Advanced Methods of Business Valuation

Rationale
The analysis and in particular the valuation of companies is one of the most difficult procedures and operations of finance, accounting and management science. This course deals analyzing financial data and deepen the main problems discussed in the followed methodology for assessing the business and gives guidance - practical solutions. Moreover, given the necessary theoretical support for the process - a methodology for analysis and valuation of companies. The aim of the course is beyond the academic coverage of the subject, methodological coverage of domain knowledge and especially practical dimension of this, the development of the critical view of the student to select the appropriate methodology, and develop the usability of the information produced for decision making.

Indicative Content

The course content is categorized into four sections. The first is the introduction of the analysis of financial statements (financial analysis, analysis ratios). The second section discusses the theoretical approach to valuing companies based on financial theory and practice. The third section deals the key methodologies / techniques for assessing the business value, as is the method of the net assets, the method of discount cash flows (Discounted Cash Flow Methods), (NPV, with or without interest and amortization), the method of capitalization net profit, the business value under P/E. In the fourth section refers to results of the methods of valuation and analysis of business and discussed the limitations and assumptions to be taken in evaluating and analyzing the operative enterprises.
Indicative Bibliography
• Copeland, T., Koller T., and Murrin J. ,1994, Valuation: Measuring and Managing the Value of Companies, 2nd edition, John Wiley and Sons, New York 1994.
• Damodaran – Aswath, 1999, Applied Corporate Finance, Wiley, .
• Damodaran – Aswath, 2002. Investment Valuation, Wiley finance ,2nd ed. 2002.
• Edwin J. Elton and Gruber J. Martin., 1995, Modern Portfolio Theory and Investment Analysis, JOHN WILEY & SONS ,INC .
• Fisher, Black, and Myrοn Scholes, 1973, “The Pricing of Options and Corporate liabilities”, Journal of Political Economy, May/June 1973.
• Mc Kinsey –Tom Copland – Tim Kider – Jack Murrin , 2000, Valuation – Measuring and managing the value of Companies, WILEY 3d edition
• Maditinos, D., 2009, Financial Modelling, Giourdas, Athens.
• Frykman and Tolleryd, Corporate Valuation, Prentice-Hall ISBN: 0-273- 66161 2.