have valued investment projects (or firms) as if they were purely equity financed Under the Modigliani and Miller assumptions, this approach is valid

729 views • 36 slides

FINAL REVIEW

445 views • 30 slides

FINAL REVIEW

305 views • 30 slides

CAPITAL STRUCTURE AND FIRM VALUE

617 views • 24 slides

Estimating the Discount Rate

280 views • 24 slides

Corporate Finance Review for First Quiz

Corporate Finance Review for First Quiz. Aswath Damodaran. Basic Skills Needed. What are the potential conflicts of interest that underlie a business and how do they manifest themselves in practice? Can you read a regression of stock returns against market returns?

298 views • 23 slides

Corporate Finance Review for First Quiz

Corporate Finance Review for First Quiz. Aswath Damodaran. Basic Skills Needed. What are the potential conflicts of interest that underlie a business and how do they manifest themselves in practice? Can you read a regression of stock returns against market returns?

234 views • 23 slides

Cost of Capital

Cost of Capital. Identify Industry and Comparable Companies. Are there other public companies in the industry? Are there public companies with similar characteristics? Determine average equity beta for comparable companies. Determine % of equity for comparable companies.

284 views • 20 slides

Corporate Finance Review for Quiz 1b

Corporate Finance Review for Quiz 1b. Aswath Damodaran. Basic Skills Tested. What are the fundamentals that drive beta and why might they change? What is the relationship between leverage and beta? How do you estimate a new beta if a firm changes its leverage?

166 views • 16 slides

Determinants of Beta Formally: Cyclicality of Revenues Not the same volatility of revenues

Determinants of Beta Formally: Cyclicality of Revenues Not the same volatility of revenues Biotech vs. Steel Operating Leverage The mix of fixed and variable costs Financial Leverage The mix of debt and equity financing

132 views • 13 slides

International Cost of Capital & Capital Budgeting

International Cost of Capital & Capital Budgeting. Cost of Capital(A). 1. What is the Cost of Capital? 2. Why is the Cost of Capital important? 3. How can we calculate the Cost of Capital? 4. What are the negative points for using the dividend growth model? Ke = D/P + g

306 views • 10 slides