GRA 6220 Corporate Valuation

GRA 6220 Corporate Valuation

Course code: 
GRA 6220
Department: 
Accounting and Operations Management
Credits: 
6
Course coordinator: 
Christopher Bleibtreu
Course name in Norwegian: 
Corporate Valuation
Product category: 
Master
Portfolio: 
Master of Accounting and Auditing
Semester: 
2025 Spring
Active status: 
Active
Level of study: 
Master
Teaching language: 
English
Course type: 
One semester
Introduction

The main objective of the course Corporate Valuation is to provide students with the tools to carry out a business valuation using (mainly) residual income valuation techniques. The course combines accounting principles and investment principles to answer the question: How do I account for value so that I can challenge stock prices with some confidence?

Learning outcomes - Knowledge

The students will through the course acquire the necessary knowledge about valuation in order to write a credible valuation report based on accounting numbers. The students will be able to differentiate, compare and assess different valuation methods.

    Learning outcomes - Skills

    By the end of the course, students will be able to:

    • understand and interpret dividends, cash-flows, earnings and book values and will be able to use them for valuation purposes.
    • prepare a thorough valuation report including sensitivity analyses on the key assumptions.
    • understand the factors determining the quality of accounting information.
    • infer the market expectations about growth implicitly contained in the stock prices.
    • demonstrate written communication skills with respect to the analysis of companies’ financial statement information from a valuation perspective.
      General Competence

      By the end of the course, students will be able to critically evaluate the information available in the annual reports of corporations. Students will also be able to critically assess the quality of accounting numbers. They will further be able to understand the implications of poor accounting quality in financial statement analysis and valuation.

      Course content
      • Introduction to corporate valuation
      • Overview over different valuation methods
      • Residual income valuation models
      • Valuation and active investing
      • Assessment of earnings management
      • The role of incentive-useful information for valuation
      • Value relevance of accounting information
      • Writing a valuation research report
      Teaching and learning activities

      -

      Software tools
      No specified computer-based tools are required.
      Additional information

      Please note that while attendance is not compulsory in all courses, it is the student’s own responsibility to obtain any information provided in class.

      All parts of the assessment must be passed in order to get a grade in the course.

      Qualifications

      All courses in the Masters programme will assume that students have fulfilled the admission requirements for the programme. In addition, courses in second, third and/or fourth semester can have specific prerequisites and will assume that students have followed normal study progression. For double degree and exchange students, please note that equivalent courses are accepted.

      Disclaimer

      Deviations in teaching and exams may occur if external conditions or unforeseen events call for this.

      Required prerequisite knowledge

      GRA 6298 Financial Statement Analysis and Valuation or similar.

      Assessments
      Assessments
      Exam category: 
      Submission
      Form of assessment: 
      Submission PDF
      Exam/hand-in semester: 
      First Semester
      Weight: 
      30
      Grouping: 
      Group (1 - 3)
      Duration: 
      1 Week(s)
      Comment: 
      Assignment (mid-term paper)
      Exam code: 
      GRA 62201
      Grading scale: 
      ECTS
      Resit: 
      Examination when next scheduled course
      Exam category: 
      School Exam
      Form of assessment: 
      Written School Exam - digital
      Exam/hand-in semester: 
      First Semester
      Weight: 
      70
      Grouping: 
      Individual
      Support materials: 
      • BI-approved exam calculator
      • Simple calculator
      • Bilingual dictionary
      Duration: 
      3 Hour(s)
      Comment: 
      Written examination under supervision.
      Exam code: 
      GRA 62202
      Grading scale: 
      ECTS
      Resit: 
      Examination when next scheduled course
      Type of Assessment: 
      Ordinary examination
      All exams must be passed to get a grade in this course.
      Total weight: 
      100
      Sum workload: 
      0

      A course of 1 ECTS credit corresponds to a workload of 26-30 hours. Therefore a course of 6 ECTS credits corresponds to a workload of at least 160 hours.

      Semesters

      Translations