Elements Of Company Valuation

When you are considering selling or divesting, it is necessary to go through the process of business valuation where an estimate is made on the value of the company. Baruch Lev is a Professor at the New York University, Stern School of Business, and an expert in finance and accounting. In this course, he shares his expertise on various elements of company valuation.

 

Professor Lev discusses economic indicators that indicate whether a company is a good risk. He talks about information investors seek and factors that can affect the share price or a company’s value in the marketplace. He discusses whether filings of corporate earnings move markets—something that has been a Wall Street mantra for decades. He defines corporate earnings and the kind of information one should be able to gather from these numbers. He touches upon the role financial analysts play in the stock market, how the role of analysts has changed over the years, what business analysts do and the effect they can have on the stock market and individual businesses. He examines whether investors choose companies to invest based on the “flavor of the month” or fads in the industry, the concept of regression analysis, the importance of strategic resources and how they are reported within the current accounting system.