Valuation Lecture 13: DFC Valuation Tests

This video is a part of online course on Valuation by Professor Aswath Damodaran of NYU. This lecture discusses:

• A corporate governance discount
• The R&D effect
• The distress factor
• Lesson: Increasing growth is not always a value creating option
• Lesson: Financial leverage is a double-edged sword
• Dealing with decline and distress
• Adjusting the value of LVS for distress
• Lesson: Truncation risk can come in many ways
• Valuing financial service companies
• Valuing cyclical and commodity companies

The class is currently being taught by Prof. Aswath Damodaran at the NYU’s Stern Business School.