Wall Street Club at Baruch College
Wall Street Club at Baruch College
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stablished in 2007 by a group of seven students, the Wall Street Club at Baruch College aims to further the knowledge of financial services outside the classroom.
Precedent Transaction Analysis is a fundamental subject in finance, particularly in mergers and acquisitions (M&A). This analysis involves examining past Read more...
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stablished in 2007 by a group of seven students, the Wall Street Club at Baruch College aims to further the knowledge of financial services outside the classroom.
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Selecting past deals involving similar companies or assets to ensure accurate benchmarking.
Gathering relevant financial details, market conditions, and deal specifics from public and proprietary sources.
Understanding and calculating multiples like EV/EBITDA, P/E ratios, and revenue multiples used to value transactions.
Analyzing the economic environment and industry-specific factors that influenced past transaction values.
Evaluating the strategic reasons behind transactions to comprehend value drivers and synergies.
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Examining a borrower's financial statements to assess financial health, profitability, liquidity, and operational efficiency, which are crucial for determining creditworthiness.
Focusing on the analysis of cash flows to evaluate the borrower’s ability to generate sufficient cash to cover debt obligations, a key indicator of financial stability.
Assessing the potential risk of default by the borrower, using credit scoring models and other risk assessment tools to determine the level of risk involved in extending credit.