Dark Side of Valuation: The Valuing Young, Distressed and Complex Businesses (Paperback)  | Released: 28-Aug-17

Financial professionals have long faced the challenge of accurately valuing companies that are difficult to value using conventional methodologies. Years ago, this challenge was most keenly felt in the dot-com industries and many professionals fell victim to the dark side, creating values that were simply unsustainable. Now, amidst todays global financial crisis, the same challenge applies to a far wider spectrum of enterprises and assets, ranging from Asian equities to mortgage-backed securities, financial services firms like Lehman to real estate firms like Sears. In The Dark Side of Valuation, the worlds top expert on valuation brings together todays best practices for accurately valuing young, distressed and complex businesses. Aswath Damodaran has thoroughly revised this book, broadening its perspective to consider all companies that resist easy valuation. He covers the entire corporate lifecycle, from idea and nascent growth companies to those in decline and distress; and offers specific guidance for valuing infrastructure, real estate, technology, human capital, commodity and cyclical firms. Damodaran places special emphasis on the financial sector, illuminating the implications of todays radically changed credit markets for valuation. Features Guide to valuing companies in all stages and industries, fully revised to reflect todays financial markets and crisis. Indispensable, up-to-the-minute guidance from the worlds #1 expert in corporate valuation, Aswath Damodaran. Expanded to include detailed coverage of companies in financial services, real estate, infrastructure, human capital, commodity and cyclical markets. Answers crucial valuation questions that have suddenly emerged in the wake of the global financial crisis. Table of Contents Preface Chapter 1 The Dark Side of Valuation Chapter 2 Intrinsic Valuation Chapter 3 Probabilistic Valuation: Scenario Analysis, Decision Trees and Simulations Chapter 4 Relative Valuation Chapter 5 Real Options Valuation Chapter 6 A Shaky Base: A “Risky” Risk-Free Rate Chapter 7 Risky Ventures: Assessing the Price of Risk Chapter 8 Macro Matters: The Real Economy Chapter 9 Baby Steps: Young and Start-Up Companies Chapter 10 Shooting Stars? Growth Companies Chapter 11 The Grown-Ups: Mature Companies Chapter 12 Winding Down: Declining Companies Chapter 13 Ups and Downs: Cyclical and Commodity Companies Chapter 14 Mark to Market: Financial Services Companies Chapter 15 Invisible Investments: Firms with Intangible Assets Chapter 16 Volatility Rules: Emerging-Market Companies Chapter 17 The Octopus: Multibusiness Global Companies Chapter 18 Going Over to the Light: Vanquishing the Dark Side Index About the AuthorAswath Damodaran is Professor of Finance at the Stern School of Business at New York University and one of the world’s most highly regarded experts on valuation and finance.