Valuation Course Access Card ─ An Introductory Course to Measuring the Value of Companies

Welcome to the Valuation course. Most business decisions require rigorous financial analysis to assess their implications for shareholder value. That makes it essential for all business managers to master a core set of financial tools and valuation skills that complement their strategic acumen. To help you develop these skills. McKinsey & Company has created a 7-module course with 6.5 hours of instruction. In this course, you will learn how to:

• Identify key drivers of value creation
• Estimate how changes in performance or strategy will affect the value of a company
• Conduct a detailed historical analysis of a company’s performance
• Understand core valuation concepts, such as NOPLAT, invested capital, free cash flow, and ROIC
• Estimate the weighted average cost of capital (WACC)
• Forecast free cash flow
• Build a valuation model spreadsheet to estimate a company’s equity value using the discounted free cash flow method

PETER SPILLER is a Principal in McKinsey's Frankfurt office and leader of the firm's EMEA purchasing and supply management practice, serving. clients in the automotive, telecommunications, and high-tech sectors on operations transformations and strategy.

NICOLAS REINECKE is a Tenured Expert Principal in McKinsey's Hamburg office. He is part of the EMEA operations leadership team, focusing on supply management and operations topics across industries and geographies.

DREW UNGERMAN is a Director in McKinsey's Dallas office and leads the firm's Americas purchasing and supply management practice. He advises clients across the health care value chain on strategy and operations.

HENRIQUE TEIXEIRA is a Principal in McKinsey's Sao Paulo office. He is the leader of the firm's Latin America purchasing and supply management practice and sourcing center.