Investment Banking Analysis

What You Will Learn

• 1 Learn the foundational structure of investment banking, including the roles of advisory and capital markets divisions, deal lifecycles, and how banks generate revenue across product lines.
• 2 Understand financial statement analysis as applied in banking contexts, including how analysts read income statements, balance sheets, and cash flow statements to assess business quality.
• 3 Apply comparable company analysis to derive market-based valuation multiples, screen peer groups, and build a trading comps table from scratch.
• 4 Analyze precedent transaction analysis to identify control premiums, deal multiples, and how historical M&A data informs current valuation ranges.
• 5 Build discounted cash flow models by projecting free cash flows, selecting appropriate discount rates, and calculating terminal values using multiple methodologies.
• 6 Develop leveraged buyout analysis skills, including understanding LBO mechanics, building a sources and uses table, and calculating sponsor returns.
• 7 Understand merger consequences analysis, including accretion and dilution modeling, pro forma earnings per share calculations, and synergy valuation.
• 8 Explore debt capital markets and credit analysis, including how banks structure bond offerings, assess creditworthiness, and price fixed income instruments.
• 9 Analyze equity capital markets processes, including IPO mechanics, book-building, pricing dynamics, and the role of the investment bank as underwriter.
• 10 Apply financial modeling best practices, including model architecture, error-checking protocols, scenario analysis, and sensitivity tables used in live deal environments.
• 11 Understand regulatory frameworks governing investment banking, including securities law, disclosure requirements, fiduciary duties, and compliance obligations under SEC, FINRA, and international standards.
• 12 Develop pitch book construction and deal presentation skills, including how to structure a client-ready investment banking presentation from situation analysis to recommendation.