Students will explore both the theoretical basis and practical application of valuation concepts and techniques. The course starts by introducing key ideas and tools for the valuation process in general. Some traditional techniques for valuation are then introduced, with practical implementations. The next step consists in addressing the process of fundamental valuation: a concrete FCF model for valuing a listed company will be developed, step-by-step, in the class. Afterwards, the topics of relative valuation (multiples) and real options are introduced and exemplified.
Students are expected to acquire autonomy and critical sense in the use of the valuation techniques presented. Alongside the theoretical background, the course strongly emphasizes practical application, with case studies, examples and model implementation. Students are expected to develop their modelling skills for valuation purposes.