Financial Modeling and Valuation Simulation

Students build end-to-end financial models from scratch - forecasting performance, valuing businesses, and presenting deal-ready outputs - in our Financial Modeling and Valuation Simulation.

Financial Modeling and Valuation Simulation Overview

The Financial Modeling and Valuation Simulation gives students practical experience constructing and applying financial models to evaluate a company’s worth, guide investment decisions, or prepare for deal-making.

Developed by investment bankers, corporate finance professionals, and valuation experts, the simulation replicates the real-world pressure and structure of live modeling assignments. Students start with raw company data and market inputs, build detailed integrated models, and produce defensible valuations using multiple methodologies.

Ideal for investment banking, private equity, or corporate finance courses, the simulation builds technical fluency, business judgment, and presentation readiness.

Financial Modeling and Valuation Simulation Concepts

Students apply advanced concepts from corporate finance, accounting, and valuation, including:

Three-Statement Modeling: Building and linking income statement, balance sheet, and cash flow statement
Forecasting Drivers: Revenue growth, margins, working capital, and capex assumptions
Valuation Techniques: DCF (discounted cash flow), precedent transactions, and public comparables
WACC and Terminal Value: Calculating discount rates and perpetuity/growth exit methods
Sensitivity and Scenario Analysis: Testing key drivers and downside cases
Model Accuracy and Integrity: Circularity, audit checks, and dynamic formula design
Executive Summaries: Creating board-level outputs from detailed financial work

What Students Do

In this simulation, students take on the role of analysts at an advisory or investment firm. Over multiple rounds, they:

Receive a company’s historical financials and qualitative background
Identify key performance drivers and build a fully integrated financial model
Select and apply relevant valuation methods (DCF, comps, transactions)
Perform sensitivity analysis and calculate valuation ranges
Create investment memos, board decks, or client-ready valuation summaries
Defend modeling logic and valuation conclusions to simulated stakeholders

What Students Learn

The simulation builds technical mastery and decision-making confidence. Students learn how to:

Translate financial statements into dynamic forecasting tools
Think critically about business assumptions and valuation logic
Choose appropriate methodologies for different types of companies or deals
Structure clear, audit-proof models used in real investment settings
Communicate complex models in a concise, strategic format
Understand the expectations of investors, clients, and senior executives

Why This Financial Modeling and Valuation Simulation Works

Financial modeling is a foundational skill in finance - but too often, it’s taught in fragments. This simulation delivers the end-to-end experience, connecting technical modeling with strategic insight.

By mirroring real analyst workflows, it teaches not just Excel proficiency, but also client-facing thinking: how to defend your work, focus on what matters, and deliver clarity under time pressure. The simulation is adaptable for undergraduate, MBA, and professional training programs.

Frequently Asked Questions

Do students need Excel modeling experience? Basic spreadsheet fluency is recommended. The simulation includes guided steps and audit tools for newer users, but is challenging enough for advanced students too.
Is this simulation technical or strategic? Both. Students build detailed models and use them to form business conclusions and investment recommendations.
What company types are included? The default simulation uses a mid-market operating business with real-world complexity. Other sectors (e.g., SaaS, manufacturing, retail) are available upon request.
Can students use different valuation approaches? Yes. They can apply DCF, trading comps, and precedent transactions and are encouraged to triangulate valuation outcomes.
How long does the simulation take? 6 - 8 hours for a full build, with optional extensions for deeper reporting, investor pitches, or presentation rounds.
Is it better for individuals or teams? Both formats work well. Teams can split model building, memo drafting, and valuation defense roles to mimic real-world team workflows.
How is performance evaluated? Assessment includes technical accuracy, valuation rationale, model structure, and communication clarity - both written and verbal.
Does the simulation include pitch presentations? Yes. Students deliver summary presentations or memos justifying their valuation, which are evaluated for clarity, realism, and insight.
Are there error-checks or audit tools? Yes. Built-in features help students debug formulas, check linkages, and ensure output consistency.
Can instructors customize scenarios or assumptions? Absolutely. Instructors can choose company types, set custom scenarios (e.g. IPO, M&A, growth capital), and adjust inputs for different student levels.