Equity Researcher
Evolvers Group
Total years of experience :26 years, 2 Months
Healthcare Industry& others), client Singular Research
•I do Biotech - Covid-19 vaccine company (Meridian, Vaxart, Moderna, Pfizer, and AstraZeneca), financial, energy, and consumer sector's equity research for Evolvers Group's client Singular Research. I study and analyze the 10-K reports (Income Statement, Balance Sheet, Cash Flow Statement, other financial reports, and related news) in detail. Then build the DCF of FCFF for next eight quarters, Calculate Beta, required return on equity, cost of loan, WACC, Reinvestment rate, ROC, growth, EV/EBITDA, PE multiples, and other ratios. Then use P/E models and weight DEF and PE normally 50% each. Finally, I combine this bottom-up approach with the expected general macro-economic environment (top-down) and recommend the fair price of the security. So far, my two research results on VIVO & VXRT have been 100% correct.
•Using Machine Learning in R and SAS on very large data, I build quantitative models for market trends, competitive environment, segment returns and combined weighted growth from each segment for next 8 quarters. Compare the company's expected equity return from quantitative models with its competitors' and then recommend buy or sell as per equity market neutral strategies, thus generating double alphas.
•Built income statement, balance sheet, and cash flow statement using the projected growth.
•I can show my equity research reports with a “Buy” or “Sell” recommendations at the time of interview or on demand. So far my recommendations have been 80% correct.
York
i. Preparing pitch books, Information memorandum (IMs), industry reports, deals & peers screening, company profiles and company focused discussion documents related to various industries.
ii. Preparing financial analysis including trading/ transaction comparable, operational/ financial benchmarking, valuation analysis, financial models etc.
of Japan, USA and Latin American opportunities in energy sector using income approach (Dividend Discount, Free Cash Flow to Firm, Free Cash Flow to Equities, Residual Income, Comparable Company Analysis, and Economic Profits), and market approach (P/E, P/B, P/S, P/CF multiples) Models to Equities and Firms (Bottom-Up Approach) using all information: publicly available information and internal projections of the company. Evaluated adjustments for the company specific discounts, controlling interest premium, strategic buyer premium, and minority interest discounts for Mergers and Acquisitions (M&A). Evaluate the Debt/Equity ratios of the company to adjust levered Beta. Additionally, evaluate the value of the private company using the asset-based approach.
(UAT), CCAR, DFAST in reporting of income Statement, Balance Sheet (FRY 9C) from equities, fixed income, commodities, derivatives & FX, and Stress Testing Credit and Market Risk(FR Y14 A, Q & M)
•Built Credit Risk models and their distribution characteristics under normal, stressed and severely stressed conditions with the 25 variables (13 US Domestic and 12 External variables of four regions affecting US economy) for compliance with CCAR to meet the requirements for an IHCs in compliance with Dodd Frank Act & Basel III.
•Wrote Functional Specification Documents (FSD) and 30 Unit Test Cases and 50 Business Test Cases related to Market Risk and its distribution characteristics, Stressed Market Risk as per Basel III for conducting Unit Testing and UAT for evaluating the AxiomSL software at Deutsche Bank. Additionally I wrote BRD & FSD for Schedule FRY 9C HC-H for Interest Sensitivity.
•Wrote BRD, FS and test cases to automate the software that prepared report for Investors and Portfolio Managers measuring Value at Risk (VAR) of Portfolio containing asset classes of Fixed Income Securities including Mortgage Backed Securities, Equities, Commodities (Oil, Gas and Metals), and Currency(FX) individually and of total Portfolio along with Diversification Effect at 95% confidence level with actual historical market data. I documented FSD for all the three methods of VAR calculation: Variance - Covariance Method (Analytical), Historical Method using 5 year period with different annual weights, and Mote Carlo Simulation method at (asset class level) for submission to clients / investors.
Researched Private Equity opportunities of Emerging Market using different Cash Flows (Free Cash Flow to Firm, Free Cash Flow to Equities, Residual Income, Comparable Company Analysis, P/E, P/B, P/S, P/CF, EV/EBITDA multiples and Economic Profits) Models to Equities and Firms (Bottom-Up Approach) using all information: publicly available information and internal projections of the company. Then added the company specific discounts, controlling interest premium, strategic buyer premium, and minority interest discounts for M&A. Analysed the Debt/Equity ratios of the company and scopes for LBOs.
•Conducted Sensitivity Analysis. Double checked my results using Relative Value Models: Fed Model, Yardeni Model, P/10 Year Model, Tobin's ‘q' & Equity ‘q' Models. Used CAPM and APT models for finding required rates of returns. Calculated Sharp Ratio, Treynor Ratio, and other risk adjusted return measures.
•Used macroeconomic and fundamental factor models (Top-Down Approach) to combine with bottom up approach and arrive at final decision.
•Built power points displaying marketing benefits, public private partnership rationale for joint ventures, and client relationship building.
My job at Morgan Stanley Smith Barney consisted of 10 team members including the portfolio manager. My role there was of buy side analyst. I did the following works there:
•Using SAS platform built Quantitative GARCH Models (Using Risk-metrics techniques) for Traders and my Portfolio Manager measuring market risk of Equities.
•Prepared quantitative regression models for measuring credit risk of loans granted by financial institutions with macroeconomic surprises apart from studying their financial reports detailing their monthly, quarterly and annual financial positions.
•As Buy Side Analyst, I researched and prepared report for my Portfolio Manager measuring expected prices of equities of energy sector of India: Reliance Industries Ltd., Essar Energy, JSW Energy Ltd, Lanco Infratech, Adani Power & Astonfield, I started with Bottom-Up Approach i.e. built excel based cash flow models (dividend discounted cash flow valuations, free cash flow to firm discounted model, free cash flow to equity discounted models, and Residual Income discounted Models, comparable company analysis, and P/E multiples) in my analysis. Then I made macro-economic factor models of India to predict demand and supply of energy sector in the next 5 future years. The top down approach was more useful in building industry report.
•Built Quantitative Macroeconomic Factor Models for India, China and Vietnam estimating GDP growth rates and inflation from demand & supply side factors. Then used that information for measuring market risk for valuing of stocks of those countries. Prepared suitable benchmark as per GIPS for such investments.
•Built Option Pricing Model for measuring the probability of default by corporations.
Finance) for Business Information Group in R&D Division
•Built database on credit risk for EMIS (Executive Management Information Services)
Analyzed equities through Bottom up approach through discounted cash flow method (Dividend Discount Method, Free Cash Flow to the Firm Method, Free Cash Flow to Equity of the company, Tobin's Q and Equity Q).
Built Tax lot accounting system for fixed-income securities to report tax liability for the investors.
CFA Charter holder
CFA Charter holder
CFA Charter holder