Narrative and Numbers: Light in the Darkness

Valuation is a bridge between stories and numbers. In this session, I start by noting that the three biggest enemies of good valuation are bias, complexity and uncertainty, and use Tesla in June 2019 and January 2020 as a lab experiment to illustrate how the story you tell about a company can play out in different values. With COVID hitting the markets, I argue that it is more important than ever to think about how it will change your company's story and play out its effects on value.
Slides: http://www.stern.nyu.edu/~adamodar/pdfiles/country/NarrativeCOVID.pdf
Tesla DIY valuation from January 2020:
http://www.stern.nyu.edu/~adamodar/pc/blog/TeslaJan2020DIY.xlsx
Tesla valuation from July 2020:
http://www.stern.nyu.edu/~adamodar/pc/blog/TeslaJuly2020DIY.xlsx
(Remember that these were all before the five for one stock split. So, you will have to divide the values by five to compare to today's price).

Видео Narrative and Numbers: Light in the Darkness канала Aswath Damodaran