Excellence in
Management
Education

Title
Advanced Valuation
Contacts hour per week
2.0
Quarter
II
Lecturer
Walker, Thomas
Similar courses
Master of Science
Language
English
Content
This course has the following structure:
    Capital Budgeting Discounted Cash Flow Valuation Valuation Using Multiples Residual Income Valuation Sensitivity Analysis and Simulation Event Studies Decision Trees and Real Options
Prerequisites
Capital Market Theory (recommended)
Teaching methods
In class the following teaching methods are used:
    Interactive development of main results Discussions of major economic implications Analysis of spread sheet based applications
Theories
This course applies the following theories:
    Discounted Cash Flow (DCF) Valuation Residual Income (RI) Valuation Monte Carlo Simulation Capital Asset Pricing Model (CAPM) and Arbitrage Pricing Theory (APT) Risk-Neutral Valuation Option Pricing Theory Event Study Metodology Valuation Multiples
Literature
Grinblatt, Mark and Titman, Sheridan (2002): "Financial markets and corporate strategy", 2nd ed. - internat. ed., Boston, McGraw-Hill.
Brealey, Richard A., Stewart C. Myers and Franklin Allen (2008): "Principles of Corporate Finance", 9th ed. - internat. ed., Boston, McGraw-Hill.
Kruschwitz, Lutz and Löffler, Andreas (2007): "Discounted cash flow: A Theory of the Valuation of Firms", Chichester, Wiley.
Berk, Jonathan B., and DeMarzo, Peter (2007): "Corporate Finance", internat. ed., Boston, Pearson Education
Further literature
Ruback, R. S., 2002. Capital cash flows: a simple approach to valuing risky cash flows. Financial Management 31, p. 85-103.
Method of examination
Exam 75%
Case studies 25%