BV550 Mastering the Cost of Capital Professional: Models, Inputs, and Case Study

Webinar Description

This webinar will demonstrate how to estimate the Cost of Capital using the Cost of Capital Professional Platform. We will discuss the differences between various Cost of Equity models and their respective inputs. A case study will guide attendees through six different scenarios to determine the Cost of Equity for a hypothetical subject company. Additionally, we will provide a comparison of the results from all six scenarios to highlight the variations in the outcomes.

Learning Outcomes

Upon webinar completion, the participant will be able to:

• Discuss the available models in the Cost of Capital Professional platform, including the Modified CAPM, Build-Up model, and Weighted Average Cost of Capital;
• Explain the inputs for the models, such as the risk-free rate, equity risk premium, and size premium, using credible sources like CRSP and Dr. Aswath Damodaran’s data library;
• Apply the Cost of Capital models to a case study; and
• Summarize the outcomes of different scenarios using the platform to compare results across various model and assumptions.

Course Audience

Business Appraisers

Instructor Information

Adam Manson | Business Valuation Resources, LLC

Adam Manson is the Chief Data Officer at Business Valuation Resources, LLC, a firm that provides data, tools, and reports to business appraisers. Adam manages the various data products and reports offered by BVR. He has led the development of various platforms and tools, including DealStats (BVR's flagship offering), the Guideline Public Company Comps Tool, and the Economic Outlook Update, among others. He holds a bachelor's degree in finance from Seattle Pacific University and an M.B.A. from Portland State University.

Oday Merhi | Business Valuation Resources, LLC

Oday Merhi is the Manager of Valuation Data and Analysis at Business Valuation Resources (BVR). In addition to playing an active role in customer support, product maintenance, and product development, he is responsible for reviewing incoming closed deal transactions sourced from the middle markets and conducting research on publicly available M&A data from the Securities and Exchange Commission (SEC) and other exchanges. He holds a Bachelor of Science in Finance from Portland State University and a Master of Science in Financial Management from Boston University. 

Continuing Education

Review of this session recording will award 1.8 CE hour(s). 

CPE credit is not awarded for this pre-recorded offering.