Valuation for Startups Using Multiple Approach

  • 4.2
Approx. 13 hours to complete

Course Summary

Learn how to use valuation multiples to determine the value of a company in this course. With lessons on financial analysis, industry comparisons, and earnings multiples, you'll be able to make informed investment decisions.

Key Learning Points

  • Understand the different types of valuation multiples and how to calculate them
  • Learn how to compare companies within the same industry using multiples
  • Explore how to use multiples to determine a company's future growth potential
  • Discover the limitations of using multiples in valuation analysis

Job Positions & Salaries of people who have taken this course might have

    • USA: $65,000 - $110,000
    • India: ₹4,50,000 - ₹10,00,000
    • Spain: €25,000 - €50,000
    • USA: $65,000 - $110,000
    • India: ₹4,50,000 - ₹10,00,000
    • Spain: €25,000 - €50,000

    • USA: $100,000 - $250,000
    • India: ₹10,00,000 - ₹25,00,000
    • Spain: €50,000 - €150,000
    • USA: $65,000 - $110,000
    • India: ₹4,50,000 - ₹10,00,000
    • Spain: €25,000 - €50,000

    • USA: $100,000 - $250,000
    • India: ₹10,00,000 - ₹25,00,000
    • Spain: €50,000 - €150,000

    • USA: $90,000 - $160,000
    • India: ₹12,00,000 - ₹25,00,000
    • Spain: €40,000 - €90,000

Related Topics for further study


Learning Outcomes

  • Master the use of valuation multiples in analyzing companies
  • Understand the limitations of using multiples in valuation analysis
  • Be able to make informed investment decisions based on multiple analysis

Prerequisites or good to have knowledge before taking this course

  • Basic understanding of financial statements
  • Familiarity with financial ratios

Course Difficulty Level

Intermediate

Course Format

  • Self-paced
  • Video lectures
  • Quizzes and assignments

Similar Courses

  • Corporate Finance Essentials
  • Investment Management Specialization
  • Financial Markets

Related Education Paths


Notable People in This Field

  • Warren Buffett
  • Mary Buffett

Related Books

Description

In addition to discounted cash flow method, multiple method is one of the most popular methods of firm valuation. PER is often used among financial professionals to make a quick-and-dirty estimate of a firm value. In this course, you are going to learn the concept and usage of PER, PBR and PSR. In addition to these basic multiple ratios, you are going to learn how to make an estimate of enterprise value and founder’s ownership before and after additional funding. Startups require a number of financings before IPO. After taking this course, you are going to be able to answer questions such as What the price per share should be given the startup’s estimate of earnings in the future; How many shares the founder should give up to raise additional capital; and so on? In the discounted cash flow method and multiple method, you are always given earnings or cash flows to make estimate of firm value. In this course, you are also going to learn how to generate cash flows or earnings from the financial statements. After taking this course, you will be able to understand the meaning of financial statements such as balance sheet, income statement and cash flow calculation.

Outline

  • Valuation Based on Comparable Firms
  • Welcome Video
  • 1.1 Valuation Based on Comparable Firms
  • 1.2 Valuation Based on Comparable Firms (1) PE Ratio
  • 1.3 Valuation Based on Comparable Firms (2) PB Ratio, PS Ratio
  • 1.1 Slide
  • 1.2 Slide
  • 1.3 Slide
  • Practice Question 1
  • Practice Question 2
  • Week 1
  • Pre & Post-money valuation
  • 2.1 Pre-money valuation
  • 2.2 Post-money valuation
  • 2.3 Rounds of financing (1)
  • 2.4 Rounds of Financing (2)
  • 2.1 Slide
  • Excel Template
  • 2.2 Slide
  • 2.3 Slide
  • 2.4 Slide
  • Practice Question 1
  • Practice Question 2
  • Practice Question 3
  • Practice Question 4
  • Week 2
  • Financial Statements
  • 3.1 Financial Statements (1)
  • 3.2 Financial Statements (2)
  • 3.3 Cash Flow Calculation
  • 3.1 Slide
  • 3.2 Slide
  • 3.3 Slide
  • Excel Template
  • Practice Question 1
  • Practice Question 2
  • Week 3
  • Cash Flow
  • 4.1 Cash Flow
  • 4.2 Cash Flow Calculation
  • 4.3 Review
  • 4.1 Slide
  • 4.2 Slide
  • 4.3 Slide
  • Excel Template
  • Practice Question
  • Week 4
  • Final Quiz
  • Case Study
  • Case Study Quiz: Ysom Inc.
  • Case Study Quiz (1)
  • Case Study Quiz (2)

Summary of User Reviews

Read reviews on Coursera's Valuation Multiples course. Learn what other learners are saying about the course content, instructors, and their overall experience. Discover the pros and cons of this course to help you decide if it's right for you.

Key Aspect Users Liked About This Course

Many users found the course to be very informative and useful in gaining a better understanding of valuation multiples.

Pros from User Reviews

  • Great course content with clear explanations
  • Engaging and knowledgeable instructors
  • Practical exercises and case studies to apply concepts

Cons from User Reviews

  • Some users found the course to be too basic and lacking in advanced techniques
  • Limited interaction with instructors and other learners
  • No certificate or credential upon completion
English
Available now
Approx. 13 hours to complete
Hyun Han Shin
Yonsei University
Coursera

Instructor

Hyun Han Shin

  • 4.2 Raiting
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