Model - Setting Up The Table
- 01:41
Understand how to set up the data for the football field chart
Glossary
Chart Football Field GraphTranscript
In setting up our table in order to create our football field graph, we start listing out all of the valuation methodologies we've used So the top four are all standalone methodologies And they come from the top four on this page, if we look for EV/EBITDA, go right up to the rop There's our EV/EBITDA. Underneath that we had the P/E multiple, underneath that we had the DCF If you go back down, there they are; EV/EBITDA, P/E, DCF I've changed some of the headings slightly, the EV last 12 months EBITDA, I've put the word transactions at the beginning Percentage premium, I've added the word paid at the end But essentially these describe the valuation methodology I have of course included some of my assumptions, so for the DCF I've included WACC And the growth rate for both DCF stand alone and with DCF synergies I've then included the low figures, so again if we just have a quick look where these are coming from My DCF with synergies has come from just a little further up the page there My high figure I've also included, again that's just come from slightly further up the page But a new column that I enter here is the difference between the two, I want to find the difference between the high and the low What we'll do when we come up with our football field, is we'll create a bar for the low (that'll be the 17.84) And that will be a white bar, a white bar chart We'll then add onto to that, the difference (the 1.8). And that's what will be coloured And that will show the difference between our low (17.84) and the high (19.67) And that is what will be displayed on the graph, showing us our valuation range