IPO Analysis - Trans Jamaica Case Study
We dive into Trans Jamaica's Prospectus and do an analysis of both the company and the IPO.
We discuss growth opportunities and risks.
We also do a valuation of the company, to come up with a price (is the IPO fairly/over/under valued?), using both the Free Cash Flow to Equity model and the Dividend Discount Model. I walk you through how to do both of these step by step.
Due to the technical nature of this class, it is advised that you have a solid understanding of both how to read financial statements (covered in my Beginners Class) and Modern Portfolio Theory and various valuation methods including Price-to-Earnings (P/E), Price-to-Book (P/B), Net Present Value (NPV) (all of which is covered in my Advanced General Class).
With each IPO Analysis class, you gain a better understanding about how to analyze IPOs for yourself.