BlackGen History
Technicals
Finance
Celebrities
Stock Knowledge
Markets
100

BlackGen was founded in November of this year.

What is 2019?

100

The two common methods for calculating terminal value in a DCF.

What are the perpetuity growth (Gordon Growth) method and the exit multiple method?

100

Known as the "Oracle of Omaha," he used to run Berkshire Hathaway.

Who is Warren Buffett?

100

A portion of a company's profits paid out to shareholders.

What is a dividend?

100

The U.S. central bank that sets the federal funds rate.

What is the Federal Reserve?

200

These 4 students co-founded BGC.

Who are Ermias Tadesse, Cheick Camara, Yasmin Watt, and Savannah Holsey?

200

How does the following affect Enterprise Value?

Issue $200M in Equity for an IPO.

What is the Enterprise Value is unchanged. Equity +200, Cash +200, net effect zero on EV formula.

200

Founder of Bridgewater Associates and author of Principles.

Who is Ray Dalio?

200

Ticker: FUN
This company owns amusement parks and other entertainment destinations.

What is Six Flags Entertainment?

200
The new Fed Governor.

Who is Kevin Warsh?

300

Cornell's 4 Pillars

What is Diversity, Education, Empowerment, and Philanthropy?

300

Depreciation rises by $10 with a 25% tax rate. Walk through the effect on net income and cash.

Net income falls $7.50; cash rises $2.50 (from the tax savings), and the balance sheet balances.

300

Founder of Vista Equity Partners who pledged to pay off the student debt of Morehouse's class of 2019.

Who is Robert F. Smith?

300

Name 10 Mid-cap companies. 

Per Discretion. $2-$10B
300

High inflation combined with stagnant growth and high unemployment.

What is stagflation?

400

The most recent school added as a chapter of BlackGen Capital.

What is Howard University?

400

A company trades at 7x EV/EBITDA with $100M in EBITDA, $100M in cash, $300M in debt, and $100M shares outstanding.

The share price is..

What is a share price of $5?

400

Founded the First National Bank (the "First Bank of the United States"), chartered in 1791.

Who is Alexander Hamilton?
400

Celsius' market cap to the nearest billion.

What is $7B?

400

Approximately where the Ten-Year Treasury Yield is at currently.

What is 5.34%?

500

Number of current BlackGen Chapters.

What is 14?

500

Walk me through an LBO.

What is 

  1. Set the purchase price. Usually a multiple of EBITDA (e.g., 10x EBITDA).
  2. Fund it. Mostly debt (often 60–70%), the rest equity from the PE firm.
  3. Project the business. Forecast revenue, EBITDA, and free cash flow over about 5 years.
  4. Pay down debt. Use the company's cash flow to repay the loans each year.
  5. Exit. Sell the company at the end, often at a similar EBITDA multiple.
  6. Calculate returns. Compare the equity received at exit to the equity put in, using IRR and MOIC (multiple on invested capital). PE firms typically target about 20%+ IRR.
500

Known as the founder of value investing and mentor to Warren Buffet.

Who is Benjamin Graham?

500

Its ticker is LUV, a nod to the airline's longtime connection to Love Field in Dallas.

What is Southwest Airlines?

500

In January 2021, Reddit's WallStreetBets drove a massive short squeeze in this video game retailer's stock.

What is GameStop?

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