FINANCIAL MODELING & VALUATION

3-DAY LIVE BOOT CAMP TRAINING

CURRICULUM & DETAILED COURSE DESCRIPTIONS

+1 (212) 537-6631
+1 (212) 656-1221 (fax)
info@wallst-training.com

Hamilton Lin, CFA

Wall St. Training
Founder & CEO
ABOUT WALL ST. TRAINING
WALL ST. TRAINING OVERVIEW WALL ST. TRAINING COURSE TOPICS

Wall St. Training provides professional financial training solutions Wall St. Training offers a wide variety of topics ranging from Basic
to Wall Street through hands-on classroom training and customized to Advanced levels. Our courses are designed for participants with
corporate training programs for financial analysts. All of our various backgrounds, from students and entry-level professionals
courses take a hands-on, interactive, practical, non-theoretical to professionals with some work experience to professionals in the
approach and is exactly how it is done on Wall Street. midst of a career transition.

Wall St. Training Overview Basic and Fundamental Concepts

 Corporate training  Accounting and Financial Statements Integration
 Public, open-enrollment seminars  How to Analyze a 10K
 Self-study, video-based learning  Introduction to Finance (“Finance 101”)
 Corporate Valuation (including Corporate Finance)
Wall St. Training Services
Core Financial Modeling Topics
 Train finance professionals
 Conduct new hire and lateral hire training  Basic Financial Modeling
 Teach fundamental financial analytics  Advanced Financial Modeling (Core Model) & Valuation Analysis
 Instruct and promote mastery of advanced topics  Revenue and Segment Build-up Model
 Provide practical, real-world, hands-on instruction  Trading & Deal Comps Analysis

Wall St. Training Specialties Merger Modeling Topics

 Investment Banking and M&A (analysts & associates)  M&A Deal Structuring and Merger Modeling
 Securities Research (equity & fixed income)  Basic and Complex LBO Modeling & LBO Enhancements
 Asset and Investment Management  Advanced Merger Modeling
 Credit Analysis (corporate & commercial banking)  Roll-Up Acquisition Modeling
 LBO Modeling (private equity & high yield)
 CFA (Chartered Financial Analyst) Technical Applications & Topical Subjects
 Insurance Company and REIT Financial Modeling
 Overview of the Financial Markets
 Advanced Excel for Data Analysis + Intro to Macros

WHY CHOOSE WALL ST. TRAINING

We analyzed the current learning process in finance and Wall Street, figured out how teaching and training
should be done and then implemented our learning processes. In short, our strengths that separate us from
our competitors include:
 Hands-on, interactive, practical, non-theoretical, no "b.s." approach
 Training modules replicate exactly how it is done on Wall Street
 Blend of real-world and effective teaching style that is more down to earth and at the audience’s level
 Fast-paced learning where the goal is for participants to become experts and extremely quick and efficient
so they could spend more time on analysis of the numbers rather than pure number crunching
 Learn how to completely avoid using the mouse when building financial models
 Ability to translate difficult and advanced concepts into plain English while providing highly detailed
explanations and intricacies; ability to integrate a variety of disparate topics into one focused theme
 Teach nuances and real-life intricacies, not just the basic how-to; we teach the rules and the exceptions!
 Models that are built more cleanly, more efficiently and are meant to be self-contained reference models
 Highly interactive, dynamic teaching approach – we guarantee you will learn AND have fun!

Wall St. Training is a registered trademark and servicemark of HL Capital Partners, Ltd.
Wall St. Training Hamilton Lin, CFA
+1 (212) 537-6631 2 Founder & CEO
info@wallst-training.com www.wallst-training.com
3-DAY CURRICULUM
The following is our 3-day financial modeling training curriculum designed and targeted specifically for
professionals in finance and accounting.

In addition to this live seminar, all participants receive access to applicable courses via our online video-
based content. Prerequisites are meant to be done prior to the first day of live training and are available
before and after the training. Post-training supplements replicate live training content as a review and
refreshers to hone the concepts learned and are highly recommended as add-ons after training.

ADVANCED FINANCIAL MODELING & VALUATION

Topic Format Duration
Advanced Financial Modeling – Core Model (Integrated IS/BS/CF) 100% Excel Day 1
Segment Build-up & Sensitivity Modeling 100% Excel Day 2
Corporate Valuation & Corporate Finance Discussion Day 3 Part One
Valuation Modeling (DCF, Basic Comps & Valuation Analysis) 100% Excel Day 3 Part Two
Online Course Access (included with each participant’s tuition):
Accounting & Financial Statement Integration, How to Analyze a 10K, Finance 101: Intro to Finance

These are intensive financial modeling training programs based off our training to
large Wall Street investment banks and asset managers and are meant to
challenge, teach and inspire you, not put you to sleep!

Pricing and Logistics

 $1,599 enrollment fee per individual for the entire 3-day program
 Held on the University of San Francisco campus; precise location TBA
 Bring a PC laptop with Microsoft Excel installed. If you can only use a Mac, please avoid Office 2008 and
be sure to set up a Windows environment via Boot Camp, Parallels, or VMware

Benefits
 Become extremely fast and efficient with Excel; apply these skills in many finance and related classes
 Instill and encourage you to apply thought and reasoning when building financial models
 Get on-going support from WST & participate in live forums & discussions
 Bridge the gap between academic theory and the textbook with practical, real-world application
 Enables you to take on more challenging tasks during summer programs, e.g. building financial models
 Be better prepared for any full-time or post-MBA position at boutique investment firms or firms with
little to no formal training programs

Wall St. Training is a registered trademark and servicemark of HL Capital Partners, Ltd.
Wall St. Training Hamilton Lin, CFA
+1 (212) 537-6631 3 Founder & CEO
info@wallst-training.com www.wallst-training.com
 DAY 1: ADVANCED FINANCIAL MODELING

Advanced Financial Modeling – Core Model

Format: 100% Excel Duration: 1 Day

Build a fully integrated financial statement projection model with income statement projections, a self-balancing
balance sheet, an automated cash flow statement, and the balancing cash flow sweep/debt schedule. While knowledge
of advanced accounting concepts is not required for this course, you should possess knowledge of basic accounting
ratios and a basic understanding of how the major financial statements are inter-related. Emphasis is placed on the
integration of the major financial statements and becoming experts in Excel. Incorporate different methodologies to
forecasting the different types of assets on the balance sheet and compare and contrast with projecting liabilities. Learn
how to balance a model utilizing the debt sweep and the revolver and not using any “plugs”. Appreciate the danger of
and properly control for circular references. Avoid messy nested “if” statements!! You will leave the classroom with a
fully constructed model that can be customized and applied to other companies. The final model is a fully scalable
model that can be added upon.

Learning Objectives:
• Build an integrated set of financials, including income statement, balance sheet & cash flow
• Learn how to balance a model utilizing debt sweep, no “plugs” and the danger of circular references
• Become super-efficient in Excel through intensive use of keyboard shortcuts and best practices

Learning Goals:
5-Year Financial Statement Projection Model:
• How do you project a company’s Income Statement from revenues and expenses down to Net Income?
• What are the different methodologies to forecasting the different types of assets on the balance sheet and how do
they compare and contrast with projecting liabilities?
• How do you project the shareholders’ equity account?
• What is the importance of financial ratios in building the balance sheet projections?
• How do you approach building an integrated cash flow statement?
• How do you build each component of the cash flow statement and why is cash the last item to project?

Supporting Schedules:
• Incorporate calculation and payment of dividends into your integrated financial model
• Emulate announced share repurchase program by estimating implied price and shares repurchased

Integration and Balancing of Financial Model:

• Balance the model using the debt schedule and debt sweep logic – the most important analysis in terms of balancing
the model!!
• How does the cash actually flow through the model?
• Incorporate automatic debt payments and use cash generated to either pay down debt or build cash
• How does the revolver facility actually balance the model? Avoid messy nested “if” statements!!
• How does the balance sheet and financial statements balance by itself without the use of “plugs”?
• How are the financial statements integrated using the Interest schedule?
• What are circular references, why should they be avoided and how to get around circular references

Wall St. Training is a registered trademark and servicemark of HL Capital Partners, Ltd.
Wall St. Training Hamilton Lin, CFA
+1 (212) 537-6631 4 Founder & CEO
info@wallst-training.com www.wallst-training.com
 DAY 2: SEGMENT BUILD-UP & SENSITIVITY MODELING

Segment Build-up & Sensitivity Modeling

Format: 100% Excel Duration: 1 Day

Learn how to build detailed revenue and segment build-ups into your larger financial model. Many financial projection
models are based off simple revenue growth rate and expense margin assumptions, resulting in reduced precision in
the projection model. This course teaches various approaches to true, bottoms-up, fundamental analysis, from both an
“account-by-account” and “business segment” basis (very detailed build-up vs. division by division). The results of build-
up analysis roll-up into a consolidating income statement that feeds into the Income Statement revenue items.

Learning Goals:
Detailed Business Segment Build-Up:
• Model out historical change in key drivers of growth and project future detailed growth
• Analyze and break down growth based on publicly available data and inputs from 10K filing
• Incorporate and remove effect of growth from non-core items such as foreign exchange rate fluctuations
• Project future detailed growth assumptions that roll up into larger projection model
• Instead of just calculating 10% growth rate in revenue, dig into deeper layers of growth drivers
• For instance, for a retailer, calculate Sales / Sq Foot / Type of Store, which captures: (i) number of stores (store count
growth); (ii) size of each store (expansion and size creep); (iii) profitability of each sq foot and same store comps sales
(YoY sales growth)

Operating & Division Segment Build-Up:

• Calculate and analyze different operating segments as reported in public filings to roll-up into IS
• Adjust for extraordinary items by segment based on MD&A and disclosed footnotes
• Extract, utilize and incorporate volume and pricing increases into operating segment performance
• Estimate and project future revenue and segment income and allocate for corporate overhead
• Estimate projected COGS and SG&A on the entire base after operating build-up

Detailed Account by Account Build-Up:

• Project sources of revenue based on growth in number of accounts and customers
• Model out revenue per account and associated commissions and expenses
• Incorporate rate increases into model
• Further enhance model via sensitivity & scenario modeling and analysis
• Detailed build-up consolidates into Consolidating Income Statement which feeds into model
• Account for inter-company eliminations in historical pro forma model and projections

Sensitivity Analysis and Multiple Cases:

• Layer sensitivity analysis on top of segment build-up to incorporate various assumptions and cases
• Build multiple scenarios and cases, including Base Case, Optimistic & Pessimistic Cases
• Toggle and sensitize profitability and cash flow of model based on various case assumptions

Stand-alone Depreciation Schedule:

• Build a stand-alone depreciation schedule to better estimate working capital changes and free cash flow by
depreciating existing PPE as well as new capital expenditures
o Capture and incorporate detail such as remaining useful life estimates
o Allocate accumulated depreciation correctly
o Depreciate existing Net PPE and new CapEx based on weighted average life

Wall St. Training is a registered trademark and servicemark of HL Capital Partners, Ltd.
Wall St. Training Hamilton Lin, CFA
+1 (212) 537-6631 5 Founder & CEO
info@wallst-training.com www.wallst-training.com
 DAY 3: CORPORATE VALUATION

Corporate Valuation (including Corporate Finance)

Format: Lecture Duration: ¼ – ½ Day

How can you tell if a company is undervalued or overvalued? Is the current stock price the only measure of value? Why
would one company command a higher or lower premium than its direct competitor? This course takes a practical,
tangible, and non-theoretical approach to examining how corporations are valued and the major analytical tools that
are used. Go beyond the academic theory of financial ratios and apply fundamental analysis and real-world methods of
evaluating a company’s intrinsic value. Gain insight into relative valuation methodologies (trading comps, deal comps) to
fundamental valuation (discounted cash flow analysis, break-up / sum of the parts valuation). Coverage goes beyond the
academic theory of financial ratios to the practical application of fundamental analysis, offering alternative, real-world
methods of evaluating a company's intrinsic value. The Course includes a crucial primer to Corporate Finance and its
non-theoretical application.

Learning Objectives:
• How to value a company (trading comps, deal comps, DCF, LBO, break-up and asset valuation)
• Importance of Enterprise Value, EBITDA, capital structure, leverage and WACC
• Analyze valuation multiples and ratios; why are PE ratios sub-optimal as a valuation metric?
• Practical, non-theoretical application of introduction to corporate finance

Learning Goals:
Introduction to Valuation and Corporate Finance:
• How much is a company worth? Why is the current stock price not an accurate indication of value?
• How do you tell if a company is under-valued or over-valued?
• Why would one company command a higher or lower premium than its direct competitor?
• What is the importance between enterprise value and equity value?
• TEV: what is the correct treatment of minority interest and capital leases from a standalone valuation aspect vs. credit
perspective vs change of control
• What is the relevance of capital structure and leverage on a company’s value?
• Why and how is corporate finance so critical to managing a firm’s profitability?

Ratios and Multiples Discussion:

• What exactly does a multiple tell us? Learn the correct way to use P/E ratios and other multiples
• Why are P/E ratios misunderstood and what other profitability-related ratios are more important?
• What is EBITDA and why is it so important?
• Utilizing the correct numerator for multiples analysis and calculating implied value based on multiples

Detailed Valuation Analysis:

• Analysis of “football field” and reference ranges
• Detailed discussion of the major valuation methodologies, their nuances and application in the real-world
• Analyzing, comparing and contrasting trading comps, deal comps and premiums paid
• Detailed explanation of Discounted Cash Flow (DCF) valuation, its theory and application
• Discussion of why the DCF is arguable one of the most important analyses while simultaneously one of the most
academic and least practical of them all
• Review of WACC (weighted average cost of capital), CAPM (Capital Asset Pricing Model)
• How do you approach valuing a company with completely disparate businesses?

Wall St. Training is a registered trademark and servicemark of HL Capital Partners, Ltd.
Wall St. Training Hamilton Lin, CFA
+1 (212) 537-6631 6 Founder & CEO
info@wallst-training.com www.wallst-training.com
 DAY 4: VALUATION MODELING

Valuation Modeling
Format: 100% Excel Duration: ½ – ¾ Day

Layer on a fundamental valuation model by constructing a discounted cash flow analysis on top of your projection
model. Continue with relative valuation by building a basic trading comps analysis analyzing the industry valuation
multiples. Incorporate all of the analyses together in a summary valuation analysis. This Excel-based class provides a
non-academic, real-world, hands-on primer to the quantitative and technical aspects of valuation modeling. You will
leave the classroom with a template model that is scalable and applicable to other companies immediately.

Learning Objectives:
• Construct a discounted cash flow analysis including present value of free cash flows and terminal value
• Build basic comparables comps analysis
• Integrate model to complete valuation analysis

Learning Goals:
Fundamental Valuation Modeling:
• Construct a discounted cash flow analysis (simple and complex version)
• Estimate unlevered free cash flow (free cash flow to firm)
• Estimate terminal value using multiples approach and perpetuity growth approach
• Weighted average cost of capital (WACC) analysis that supports the DCF (estimate discount rate)
• Calculate from enterprise value down to equity value and ultimately down to stock price per share
• Build reference range and football field to summarize valuation (after trading comps)

Relative Valuation: Basic Comps & Valuation Analysis:

• Build a basic comparables trading analysis (analysis of selected publicly traded companies)
• Calculate market valuation and enterprise value
• Input estimated profitability from analyst projections
• Calculate current standalone and industry market valuation multiples
• Quickly construct a relative valuation analysis range
• Analyze and compare results

Wall St. Training is a registered trademark and servicemark of HL Capital Partners, Ltd.
Wall St. Training Hamilton Lin, CFA
+1 (212) 537-6631 7 Founder & CEO
info@wallst-training.com www.wallst-training.com