CFA resumo

RESIDUAL INCOME
Applied to firms that do not pay dividends or do not have positive cash flows
Model is applied even cash flow are volatile
The drawback is that the model relies so much on accounting data and that it depends on the clean surplus account relation
Continuing Residual Income: is the residual income that is expected over the long term. Persistence Factor is as rate at which residual income is expected to fade over the life cycle of the firm.

A high persistence factor is associated with low levels of dividend payment. A low persistence factor is associated with significant levels of nonrecurring items.

Single Stage Residual Income Para achar o BVPS deve-se somar ( Common Shares + Retained Earnings)/ Shares
Equity Charge: BoP BVPS x Ke -> Residual Income = EPS – Equity Charge

MVA = (Mkt value of debt MkT Value of Debt) - Invested Capital

PRIVATE COMPANIES

Asset Based valuation is based on fair value of assets.

Equity Valuation: Application & Processs
5 Porter Forces: (i) Threat of new entrants (ii) Threat of Substitutes (iii) Power of Supplies (iv) Power of Buyers (v) Rivalry
DCF: Absolute valuation model
Múltiplos: Relative Valuation Model
SOFTP = Breakup Value = Private Market Value. Conglomerate Discount = Actual Value – SOFTP.

Return Concepts
HPR: (i) CF Yield + (ii) Return from price appreciation

Se o CF for recebido antes da maturidade do papel devemos considerar os juros recebidos por este até o vencimento do papel.

GG Discount Rate = Div. Yield + Earnings Growth – Govt Bond

(-) Forward looking estimates vão mudra ao longo do tempo e precisarão ser atualizadas
(-) Economias em crescimento não possuem crescimento estável, e sim em fases.

Supply Side Models (Macroeconomic): apenas apropriado para developed countries aonde public equities representam um grande share da economia. É baseado na relação entre variáveis