Stock pitching template

I know post date on this thread is old. Any chance you can send me a copy of the stock pitch guide booklet?? Thank you. Agree with derivstrading's first point-easily the most important part is explaining the reason the market is wrong with the valuation, and what will corrrect this. It should at least trade even. This pitch does not do the above, but is how must are structured. I did a pitch on transocean a few weeks after the oil spill, and it was basicly structured as follows:. The rig it lost was fully insured.

It also had insurance for XX dollars for personal claims, and the exxon valdez spill only amounted to a fraction of this.

These claims were also paid out 18 years later, drastically reducing the PV. Since it is likely fully insured for damages, the only explanation for loss in market cap is reduction in earnings. Apart from temporary ban can't go on forever , it only lost one rig, accounting for XX in earnings, so at a pre-spill multiple of X it should have reduced market cap by X.

In actuality, it lost XX in market cap, overstating the damage by X times. Huge overreaction. Catalysts are a stopping of the ban and legal results, which are likely to play out favorably for the following reasons, etc. Obviously shortened my pitch to post here, but aside from people disagreeing with the simplified analysis, that's how a good pitch is at least structured IMO.

If you're going to do a short sale pick then explain why you want to short the stock instead of be long it, and make sure to focus in on the details behind your catalyst. Take Apple, if you see lower sales numbers, rising materials costs and say an earthquake that damaged a foreign manufacturing plant that made iPhone screens, then you would have a problem and enough of a catalyst argue for a short in Apple.

Again, with the Apple short above, I would take a brief moment to discuss why you like the trade and why you are taking the position you are. It's easy to say I think Apple is going down, but it's much harder to say why you like the trade and why you're taking that side of the trade in a conscious effort. This is the format that we generally follow - and by we i mean our investment fund. Mispercetion this is where, like all the above more experienced individuals mentioned, you should say why some factor you mentioned isn't already priced in, i.

Hi, Could I also get that book? I have tried all of your links and none of them work for me. I had buyside exp during the summer, and I am pretty positive im going to be asked to pitch stocks during the interviews. Let me know what you think of my format:. Obviously it sounds good but I would personally keep it simple. I would at most talk about a stock for 30 seconds and conclude with three reasons to buy. You don't want to overwhelm your interviewer for certain practical reasons too For example, if your interviewer follows up with "Great, can you pitch another one," you will have to be as well-researched into another stock or two If your first stock sounds great but your second pitch sounds shitty, you will end up looking foolish.

Secondly, anything you bring up will be fair game. If you mention 40 things in your complex pitch and one of them happens to be "projected future operational growth," you better know everything about "projected future operational growth.

That is why a lot of people tend to be more conservative during interviews. If you mention everything you cited above, be ready to go into further depth another each and every one of those topics.

Everything will be fair game so don't set yourself up for a trap And other things I would know just in case would be: -current share price believe it or not, many people don't check this the day of the interview week high and week low -one year price target cite the target of a well-known research analyst, imo -beta and perhaps estimated cost of capital, if they really want to fuck with you -total enterprise value as well as market cap, total debt and cash -trading comps as well as current prices of comps -company CEO.

Believe it or not, I got asked about comps , total enterprise value with breakdown of market cap and debt , and beta in prior interviews when asked to pitch a stock That seems like a long pitch to me, I agree with vancouver that you should try to keep it short and simple--and make sure you are prepared to back up anything you say with an explanation as you'll likely get interrupted.

Talk about how their recent earnings went and the price as a result. Just cite specific numbers for each and move on. Make sure to talk about some qual aspects as well--the companies management, their philosophy, customer base, brand differentiation, etc. Know who the companies competitors are and why your company is stronger. IMO pick a stock that doesnt get as much coverage, perhaps in the small cap space. It's likely that the person your interviewing with won't know it as well as some of the large cap names that get a lot more research coverage, thus you wont have to defend your pick or field as many questions.

Just my 2 cents. Just tell me what the catalyst is and why but the stock NOW. Multiple rating because of [ x ], CEO needs to sell company before y date because of the change of control clause in his contract would expire by z date, balance sheet debt misunderstanding by the street Your pitch is too long to capture my attention.

This is why I hate some bits of finance. What a load of bollocks. None of the above matters! All that matters it the covariance risk of the stock and whether or not it's under or overvalued. The rest is just noise. Definitely pick out an obscure stock. If you're being interviewed by someone in the healthcare group, it doesn't matter how well researched your healthcare pick is, pitch a different stock in a different sector.

Also realize that anything you say is fair game for more questioning, so keep it as simple as possible. A few financial metrics to point out why it's undervalued, and strong qualitative reasoning behind it is your best approach.

Look at it this way: bankers don't know shit about investing. Your job as an analyst will not be to think, it will be to process. This question is just to show interest in finance and the markets in general. You have more to lose than to gain. I'm not asking for a specific stock that i should list when answering this, but if anyone on WSO has any 'angle' that i should play at here, what kind of phrasing they want to hear, or anything along those lines.

Disasters - Maybe there was a "blow up quarter" last year in this space, use hurricane sandy as an example Read throughs - Say for wahtever reason every single comparable company printed awesome numbers in units of XYZ Your company directly works with XYZ so therefore likely upside this time around versus prior 5. Pricing - Say the company you are pitching has extremely high exposure to "copper" or any other component could be a semiconductor etc So you say "margins should expand" and the stock hasnt moved since the pricing of said component has dropped XYZ percent.

I would just add that you should know where the controversy is on a name, and have an opinion as to which you think is right. They know the name better than you will, but figure out which argument is more logical. The story gets better on the fundamental side: global nuclear power plant construction is at record highs thanks to China, Russia, South Korea, and India but uranium mining is not keeping pace.

The main risk for the stock is competition from natural gas, but the shale boom is thus far contained to the US. Does anyone have any insights on how to do a stock pitch effectively. I would be required to build out a DCF model but not sure if i even need to build an operating model as I assume it would be a model that is just quick and dry. Also, how on earth does someone just pick a random stock to pitch? In the past, I would try the valuation part first and then proceed with the qualitative stuff but so many times I have picked a stock that I can't even emotionally see myself pitching and as a result I am not what so ever engaged in what I am pitching.

Any advice would do! Not just by name but their basic operations. For example, everyone knows Apple and primarily what drives their sales. Pick a company that people know and has a following in the market. The better the following the more research you can do online and the more info you'll find.

For example, pick a consumer retail name if you think consumers will have more money to spend due to low oil prices or economic data, etc.

As for the actual pitch, if on an interview, I would keep it to minutes. Then spend the other minute on your model and valuation, why its trading at a discount or premium, comps and where you think the intrinsic value of the stock is. Fellow WSO members: I have an equity research interview coming up and have no clue on how to approach this question.

I really want to do well in the interview but am worried about bombing this question. My prior background was in a different industry and am trying to break into finance. Thanks a ton! I think, that what you should do is think about stocks that you know you know well. Basically, pitching a stock is the same as pitching a company. So if you want to short something, you have to pick out the reason why you think, that the stock is bad. Try and have a good organizational structure to your pitch.

For example if you are allowed to bring a slide deck, I'd structure it as the following: Even if you can't bring a slide deck, still format your answer in a similar way - Industry Overview 1 slide - Company Overview 2 slides - Investment Thesis slides --This is the bulk of your argument and position - Catalysts and Risk 1 slide -Valuation slides - Probably wouldn't need to do a DCF , but maybe include comps.

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Dolor saepe dignissimos et cumque rerum facere. Mollitia delectus ducimus quo. Ut consequatur temporibus in. Adipisci sint aut vero quos excepturi. Numi Advisory has provided career coaching, mock interviews, and resume reviews to over clients seeking careers in equity research, private equity, investment management, and hedge funds.

With extensive firsthand experience in these fields, Numi offers unparalleled insights on how to ace your interviews, excel on the job, and create and present great stock pitches. He has helped place over candidates in leading buy-side and sell-side jobs. For more information on career services and client testimonials, please contact numi.

In his spare time, he enjoys memorizing obscure Excel functions, editing resumes, obsessing over TV shows, traveling like a drug dealer, and defeating Sauron. Free Exclusive Report: page guide with the action plan you need to break into investment banking - how to tell your story, network, craft a winning resume, and dominate your interviews.

I hope you are having a nice day. I need a presentation, a written report and also a minutes long script. Is there anything that I should watch out for or do extra that will put me apart from the other contestants? We have many examples of stock pitches on this site, so I would suggest reviewing those for ideas. We unfortunately cannot comment or help with homework assignments or competition projects. My advice is to pick a lesser-known company that you have followed and know much better than the judges.

Hi, Brian. I am currently interviewing for an AM company. If they asked me to give some opinions on their current positions, does it mean that I am asked to do a pitch? I think my interviewers mush have very solid opinions about the stocks the company is holding… Or if they just would like to know my brief opinions?

And in either way, how long should my answer be? Not necessarily a formal stock pitch, but you should have a basic view on what they hold and whether you recommend buying, holding, or selling some of the stake.

Maybe 30 seconds for an initial opinion. Do you have advice for me given the large amount of work required to do stock pitch? Or should I learn as much possible from now and build from scratch and put up one? Thank you!! Your email address will not be published.

Table Of Contents. Interviewees who can demonstrate their perspectives on opposing bear or bull thesis, as well as actual solutions, are incredibly valued by recruiters. Therefore, a common mistake among interviewees is mentioning risks that are too general — for instance, global recession or the replacement of human roles by technology.

Interviewees should also provide a section on how to eliminate, avoid or reduce the consequences of these risks. However, you can also propose the utilization of other securities to mitigate the risk. In long pitches, the worst-case scenario is also worth noting. This part is quite self-explanatory. Now that you are clear about the basic structure of a stock pitch, we are going to move on with how to do a stock pitch. Whether it is an at-home research or a time-constrained stock pitch with 3 to 4 hours of study on an assigned company, there are several essential stages that should not be overlooked.

What makes them consider buying a stock is its suitability for their investment strategy. Interviewees might fail easily if they pitch a gold-mining company to a technology-focused fund or pitch a common stock that other businesses are more acquainted with.

Pitching a short stock to long-only funds, pitching a small cap business to large-cap funds, or including technical analysis in fundamental-research funds are all classic rookie mistakes that interviewees should avoid. When it comes to company research, there are two approaches:.

We recommend interviewees to go for a firm that is less well-known and is not frequently covered by funds so that portfolio managers could be interested in and might actually consider investing. This is also an opportunity to provide well-considered views that other analysts might ignore. Hedge fund or other investment fund portfolio managers will not consider investing in a mainstream stock like Apple, Microsoft, Tesla, and so on.

They value outstanding candidates who could add more value in a presentation. A mid-cap firm with 3 to 5 main drivers is preferable. If there are too many drivers presented, the investment thesis will be too lengthy and tedious for the evaluator to read.

The stock pitch may take 10 to 15 minutes for presenting 10 to 15 slides during the interview, and evaluators could raise their questions at any point throughout the presentation.

Expect various responses from your audience. Without a heated discussion, a stock is not a reliable investment. Therefore, aim for a back-and-forth conversation. It is necessary to prepare a list of answers for possible queries you think that recruiters may ask. On top of that, you should learn by heart all the key drivers of the firm, such as industry trends, rivals, and revenue and profit drivers.

Ensure that you have made perfect slides with strong references to back up your presentation. In addition, if candidates make a mistake, they should maintain a humble and honest demeanor. Avoid being excessively defensive, since this might come off as arrogant.

If you are not sure about something, admit it upfront. Then, after the interview, offer to look it up and follow up with them. If you are an undergraduate wanting to pursue a career in investment research, you might want to check out some of the programs that we list down below. A lot of universities provide their own stock pitch competitions; however, there are also regional and global contests with more chances to rival international contenders. Pull a team of enthusiasts and put yourself out there for the best real-life experience in the following competitions:.

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