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Learn how professional investors evaluate, model, and discuss investment opportunities.
Pensions, colleges, and nations across the world rely on investment firms to generate financial returns to support the long-term needs of their retirees, students, and citizens.
In this Build Project, you’ll learn how investors decide to invest in businesses by donning the hat of an analyst entering an investment firm that is in the process of acquiring a public company. Under the guidance of an experienced industry expert, you will identify a potential investment opportunity, analyze the company’s performance, and build an Excel financial model to value it.
You’ll synthesize your findings to create your own investment memo in PowerPoint—skills critical to succeeding in entry-level roles across financial planning, accounting, banking, investment management and consulting. Entry-level roles in such fields typically pay upwards of $60-80K per year.
Get to know the Build Fellow and other students, learn about rewarding careers in finance, ask questions about the project requirements, and get ready to “buy a company”!
Understand how companies acquire funding to support their growth by raising debt and equity. Calculate the valuation of the company we will be bidding to acquire.
We know how much the “market” thinks our company is worth. Is that a fair price? Learn to calculate valuation metrics for our target company in Microsoft Excel.
Why is the market wrong? Why should our target company be worth something else? Build a hypothesis that will form the basis for our future research by consulting public data (e.g., FRED).
Who are the company’s competitors? How are they different? Use Capital IQ to compare calculate their valuations and compare them to our target’s.
All models are wrong, some are useful. Learn how to project our target company’s financial performance in Microsoft Excel.
Now that we have a view on the outlook for the company, let’s decide what we would pay for it. Develop a discounted cash flow analysis in Microsoft Excel.
Integrate your findings into an investment presentation and present them to the Build Fellow and other students in the final group session.
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Chirag is an Associate at AVALT, a private equity firm, where he is responsible for sourcing, due diligence, and execution of transactions across industrial services. Prior to joining AVALT, Chirag was an Associate Consultant at Bain & Company where he supported clients across retail, software, and private equity with addressing key strategic issues.
Chirag was born and raised in Mumbai and spent his early years in Singapore. He graduated from Amherst College with a BA in Mathematics and Dartmouth College with a BE in Electrical Engineering.