Students shall be able to do the following:

Knowledge

• Give an overview of the main valuation methods
• Set company valuation in relation to other corporate finance topics like Mergers & Acquisitions, Going Public and Private Equity
• Relate corporate planning to corporate valuation and to describe the links in their own words

Skills

• Critically evaluate the results of the corporate valuation and clarify any differences
• Interpret the results of the corporate valuation and independently draw conclusions for corporate finance transactions
• Review the structure the results of the valuation model

Competencies

• Transfer the results of the corporate valuation to other modules such as financial management, portfolio management and derivatives
• Master theoretical and empirical challenges of corporate valuation
• Apply knowledge to specific valuation projects and adjust to actual valuation situations
• Critically challenge the assumptions, algorithms and results of every valuation approach
• Present and defend the valuation results in front of clients

• Overview of the Methods of Company Valuation
• Discounted Cash Flow Method
• WACC Approach
• APV Approach
• Equity Approach
• Multiples
• Trading Multiples
• Transaction Multiples
• Acquisition Financing

Ernst D., Häcker, J. (2017, editors): Financial Modeling - Business excellence in Financial Management, Corporate Finance, Portfolio Management and Derivatives, Basingstoke (England) and New York (US)