Wall Street Prep

How Buyers Pay in M&A: Cash vs Stock Acquisitions

In acquisitions, buyers usually pay the seller with cold, hard cash. However, the buyer can also offer the seller acquirer stock as a form of consideration. According to Thomson Reuters, 33.3% of deals in the second half of 2016 used acquirer ... Read More

Sell Side vs. Buy Side

You'll often hear finance professionals describe their role as being either on the "sell side" or on the "buy side." As is the case with a lot of finance jargon, what this exactly means depends on the context. Sell side ... Read More

Largest Institutional Investors

Institutional investors represent a part of the financial markets known as the "buy side." (Learn more: Sell Side vs. Buy Side). Below is a list of the largest institutional investors in 2017. Click here for a list of the largest ... Read More

Bloomberg vs. Capital IQ vs. FactSet vs. Thomson Reuters Eikon

Financial data providers are a key part of the the financial professional's workflow. For the investment banking analyst who needs to find historical data and forecasts in order to build a 3-statement model or for the currency trader looking for real-time quotes, up-to-date and accurate financial data ... Read More

Accessing SEC Filings, Company Reports and Financial Data in the United States and El ...

A basic prerequisite for building a financial statement model (also called a 3-statement model) is access to company filings that contain historical financial data. In the United States, for example, public companies are required to make SEC filings including an annual ... Read More

Sample Equity Research Report

Sell side equity research analysts primarily communicate their ideas through published equity research reports. In this article, we describe the typical components of a research report and show how they are used by both the buy side and sell side. Equity ... Read More

Modeling the Revolving Credit Line in Excel (With Free Template)

In most 3-statement models, the revolving credit line (“revolver”) acts as a plug to ensure that debt automatically gets drawn to handle projected losses. Cash does the same thing when there's a projected surplus, such that if the model projects ... ... Read More

Guide to Forecasting the Income Statement

Forecasting the income statement is a key part of building a 3-statement model because it drives much of the balance sheet and cash flow statement forecasts. In this guide, we address the common approaches to forecasting the major line items in the ... Read More

Putting Together a Public Information Book (PIB)

Before firing up Excel to begin building a 3-statement model or a variety of common types of valuation and transaction models, analysts need to gather the relevant reports and disclosures that will be critical for model accuracy. Collecting these documents ... Read More

Forecasting a Company’s Shares Outstanding and Earnings Per Share

One of the last steps in building a 3-statement financial model is forecasting shares outstanding. The share count matters because it tells you how much of a company is owned by each shareholder. In the 3-statement model, this is important ... Read More

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The Wall Street Prep Quicklesson Series

7 Free Financial Modeling Lessons

Get instant access to video lessons taught by experienced investment bankers. Learn financial statement modeling, DCF, M&A, LBO, Comps and Excel shortcuts.