Do you use Monte Carlo simulations in yourERwork? If so, what are the applications and programming software you normally use? Looking to get a feel for how commonly this and other analytic approaches are for valuation.
WSO Virtual BootcampsB0B体育平台下载
Popular ContentSee all
Career Advancement Opportunities
October 2022bob竞技体育游戏
Overall Employee Satisfaction
October 2022bob竞技体育游戏
Professional Growth Opportunities
October 2022bob竞技体育游戏
Total Avg Compensation
October 2022bob竞技体育游戏
LeaderboardSee all
| 1 |
|
99.2 |
| 2 |
|
99.1 |
| 3 |
|
99.1 |
| 4 |
|
99.0 |
| 5 |
|
99.0 |
| 6 |
|
99.0 |
| 7 |
|
99.0 |
| 8 |
|
99.0 |
| 9 |
|
99.0 |
| 10 |
|
98.9 |
Get instant access to lessons taught by experienced private equity pros and bulge bracket investment bankers including financial statement modeling, DCF, M&A, LBO, Comps and Excel Modeling.
Comments (8)
Hey epharm, what a lonely thread. I'm here since nobody responded ...so maybe one of these discussions will help:
More suggestions...
You're welcome.
We are happy with coming up with random target price and tell investors what the implied multiple is. Why get so scientific?
Career Coaching
My YouTube Channel
I've seen it used in a couple of very specific situations: valuing O&G exploration companies (where you are drilling a series of prospects with a rough idea of % chance of success on each and the probabiltiy distribution, plus there is some path dependency) or early stage pharma (similar).
For most companies - what would the point be? You're trying to value a company based on fundamentals, unless you're going to start putting together probability distributions for what the revenue line looks like (which would be garbage in / garbage out) there's nothing to 'simulate'.
Thanks for sharing your thoughts. I was mainly thinking it might apply to the probability of success for a pharma company's trial or for a valuation of an early-stage pharma company.
If you have a very good idea of the % chance of success of each drug in a company's development pipeline at each stage of approval, and there are a few different drugs in the pipeline, then yeah running a Monte Carlo simulation could make some sense.
I'm not a pharma investor but I'd be amazed if you ever have enough information on the probabilities to make Monte Carlo anything other than garbage in / garbage out.
I exclusively cover early stage biotech and have never used a Monte Carlo simulation.
Okay thanks! Helpful to know.
Voluptatem dolorem nisi dicta. Itaque sunt consequatur omnis explicabo sint et. Facere ut dolores ut consequatur.
Repellendus nihil omnis est blanditiis sapiente amet cupiditate. Reiciendis voluptatem ut est id. Tempore id rerum sint architecto omnis omnis non. Rem voluptates maiores sed cum deserunt omnis nisi quo. Quibusdam dolor sapiente magni reprehenderit ut. Eum eos sit porro.
Praesentium perferendis voluptas atque praesentium explicabo incidunt aliquam distinctio. Quam sit tempora fugiat voluptatem. Amet illo numquam odio sapiente et. Unde voluptatem deleniti sit voluptatum ullam aliquam. Veritatis omnis velit quod non qui. Adipisci deserunt qui sed culpa. Voluptatem temporibus pariatur saepe quis recusandae sed.
See All Comments - 100% Free
WSO depends on everyone being able to pitch in when they know something. Unlock with your email and get bonus:6 financial modeling lessons free($199 value)
orWant toUnlockby signing in with your social account?