Certified Financial Valuation
Analyst
VS-1129
Certified Financial Valuation Analyst
Certified Financial Valuation Analyst
Certification Code VS-1129
Vskills certification for Financial Valuation Analyst assesses the candidate as per the
company’s need for financial analysis and valuation. The certification tests the candidates
on various areas in financial statements, valuation, accrual accounting, cash flow valuation,
the analyst's checklist, profitability analysis, value of operations, financial statements
analysis, credit and equity risk analysis
Why should one take this certification?
This Course is intended for professionals and graduates wanting to excel in their chosen
areas. It is also well suited for those who are already working and would like to take
certification for further career progression.
Earning Vskills Financial Valuation Analyst Certification can help candidate differentiate in
today's competitive job market, broaden their employment opportunities by displaying
their advanced skills, and result in higher earning potential.
Who will benefit from taking this certification?
Job seekers looking to find employment in finance or accounts departments of various
companies, students generally wanting to improve their skill set and make their CV
stronger and existing employees looking for a better role can prove their employers the
value of their skills through this certification.
Test Details
•
•
•
Duration: 60 minutes
No. of questions: 50
Maximum marks: 50, Passing marks: 25 (50%)
There is no negative marking in this module.
Fee Structure
Rs. 4,000/- (Includes all taxes)
Companies that hire Vskills Financial Valuation Analyst
Financial Valuation Analysts are in great demand. Companies specializing in consulting or
finance are constantly hiring skilled Financial Valuation Analysts. Various public and
private companies also need Financial Valuation Analysts for their finance or accounts
departments.
www.vskills.in
Certified Financial Valuation Analyst
Table of Contents
1. Introduction To Investing And Valuation
1.1 Investment Style
1.2 Investment Style and Fundamental
1.3 Investors, Firms Securities, and Capital Markets
1.4 The Business of Analysis
1.5 The Analysis of Business
1.6 Choosing a Valuation Technology
2. Introduction To The Financial Statements
2.1 The Form of the Financial Statements
2.2 Measurement in the Financial Statements
3. How Financial Statements Are Used In Valuation
3.1 Multiple Analysis
3.2 Asset-Based Valuation
3.3 The Architecture of Fundamental Analysis
4. Cash and Accrual Accounting, And Discounted Cash Flow Valuation
4.1 The Dividend Discounts Model
4.2 The Discounted Cash Flow Model
4.3 Reverse Engineering Converting a Price to a Forecast
4.4 Simple Valuation Models
4.5 The Statement of Cash Flows
4.6 Cash Flow, Earnings, and Accrual Accounting Earnings and Cash Flows
5. Pricing Book Values
5.1 The Price-to Book Ratio Concept
5.2 Prototype Valuations
5.3 A Model for Anchoring Value on Book Value
5.4 Applying the Model to Equities
5.5 Applying the Model to Projects and Strategies
5.6 Features of the Residual Earnings Model
5.7 Reverse Engineering the Model foe Active Investing
6. Pricing Earnings
6.1 The Concept behind the Price-Earnings Ratio
6.2 Prototype Valuation
6.3 A Model for Anchoring Value on Earnings
6.4 Applying the Model to Equities
6.5 Features of the Abnormal Earnings Growth Model
6.6 Reverse Engineering the Model for Active Investing
www.vskills.in
Certified Financial Valuation Analyst
7. Business Activities and Financial Statements
7.1 The Cash Flows
7.2 All Stocks and Flows
7.3 Accounting Relations that Govern Reformulated Statements
8. The Analysis Of The Statement Of Shareholder’s Equity
8.1 Reformulating the Statement of Owners' Equity
8.2 Dirty-Surplus Accounting
8.3 Ratio Analysis
8.4 Hidden Dirty Surplus
9. The Analysis Of The Balance Sheet And Income Statement
9.1 Reformulation of the Balance Sheet
9.2 Reformulation of Income Statement
9.3 Comparative Analysis of the Balance Sheet
9.4 Ratio Analysis
10. The Analysis Of The Cash Flow Statement
10.1 The Calculation of Free Cash Flow
10.2 GAAP Statement of Cash Flows and Reformulated Cash Flow statements
10.3 Cash Flow from Operations
11. The Analysis of Profitability
11.1 Cutting to the Core of the Operations
11.2 Distinguishing Financing and Operating Activities
11.3 Drivers of Operating Profitability
11.4 Profit Margin Drivers
12. The Analysis of Growth and Sustainable Earnings
12.1 What Is Growth?
12.2 The Analysis of Changes in Profitability
12.3 The Analysis of Growth in Shareholders' Equity
12.4 Growth Sustainable Earnings and the Evaluation of P/B Ratios and P/E Ratios
13. The Value of Operations
13.1 A Modification to Residual Earrings Forecasting Residual Operating Income
13.2 Modification to Abnormal Growth in Operating Income
13.3 The Cost of Capital and Valuation
13.4 Financing Risk and Return and the Valuation of Equity
13.5 Mark-to-Market Accounting
14. Simple Forecasting and Simple Valuation
14.1 Simple Forecasts and Simple Valuations form Financial Statements
14.2 Adding Speculation to Financial Statement Information
14.3 The Applicability of Simple Valuations
www.vskills.in
Certified Financial Valuation Analyst
14.4 Simple Valuations with Short-Term
14.5 Simple Valuation as an Analysis Tool
15. FullFull-Information Forecasting, Valuation, And Business Strategy Analysis
15.1 Financial Statement Analysis
15.2 Full- Information Forecasting and Pro Forma Analysis
15.3 Value Generated in Share Transactions
15.4 Financial Statement Indicators and Red Flags
15.5 Business Strategy Analysis and Pro Forma Analysis
16. Creating Accounting Value
Value and Economic Value
16.1 Value Creation and the Creation of Residual Earnings
16.2 Accounting Methods, P/B Ratios, P/E Ratios, and the Valuation of the Going
Concern
16.3 Hidden Reserves and the Creation of Earnings
16.4 Conservative and Liberal Accounting
16.5 Accounting Methods and the Forecast Horizon
17. Analysis Of The Quality Of Financial Statements
17.1 What is Accounting Quality?
17.2 Detecting Income Shifting
17.3 Detecting Transaction Manipulation
18. The Analysis Of Equity Risk And The Cost Of Capital
18.1 The Nature of Risk
18.2 Fundamental Risk
18.3 Value-At-Risk Profiling
18.4 Fundamental Betas
18.5 Price Risk
19. The Analysis Of Credit Risk
19.1 Ratio Analysis for Credit Evaluation
19.2 Forecasting and Credit Analysis
19.3 Liquidity Planning and Financial Strategy
www.vskills.in
Certified Financial Valuation Analyst
Sample Questions
1. Which of the following is another
another name for the required return on a stock?
A. Value.
B. Dividend payout ratio.
C. Retention ratio.
D. Discount rate.
2. Which of the following best describes the constantconstant-growth dividend discount
model?
A It is the formula for the present value of a finite, uneven cash flow stream.
B. It is the formula for the present value of a growing perpetuity.
C. It is the formula for the present value of an ordinary annuity.
D. It is the formula for the present value of a growing annuity.
3. Which of the following do financial analysts consider least important when
assessing the longlong-run economic and financial outlook of a company?
A. General economic conditions.
B. Expected changes in EPS.
C. Prospects of the relevant industry.
D. Expected return on equity.
4. Analysts commonly consider all of the following to be indicators that the market
is overvalued except
A. high average dividend yield.
B. high average P/E ratio.
C. high average ratio of stock prices to corporate sales.
D. high average price-to-book ratio.
5. Which of the following is equal to the present value of all cash proceeds received
by a stock investor?
A. Value.
B. Discount rate.
C. Retention ratio.
D. Dividend payout ratio.
Answers:
1 (D), 2 (B), 3 (A), 4 (A), 5 (A)
www.vskills.in