This is an example of a standard LBO model. The model has been setup according to CTG's best practice modelling guidelines. The model produces an equity returns analysis on a private equity investment. The main outputs are exit IFRS, cash or cash multiples and value creation for both the firm and management.

This is an illustration of a standard free cash flow to firm DCF valuation model. The model has been setup according to CTG's best practice modelling guidelines.

This takeaway illustrates the choices analysts should consider when using a Bloomberg beta in order to estimate a company's cost of equity. The takeaway will help the user to:

• Know where to find the Bloomberg beta screen
• Understand what beta means
• Understand the difference between raw and adjusted betas
• Understand the interpretation of the beta R squared
• Understand the implications of the standard error on the beta estimation
• Appreciate the variables that effect the Bloomberg beta estimation:
  • The frequency of the observations
  • The period of analysis
  • The market the company's stock is regressed against

All Excel users will benefit from knowing and using shortcuts from the simplest Ctrl-C to the most obscure of Excel shortcuts. The CTG modelling faculty has identified almost 40 useful shortcuts to make your use of Excel slicker and more professional.

This 1 page takeaway provides a detailed flow diagram illustrating how the financial statements (balance sheet, income statement and cash flow statement) integrate.
This takeaway will help the user to:

• understand how financial statement items interact with each other
• see how the income statement integrates into the balance sheet retained earnings line
• see how the income statement integrates into the cash flow statement
• indirectly derive operating cash flow from a profit metric
• correctly structure and integrate financial models

This 2 page valuation takeaway provides a quick reference guide to the key technical skills necessary to perform a discounted cash flow valuation, including:

• Free cash flow to the firm derivation
• WACC calculations
• Cost of equity and debt calculations
• Terminal value calculation options
• Gordon's growth model
• Deleveraging and releveraging betas
• Implied growth rate calculations

A focused 2-page summary of the various equity and debt financing methods including descriptions, pros and cons.
The takeaway includes:

• Block trades
• Bookbuilt offerings
• Rights issues
• Investment grade loans and bonds
• Sub-investment grade loans and bonds

The IBD Toolkit is a checklist that can be used by analysts to sense check their valuations prior to submitting them for peer review. The toolkit is primarily focussed on sanity checking and benchmarking the valuation, such as:

• Reviewing the consistency of key drivers
• Ensuring that assumptions are consistent with the market
• Benchmarking valuations against research
• Knowing your sources and keeping back up copies
• Making sure that the big picture is considered

The toolkit is split into 2 separate sections:

• Comparable company and transaction analysis
• Discounted cash flow

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