Course Description

As an analyst in Investment Banking, Corporate Finance, Equity Research or Private Equity, a major part of your work will revolve around valuation using various techniques. DCF is one of the most robust and widely used valuation methodologies across the buy side and sell side:

  • To value target companies for M&A
  • To evaluate entry and exit multiples and IRR returns for private equity investors and
  • To give stock recommendations of buy, sell and hold

As a result, mastering DCF is a make or break skill set for all aspiring analysts. Job interviews to enter any of these fields:

  • Are intense, highly technical in nature and
  • Questions related to DCF tend to come up frequently

The skills that you will pick up on this course will enable you to hold your own and succeed not just in interviews, but everyday as a professional as well. By investing in SIB’s program on DCF Valuation, you already have a head start. It offers:

  • 39 professional quality HD videos with a run time of just over 2 hours
  • An extremely comprehensive and robust valuation case study on Heineken with step by step guidance


After having gone through all videos and exercises on our DCF Valuation program, you will:

  • Be aware of its pros and cons
  • Understand the steps involved in preparing a DCF valuation
  • Appreciate and understand the differences between FCFF and FCFE
  • Learn to build a business plan and project free cash flows
  • Learn about optimal capital structure and cost of debt
  • Understand levered and unlevered beta
  • Learn how to calculate cost of equity, using a risk free rate and equity risk premium
  • Be able to calculate WACC
  • Understand the concept of terminal value
  • Learn about Gordon Growth and exit multiple methods
  • Understand how to discount appropriately and calculate implied share price
  • Develop an appreciation for mid year adjustments
  • Learn how to perform sensitivity analysis
  • Appreciate how to avoid common pitfalls
  • Learn to sanity check your calculations

Our Trading Comps program offers:

Practical Skills: Since 2007, SIB has been a pioneer in the provision of practical skills. This module strikes the perfect blend between theory and practice. Theory is backed up with an extremely comprehensive and robust valuation case study on Heineken with step by step guidance

Relevance: Just think of a top tier firm (JP Morgan, Deutsche Bank,Citi, BofA, HSBC, Nomura etc) in a major financial centre (London, NY, Hong Kong, Dubai, Mumbai etc) across the world? SIB alumni from our full time placement programs are already making their mark there. This is possible only because our content is relevant to industry and hits the nail on the head. By investing in this program, you have access to that same high impact world class content

Professional HD Production: All our content is professionally produced and edited to maximise your learning experience


  • Your access is valid for a period of 3 years from the day you sign up. So you have plenty of time to practice and perfect :)
  • This is an advanced program and it will be helpful to have a good understanding of introductory accounting concepts. If you’re new to Accounting, we strongly recommend you go through our Introduction to Accounting program.
  • If you’re not sure about a certain topic or have questions simply post on the forum or drop us an email and we'll get back to you with lightning speed (subject to holidays and different time zones)


We would recommend that you go through our programs in the following sequence:

Intro to Accounting --> Advanced Accounting--> Valuation- Trading Comps --> Valuation - Transaction Comps --> Valuation - DCF --> Financial Modeling

All set to begin with DCF? Super stuff...LETS DIVE IN

About the Instructor

Team SIB

SIB-School of Investment Banking is a unique and one of a kind Investment Banking training institute. What sets us apart is the fact that in addition to providing cutting edge “job oriented” training, we leverage our deep contacts with recruiters to secure world class placement opportunities for candidatesToday SIB alumni are pursuing their career ambitions with major recruiters such as JP Morgan, Goldman Sachs, Citi, Deutsche Bank, Bank of America, HSBC, Nomura, PwC, Ernst & Young, KPMG, Deloitte and Grant Thornton among others across the worldThis is possible only because our content is relevant to industry, contemporary and hits the nail on the headTeam SIB comprises of former bankers at Lehman Brothers, Nomura, Citi and UBS and has a proven track record of delivering industry relevant cutting edge training that transforms livesWith an average placement record of 90% since 2007, we know more than a thing or two about getting your foot in the door!

Course curriculum

  • 1

    Opening Remarks

    • Introduction & Learning Objectives

    • Navigating & Finding Your Way

  • 2

    Introduction to Valuation

  • 4

    Estimating & Forecasting Free Cash Flows

    • Historic Performance

    • Free Cash Flows to the Firm (FCFF)

    • Free Cash Flows to Equity (FCFE)

    • Forecast Period Considerations

    • Forecasting Financials

  • 5

    Computing WACC

    • Introduction, Target Capital Structure

    • Cost of Equity

    • Risk Free Rate

    • Beta

    • Equity Risk Premium

    • Cost of Debt

  • 6

    Terminal Value

    • Introduction

    • Gordon Growth Method

    • Exit Multiple Method

    • Terminal Year Adjustments

  • 7

    Deriving Value

  • 8

    HEINEKEN - Case Study

    • Downloads

    • Laying the Ground

    • Historic Financials

    • Forward Financials & Business Plan

    • WACC - Cost of Equity

    • WACC- Cost of Debt

    • WACC - Bringing it Together

    • FCFF - Stages 1 & 2

    • Discounting

    • Deriving Intrinsic Value

    • Sanity Checks

    • Sensitivity Analysis

    • Tweaks - Mid Year Adjustments

  • 9

    Closing Remarks

    • Closing Remarks


5 star rating

Gaurav Arora

High quality course. Provides immense knowledge.

High quality course. Provides immense knowledge.

Read Less
5 star rating

Good course

Agatha Ben

Good course. Very well packaged and delivered .

Good course. Very well packaged and delivered .

Read Less
5 star rating

Great course!

Amanda Russell

Explained the theory behind DCF very well. Heineken's case study is super.

Explained the theory behind DCF very well. Heineken's case study is super.

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