💰 Financial Analysis in Excel - Comparable Company Analysis Excel Walkthrough | Valuation Multiples

📈 The Complete Finance & Valuation Course (use code EMAIL10): https://www.careerprinciples.com/courses/finance-valuation-course Learn comparable companies analysis, also known as comps or multiples valuation. 🆓 DOWNLOAD Free Excel file for this video: https://view.flodesk.com/pages/624462f010c4acb3feb9bda1 Comparable companies valuation is a valuation method that compares multiples of similar companies to determine a valuation range for a target business. This is a relative valuation method, meaning it's based on the market as opposed to the intrinsic value of the target company. The following are the steps we take: 1. Select the comparable companies: find 5-10 companies that are comparable based on industry, growth, credit risk etc. 2. Gathering financials and calculating multiples: Find revenues, EBITDAs, earnings, etc. to calculate multiples such as EV/Revenue, EV/EBITDA, P/E etc. 3. Benchmark the multiples: calculate the average, median, high, low, and quartiles to see multiple ranges 4. Determine a valuation range: Calculate the enterprise or equity value and eventually reach an implied share price 5. Simplifications for the model: Factors we need to consider such as calendarization, shares outstanding etc. You can follow along and practice using the excel valuation template above. LEARN: 📈 The Complete Finance & Valuation Course: https://www.careerprinciples.com/courses/finance-valuation-course 👉 Excel for Business & Finance Course: https://www.careerprinciples.com/courses/excel-for-business-finance 🏦 The Investment Banking Program: https://www.careerprinciples.com/career-track/the-investment-banking-program 🚀 All our courses: https://www.careerprinciples.com/all-courses ▬▬▬▬▬▬▬▬▬▬▬▬▬▬▬▬▬▬▬▬▬▬▬▬▬▬▬▬▬▬▬▬▬▬▬▬▬▬▬▬ Chapters: 0:00​ -​ What is a Comparable Companies Valuation? 1:49​ - Selecting the comparable companies 3:16​ - Gathering financials and calculating multiples 7:28​ - Benchmark the multiples 8:58​ - Determine a valuation range Disclaimer: I may receive a small commission on some of the links provided at no extra cost to you.