Valuation

Here is a valuation book that avoids highly theoretical or "ivory-tower" concepts that do not lead directly to practical results and tools. George Chacko focuses on techniques and methodologies that lead directly to accurate valuations, and explains each key concept with up-to-date examples. By avoiding elementary content that financial managers, analysts, and MBA-level finance students already know, this book can focus more tightly on the realistic techniques and advanced issues practitioners are actually concerned with. One step at a time, Chacko develops a practical, rigorous approach to conducting valuation, addressing the projection of financial statements, calculating free cash flows, risk-adjusted cost of capital, and leading methodologies including WACC, flow-to-equity, and Adjusted Present Value (APV). Coverage includes:

• Market value and accounting balance sheets, cash cycles, the DuPont formula, financial distress, and capital as a risk buffer
• Constructing pro-formas, projecting and bridging financing shortfalls, and planning sustainable growth
• Sources/uses of cash, cash income statements, pro-forma balance sheet changes, working capital, depreciation, and capital expenditures
• Risk-free cost, investment risks, diversifiable vs. idiosyncratic risks, and more
• NPV, APV, Optimal Debt Ratio, Capital Structure Dynamics, and Terminal Value Calculations