analysis at various prices

Investment Banking Slide Examples of Analysis at Various Prices

Tl;dr: Part of a collection of real examples of M&A investment banking slides. This blog covers Analysis at Various Prices. See the PowerPoint presentations investment bankers are paid millions for. No matter your job, or your aspirations, you can learn from these slides.

This is part of a collection of 67 free M&A presentations from the top 20 banks (based on ranking, and also the quality of presentation for you to learn from).

Collection of M&A slide examples

The main page for all the M&A resources is here.

I have broken out 827 examples of slides across 32 sections. You can click through to the section you want to learn about next here:

Company Overview
Corporate Structure
Management Projections
Research Analyst
Comparison Financial Projections
Analysis At Various Prices
Share Price Analysis
Volume Weighted Average Price
Regression Analysis
Discounted Cash Flow
Weighted Average Cost Of Capital
Comparable Companies
Comparable Transactions
Dividend Discount Model
Leveraged Buy Out
Premiums Paid
Sum Of The Parts
Football Field
Executive Summary
Offer Summary
Offer Comparison
Accretion DilutionĀ 
Exchange Ratio And Contribution Analysis
Shareholder Analysis
Ability To Pay
Synergy
Strategic Options
Transaction Case Study
Next Steps
Disclaimer
Full valuation
Sales Pitches

Is this blog for you?

Why the heck should you care? Investment banks (historically) attracted the best and the brightest.

  • Slide structure/design: Learn how complicated concepts are structured and designed in PowerPoint
  • Analysis approach: See exactly how complex financial methods are presented
  • Strategy and communication: M&A deals are not (normally, other than many Duff and Phelps decks) cookie cutter. There’s a host of topics that need to be dealt with
  • Morbid interest: I used to do this for a living, but it’s still interesting to see how PPT are made… but then maybe it’s just me and so FML šŸ˜‰

Who this will help:

  • You want to work in banking: There’s a lot of applicants. Knowing the job helps you answer questions
  • You work in banking: Even if you’re an MD, you need to know how the best are structuring their thoughts/analysis
  • You write presentations: You can’t buy learnings like this. You can learn from the slides
  • You have a curious mind: Good for you

About Analysis at Various Prices

Analysis at Various Prices or AVP, also known as a valuation matrix, displays the implied multiples paid at a range of transaction values and offer prices (for public targets) at set intervals. It is simply a page that illustrates what various purchase prices imply from a premium and multiples valuation basis.

Along the X-axis you set out the purchase price per share and on the Y-axis you set up a bunch of line items and show how things change.

In practice, what you make is a big model and then this page is a sensitivity analysis.

Why these slides are made

You can do this AVP analysis for both the buy and sell-side. For the sell-side, you want to understand what deal you will accept, on the buy-side you want to see what you can afford (before you lose on the deal).

You will notice on the slide examples that they have highlighted what the offer is, occasionally there is both the first offer and a revised offer.

Once you see this the matrix starts making more sense. You can look at this and think “if I have to increase my offer, how much more is it going to cost me and what are the consequences“. It’s a useful analysis. It’s not that hard to make as it is just built off the model you built, but it adds a lot of value.

Comments on making these slides

As I said, the analysis isn’t hard to make as it’s based on all the monkey work you did already. Most of these slides are basically just screenshots with some annotation. You actually will do a lot of formatting in excel so you can paste this stuff into Word/PowerPoint (Yes, at Lazard we used Word, I don’t know if they still do. There were some technical reasons why they did that, but the DPT department did the work, so I didn’t care.

Examples of Analysis at Various Prices

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