Accounting
Tie value to earnings
When a debate opens over what the company is worth, build the peer multiples, the abnormal earnings and the terminal assumptions together, and test the tension between growth and the cost of capital in the open.
Your learning route
The program order
Complete the programs in order to finish the route. Each one brings short lessons, applied practice and a realistic business case together.
Plus and Pro members can create a verifiable Stratify certificate when the route is complete.
- Program 01
Build the logic of valuation by comparables
Foundational: you build a price multiple out of the accounting numbers underneath it, pick a peer set you can defend, and read what a multiple does and does not say about a share price. By the end of this program you can compute price-to-earnings and price-to-book equity multiples from reported figures, weight benchmark multiples by market capitalization, and name the conditions under which a comparables valuation stops counting as evidence.
- Ask what the multiple standardizes
Apply it: Closing case: present the value range
4 lessons · ≈3 hours
- Program 02
Discount abnormal earnings
Intermediate: tie book equity, the cost of capital and abnormal earnings to a claim about future value creation. By the end of this program you can build an abnormal earnings line from reported figures, discount it to the right period, and defend the value it puts above book equity.
- Set the right question
Apply it: Closing case: present the value claim
4 lessons · ≈3 hours
- Program 03
Test terminal value and growth risk
Advanced: treat perpetual growth, long-run return on equity and the cost of equity as the points where a valuation is most fragile, and test them against the reading's own numbers. By the end of this program you can read the growth rate a market multiple already assumes, measure how far the answer moves when that rate shifts by a point or two, and defend the terminal assumption you put in front of a committee.
- Where the terminal assumption sits
Apply it: Closing case: defend the terminal assumption
4 lessons · ≈4 hours