We help clients better understand their capital market performance and identify strategic actions to increase shareholder value. Working with Eurosis consulting teams helps companies understand market expectations, identify primary sources of value, and develop strategic initiatives to further value creation. Our deep knowledge of finance topics and extensive library of tools and models uniquely positions us to support clients in two areas:
Capital Market Diagnostics (CMDs)We perform diagnostics on both companies and industries. CMDs provide clients with a holistic perspective on past performance and strategies for improving future performance. They typically include three core analytical components:
- Historical capital market performance: By analyzing the returns to shareholders for a company, its competitors, and the industry, as well as valuation multiples, we help clients understand the key drivers of performance difference (such as growth, profitability, and investor expectations).
- Historical operational performance/benchmarking: We analyze profitability and returns on capital for both the company and its industry segment. This analysis helps clients understand potential improvement areas and the value of addressing performance gaps. We also analyze historical sources of growth, such as portfolio differences and M&A activity, and their impact on overall corporate performance.
- Future performance expectations: We use proprietary models to determine market expectations for growth and profitability for our clients and their competitors. We advise clients on how these expectations differ from their own existing strategies and identify potential initiatives to increase long-term value.
Valuation and Discounted Cash Flow ModelingWe use our in-depth sector knowledge to inform modeling scenarios, understand any gaps between market value and intrinsic value, and shape recommendations for action. In addition, the Eurosis Consulting provides analytical capabilities and insights on the following topics:
- Investor relations: We help clients better understand their existing investor base and strategically shape future investor communications. We advise clients on who to talk to (i.e., investor segmentation), what to talk about (i.e., disclosure best practices), and how to talk about it (i.e., channel strategy).
- M&A: We conduct a variety of M&A analyses, such as target screening and synergy assessment. We also create pro forma statements to assess the financial impact of M&A and measure the impact of a proposed transaction structure on value distribution.