Most investors have no clue. That's because they've never learned how to value a business.
This 3-week course will teach you the four valuation methods professional investors use to calculate a company's value.
From total addressable markets to multiples to discounted cash flow models, understanding these methods will help you make better investing decisions.
Investors who want to learn how to value a business and make better decisions.
Entrepreneurs who want to learn how different types of investors think about business valuation.
Executives and aspiring professionals who want to gain fluency in business valuation.
You'll learn how different investors think about valuation and uncover your valuation style.
You'll master the six stages of the business growth cycle, learn to identify which phase a business is currently in, and know which valuation methods work best in each phase.
Practice using the big-picture valuation methods favored by venture capitalists, such as total addressable market & serviceable addressable market.
Learn how to calculate common valuation multiples, such as the price-to-earnings ratio, price-to-sales ratio, and price-to-free-cash-flow ratio -- and uncover their limitations.
Learn how to use a professional investor's favorite tool: the discounted cash flow model. We'll cover what it is, how to use it, and its drawbacks.
You'll learn how to use a valuation method that flips the DCF model on its head by starting with the stock price and solving for expectations.
You'll understand the most common valuation mistakes that investors make -- and how to avoid them.
You'll gain access to the same valuable tools that professional investors use to make multi-million dollar decisions.
Valuation Explained Simply
May 6—May 12
We kick off the course by discussing the six stages of the business growth cycle. We'll cover how to tell which stage a business is currently in and the key metrics in each stage.
Learn how venture capitalists estimate an early-stage company's value but using total addressable market analysis.
May 13—May 19
Learn how to calculate the most common stock multiples, including price-to-sales ratio, price-to-earnings ratio, and price-to-free cash flow ratio. We'll cover their meaning, how to find them, and their limitations.
Master using the mother of all valuation tools. We talk about what a DCF model is, how it works, and practice using it on some of today's most well-known businesses.
May 20—May 22
Learn how to use a valuation method that flips the DCF model on its head by starting with the stock price and solving for expectations.
Valuation is an art and a science. We uncover some of the most common mistakes investors make when evaluating a business -- and how to avoid them.
We keep the community open for an extra week to answer any burning questions
Watch the replays to the events any time you'd like
Prefer to read? We provide transcripts of everything we say in the course.
Need a quick refresher? We provide access to all of the slides we use to teach the course.
Join us for TWO bonus 1-hour bonus session.
The three-week course kicks off
Mon, May 6 - Business Growth Cycle
Wed, May 8 - Total Addressable Market
Mon, May 13 - Multiples
Wed, May 15 - Discounted Cash Flow
Mon, May 20 - Reverse DCF
Wed, May 22 - Common Mistakes
12:00pm - 1:30pm EDT
5:00 PM - 6:30 PM BST
9:00 AM - 10:30 AM PDT
9:30 PM - 10:30 PM IST
Each class features 30 minutes of lecture and 60 minutes of case studies, practice, and Q&A.
An optional 30-minute of small group discussion follows each class.
Ask us anything!
Thur, May 9 - 12:00 PM - 1:00 PM EDT
Thur, May 16 - 12:00 PM - 1:00 PM EDT
If you attend the sessions, actively participate, and still don’t find the course valuable, we’ll happily refund your payment in full. Simply let us know before the end of the 4th class, and we will issue you a speedy refund.
Author | Financial Educator
Brian Feroldi is a financial educator, author, speaker, and YouTuber. He has an MBA in finance and has been investing since 2004. Brian is the author of the best-selling book, Why Does the Stock Market Go Up?
Brian’s career mission statement is “to demystify the stock market.” He loves to help other people do better with their money, especially their investments. He has written more than 3,000 articles on stocks, investing, and personal finance for the Motley Fool.
Brian Stoffel is a teacher at heart. Brian has been investing for more than a decade and he has written more than 4,000 articles for The Motley Fool.
Brian worked as a middle school teacher in Washington DC for more than 5 years. He and his wife had a "mini-retirement" in Costa Rica and now spent a portion of their year there in a containership home. Brian plans his life and his investments around "antifragile" principles.
We don't use technical analysis ourselves, so we won't be covering it in this course.
Some investors use highly complex academic formulas to calculate valuation. Many of those formulas are far too academic in nature to be useful to investors, so we won't be diving deep into them.
This course is designed for beginner and intermediate investors. While we will provide an overview of how DCF models work and practice using them, we'll be focusing on simple inputs. DCF models can get complex, so we won't be diving deep into their complextity.
Valuing options, stock-based compensation, and complex financial derivatives is highly complex and beyond the scope of this course.
While we will be looking at company valuations in real-time, we won't be making any stock recommendations.
Active hands-on learning
This course builds on live workshops and hands-on projects
Interactive and project-based
You’ll be interacting with other learners through breakout rooms and project teams
Learn with a cohort of peers
Join a community of like-minded people who want to learn and grow alongside you